We would need a foreign partner to help us. Therein lies the biggest problem for China-based innovators. Capital remains incredibly hard to come by. The country's state banks are still getting used to lending to private companies. With little hard collateral, and in many cases no track record, most hi-tech companies don't have a hope of getting a loan from their local bank.
Listing locally requires government approval, and large state-owned companies are favoured.
Floating shares on an overseas exchange is even harder. In late January, Deng Nan, vice-minister of science and technology and the daughter of Deng Xiaoping, said the government was considering various ways to commercialize the work of research laboratories and allow private technology companies easier access to stockmarkets. Another would be to loosen regulations governing the minimum size of companies planning to list. In the meantime, however, hi-tech companies must find alternative ways to raise money. We think Hua Ling Group is a step ahead of Western scientists . . .