Fosun Group has submitted an IPO application to the Hong Kong Stock Exchange, according to the Hong Kong newspaper The Standard. The company is one of mainland China's largest private companies.

Fosun Group has a wide variety of business interests in China ranging from pharmaceuticals to steel. They are involved in real estate, retail sales, and in financial services. Although details of the IPO application are not available yet, the Fosun group is rumored to be looking at raising as much as $1 billion US through the IPO.

Real estate development appears to be one of the driving forces behind the IPO offer. China is experiencing a continued migration of rural citizens to urban areas. That in turn has created a demand for housing in China's cities. Housing prices are up in Guangdong Province by 22% over this time last year as a result, the Beijing Times said this month. The Chinese government is concerned that real estate prices are artificially high; the Ministry of Commerce recently "tightened up" the approval process for foreign investment in China's real estate markets.

Fosun is also involved in an IPO for Sinopharm Medicine Holding Co. Ltd. That company is a joint venture between Fosun Group and China National Pharmaceutical Group Corporation. Fosun holds 49% of Sinopharm Medicine. Simopharm is exploring IPO possibilities on either the Hong Kong or the Shanghai stock market.