Do stationery firms have 'write stuff' for IPOs?

Two private-sector stationery companies have announced plans for initial public offerings on the Shanghai Stock Exchange, a move that comes as many players in the industry seek to expand in a highly competitive market.

Shanghai M&G Stationery Inc will offer up to 100 million shares to raise 1.48 billion yuan ($237 million), according to its prospectus released in late April.

The Shanghai-based company said it will use the proceeds to expand its dealer and distribution channels, as well as on research and development, manufacturing operations and as a boost to working capital.