The move is part of Tsinghua Tongfang's strategy to realise gains in some of its investments made years ago through initial public offerings, with some analysts expecting the company to float as many as five units in the next two years.

The planned listing would enable Technovator, which makes building automation systems, to further consolidate global resources through direct financing or merg-ers and acquisitions, using Hong Kong as a platform for capital raising, Tsinghua Tongfang said in a statement to the Shanghai Stock Exchange. The move would also boost Technovator's sales and net profit, thus benefiting Tsinghua Tongfang and other shareholders, the statement said.