BEIJING, April 2 -- The value of China's initial public offerings shrank to 54.98 billion yuan (US$7.85 billion) in the first quarter of the year from 63.63 billion yuan in the same period last year, according to industry data released Tuesday.

The biggest IPO so far this year is also the worst performing one in the quarter. China Coal Energy Co raised 25.7 billion yuan in its IPO. The stock made its trading debut at 22.2 yuan but its closing price was 16.64 yuan on Monday in Shanghai.

The best performer was Guangzhou Tech-Long Packing Machinery Co which soared 404 percent on its trading debut and 224 percent over the quarter, its share price closed at 13.80 yuan on Monday in Shenzhen, compared to its debut price of 4.25 yuan.

CITIC Securities Co ranked as the biggest underwriter with a 40.5 percent market share. Next was China Galaxy Securities Co and China International Capital Corp, with each having 23.3 percent share, according to Bloomberg News.

The mainland stock markets last year saw a strong wave of IPOs with the return of H shares which are Hong Kong-listed mainland companies. The value of such shares returning to trade domestically surged to 458 billion yuan by November.

Analysts with the Ernst & Young predicted earlier the Shanghai Stock Exchange, the nation's bigger bourse, can raise 330 billion yuan this year from IPOs due to a huge number in the pipeline.

Also, the market is anticipating the return of red chips this year. Red chips are overseas incorporated companies listed in Hong Kong but controlled by entities on the mainland which are coming back to tap the domestic markets for funds to expand.