Euronext Paris will make its first listing of a Chinese company when Watson Biotech floats by the end of the year, Watson's consultants announced.

Based in Xi'an, capital of China's northwestern Shaanxi province, the group specializes in extracting active ingredients from trees that are used in the generic anti-cancer drug paclitaxel.

'It will be a first in continental Europe,' said Louis Thannberger, chairman of Europe Finance and industry (Efi), which is advising Watson on the initial public offering.

Euronext, which operates the Paris, Amsterdam, Brussels and Lisbon markets, confirmed that the listing was a first for a Chinese company on its exchanges.

About 40 Chinese groups have been floated in London, mainly on the AIM (Alternative Investment Market) for small companies, and others are quoted in the US.

Watson Biotech reported sales of 7.6 mln eur in 2005 and a net profit of 1.46 mln eur.

Thannberger said that the group will most likely list on the Alternext market for small and medium-sized companies 'before the end of the year' and would have a capitalisation of 60 mln eur.

'It's quicker (on Alternext). There is a real frenzy in China for companies to get listed quickly,' he said.

The listing would involve a rights issue aimed at raising 8 mln eur, Thannberger said.