PricewaterhouseCoopers has slashed its forecast for equity fundraising in Hong Kong this year, blaming natural disasters in China and the extent of the global credit crisis for denting investment demand for initial public offerings.

The accountancy firm has estimated that about 55 companies will float in Hong Kong this year, raising HK$130bn ($16.7bn). This is less than half of its January forecast, when it predicted 90 floats would raise HK$280bn.