China Merchants Securities, a leading domestic brokerage firm, announced Monday that it has set its A-share initial public offering (IPO) price range between 26 yuan (US$3.8) and 31 yuan.

The Guangdong-based brokerage is scheduled to issue no more than 358.5 million shares, it said in a statement to the Shanghai Stock Exchange Monday.

The IPO price translates into a price to earnings (P/E) ratio between 47.18 and 56.26 times. The subscription of the company starts on Tuesday, said the company.