* Chinese IPOs raising A$83 mln this yr in Australia till end-Aug
* Full year expected to better 2014's record A$109 mln raised
* Performance of Chinese listings in Australia poor
By Byron Kaye
SYDNEY, Aug 3 (Reuters) - A foot massage franchise, a soccer boot maker and a camellia tree grower all hope they can end the curse on Chinese firms pursuing initial public offerings in Australia as a lengthy wait and market volatility discourage them from listing at home.
As mainland-listed companies and investors reel from a $4 trillion stock market slump since June, Australia is expected to attract bigger Chinese listings.
About A$83 million ($60.52 million) is expected to be raised in Australia by Chinese firms up to end-August compared to A$59 million raised in the first eight months of last year, according to Reuters calculations. That puts them on course to top this year the record A$109 million they raised last year.
But the mostly small-cap companies must overcome not just a language barrier and cultural standoffishness about their business offerings, but also a reluctance by Australian investors to embrace an investment prospect which has underperformed severely.
Of the 38 China-based companies to list in Australia since 1996, just five are trading at or over their issue price, including companies which have been bought out since listing, analysis by Reuters shows. Just eight of the companies have their shares traded daily.
"Unless you've got people on the ground who could do the due diligence, from a retail investor's perspective, I wouldn't say that's the most suitable investment," said Danial Moradi, equity strategist at Melbourne-based Lonsec Stockbroking.
"We wouldn't have as equal access (to management), there would obviously be language barriers, and obviously businesses are run differently in China."
Still, Australia appeals as a listing location thanks to its proximity, maturity and modest scale, said Ross Lewin, whose funds management firm Brenowen Cross Capital is helping foot massage franchise Traditional Therapy Clinics raise A$15 million for an Aug. 31 scheduled trading debut.
"You can be a bit smaller in Australia and still be seen," Lewin said.
China has a warm bond with Australia because of the conflict-free history between the countries, said Paradigm Securities executive chairman Barry Dawes, who is helping Jiangxi province-based camellia and citrus grower Dongfang Modern Agriculture Holding Group raise A$50 million for an Aug. 24 trading debut.
"Chinese companies have to do even more to win the investors, to prove themselves in the market," said Ting Jiang, company secretary of Fujian province-headquartered XPD Soccer Gear Group XPD.AX , which debuted in Sydney in May. Its shares last traded on July 31 at 21.5 Australian cents, compared to a 20 cent issue price.
"With Australian companies, at least (investors) can see their assets. They are more confident in Australian companies." ($1 = 1.3714 Australian dollars)