HK exchange head expects flood of Chinese company listings after clampdown

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HONG KONG : The Hong Kong bourse is fielding a surge in inquiries from Chinese companies looking to list their shares on the exchange due to regulatory changes on the mainland and in the United States, its new head said on Wednesday. China said last month it would step up supervision https://www.reuters.c

HONG KONG : The Hong Kong bourse is fielding a surge in inquiries from Chinese companies looking to list their shares on the exchange due to regulatory changes on the mainland and in the United States, its new head said on Wednesday.

The U.S. Securities and Exchange Commission also said last month that Chinese companies could not raise money in the U.S. unless they fully explained their legal structures and disclosed the risk of Beijing interfering in their businesses https://www.reuters.com/business/finance/exclusive-us-regulator-freezes-chinese-company-ipos-over-risk-disclosures-2021-07-30.

"However we don't want to be in a competitive, cannibalising situation with different markets, we think that all markets can compliment each other," Aguzin added, speaking after the bourse operator posted a 26per cent rise in first-half profit on Wednesday. Investment bankers have said the regulatory clampdown in China will further boost Hong Kong's allure as a fundraising venue https://www.reuters.com/article/china-didi-global-usa-ipo-idCNL2N2OK06J for Chinese companies looking to avoid the new restrictions for listing in the U.S.

 

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