A friend of mine, now retired from investment banking and working in private equity, was recently interviewing with one of China’s behemoth institutions in Hong Kong, with a view to potentially returning to his old beat, that is equity capital markets. read
As Asian exchanges increasingly embrace the US model for new listings — the introduction of variable voting rights being a case in point — disintermediated IPOs may perhaps soon be the next fad.
Cornerstone investors used to be the trusted, fail-safe, mechanism that ensured the success of Hong Kong IPOs. Not anymore. read
For all the talk of a deluge of tech IPOs soon hitting the Asian (and especially Hong Kong) markets, the performance of new listings and investor appetite there both remain decidedly subdued. read
As the loss-making Chinese maker of smartphones Xiaomi announced what could be a $10bn flotation under the new listing regime in Hong Kong (also making it the largest one in the city for the last four years), the exchange recently published updated guidance on the suitability for listing of IPO applicants. read
As the introduction of weighted voting rights (WVR) and pre-revenue companies’ listings get nearer in Hong Kong, I see an opportune time for a quick take on the types of companies that the exchange — which is probably the most volatile of the world’s major primary markets — readily allows.
As reported earlier on the GlobalCapital website, the Hong Kong exchange published proposals to enhance its listing framework. These fall into three distinct categories — the establishment of new biotech and weighted voting rights (WVR) chapters, as well as enhancements to the secondary listing rules. read
At the end of last week, the stock exchange of Hong Kong published two new IPO guidance letters, on pricing flexibility and placing tranche reallocation. read
Earlier this month, the Singapore Exchange (SGX) announced that it was seeking feedback from market participants on whether to retain quarterly reporting, which the bourse first introduced in 2003. read
Last week, Hong Kong’s plans to play host to IPOs of international behemoths such as Saudi Aramco took a serious hit, amid news that both Glencore and Tapestry, the owner of luxury fashion brand Coach, would delist from the local exchange. read
