HK bourse in talks on new listings with Ctrip, Netease: Sources

HONG KONG • Hong Kong Exchanges and Clearing (HKEX) is discussing secondary listings with Chinese technology firms, including Group and Netease, after Alibaba raised US$13 billion (S$17.5 billion) in its 2019 share offering in the city, according to people familiar with the matter.

Bourse officials have held follow-up talks with the two US-listed firms about the possibility of a secondary share sale, said the sources. The discussions are preliminary and subject to change, they added.

HKEX has said it is seeing a spike in inquiries about secon-dary listings from Chinese firms. The interest comes at a time when United States scrutiny of Chinese firms has intensified.

A decision to proceed would see China's biggest online travel service provider and second-biggest gaming company - with a combined market value of about US$60 billion - follow in the footsteps of Alibaba Group Holding, which last year pulled off the financial hub's largest equity offering since 2010., also known as Ctrip, and HKEX declined to comment. A Netease representative had no comment when contacted.

The Hong Kong bourse introduced new rules to allow dual-class shares after initially resisting such a change, a move that had prompted Alibaba's decision to debut in New York in 2014.


A version of this article appeared in the print edition of The Straits Times on January 03, 2020, with the headline 'HK bourse in talks on new listings with Ctrip, Netease: Sources'. Subscribe