International Board Likely to Debut in Shanghai This Year
Foreign companies may list in Shanghai at its international board later this year, Thursday’s China Daily quoted a top official from the city’s financial regulator as saying.
Xu Quan, deputy director of the Financial Services Office of the Shanghai government, said the China Securities Regulatory Commission is currently studying the final draft of the listing rules.
The Shanghai Stock Exchange (SSE), on its part, is working out the modalities for trading and governance of the international board as it would have rules, which are different from the main board, said Xu.
The plan to allow foreign firms to float shares in Shanghai is in line with China’s efforts to widen investment channels for domestic investors and fast track the development of its capital markets.
SSE Chairman Geng Liang said in March that overseas companies could list on the new board through initial public offerings or China Depositary Receipts.
The (international) board would also explore the possibility for overseas companies to issue yuan-denominated bonds and other debt instruments, the newspaper quoted Xu as saying.