After months of delays, Chinese mainland and Hong Kong regulators have finally approved plans to include shares from two major tech companies with a dual-class share structure in the Stock Connect programs linking the Hong Kong and mainland exchanges, Caixin reports.
Mainland investors have until now not been able to invest in shares of smartphone giant Xiaomi Corp and online service platform Meituan Dianping. The Hong Kong-listed firms were previously deemed ineligible for inclusion in the stock connect schemes linking Hong Kong’s stock exchange with those of Shanghai and Shenzhen, since they operated dual-class share systems that give different voting rights to different types of investors.
Shanghai, Shenzhen and Hong Kong have finally agreed to move past this impasse, and trading in the two firms’ shares will begin on mainland markets some time in mid-2019.
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