Fortescue mulls Hong Kong, Shanghai listing

Fortescue Metals Group (FMG.AS), Australia’s third-largest iron ore mining firm, may list in Hong Kong or Shanghai to be closer to its demand source, the Wall Street Journal reported. “We study the Shanghai market and Hong Kong market all the time,” said the company’s CEO, Andrew Forrest. “We’re keeping our iron in the fire there.” The company is looking to solidify links with Chinese consumers as it plans a US$8 billion expansion for its mines in Western Australia. The firm has already taken to settling cross-border trades in renminbi. However, the Hong Kong stock market is widely thought to have “investor fatigue” from a slew of secondary listings this year, particularly by commodities firms. Moreover, officials have yet to reveal a specific launch timetable for the long-awaited Shanghai international board.