Haitong Securities to list in Hong Kong

Haitong Securities (600837.SH) announced on Tuesday it will seek a stock listing in Hong Kong to expand its presence and benefit from the internationalization of the renminbi, the Wall Street Journal reported. The listing announcement follows a similar statement last month by mainland brokerage CITIC Securities (600030.SH), which plans to link up with Credit Agricole for a Hong Kong IPO. Haitong will sell up to 13% of its total share base after the issuance, and will use the cash as operating capital and to create or acquire securities-related companies overseas. Haitong is also looking to profit through the new investment program that will allow brokerages to sell renminbi-denominated instruments in Hong Kong, the so-called “mini-QFII” program, modeled after the Qualified Foreign Institutional Investor program that allows foreign investors to buy shares in mainland-listed firms.