HKEX, Beijing’s new third board in dual-class listings accord
Hong Kong exchange to reveal conclusions on Tuesday of public consultation on what could lead to biggest listing reforms in 30 years
Hong Kong Exchanges and Clearing (HKEX), the operator of the city’s stock exchange, has signed an agreement with Beijing’s over-the-counter exchange, the National Equities Exchange and Quotations (NEEQ), marking the latest effort in its bid to land more mainland technology start-up listings.
NEEQ, also known as the “new third board”, was created in 2012 to help fund innovative start-ups.
At the end of last year, 11,600 firms had signed up to trade on it, raising 400 billion yuan (US$63.53 billion) since inception.
The memorandum of understanding (MOU), signed on Saturday between the two, comes just days ahead of HKEX announcing the conclusions of a public consultation (on Tuesday) on what’s likely to be its biggest listing reforms in three decades, including the green light for dual-class listings in Hong Kong for technology and biotech firms, even those without revenues.
HKEX chief executive Charles Li Xiaojia said on Friday that firms will be allowed to apply for listings from April 30, while issuing an invitation to tech companies already listed on NEEQ to apply to float shares in Hong Kong too.