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China’s overseas-listed tech giants in top talks for trading homecoming

Executives eye synergies from issuance in their biggest market

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China’s securities watchdog is in talks with the country’s tech giants to pave a way for innovative companies listed overseas to be traded at home via finance certificates. Photo: Reuters
Sarah Daiin BeijingandXie Yuin Hong Kong

China’s securities watchdog is in talks with the country’s tech giants to pave a way for innovative companies listed overseas to be traded at home via finance certificates.

On the sidelines of an annual gathering of the country’s top advisory body on Saturday, several businesspeople confirmed discussions were under way to enable tech companies to bypass the profitmaking requirement for main board listing and keep their corporate structures intact, as part of China’s push to make its capital market more supportive of innovation.

“Sogou, along with a couple of other internet companies, is expected to make a breakthrough [to start the process] this year,” Sogou chief executive Wang Xiaochuan said in Beijing on the first day of the Chinese People’s Political Consultative Conference.

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Wang, a CPPCC delegate, said his company was among those that had been in talks with the China Securities Regulatory Commission for such a listing.

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“For internet companies, most of our market and users are in China … To get listed at home would form a bigger synergy,” Wang said.

Sogou chief Wang Xiaochuan says a listing in China would generate synergy. Photo: Bloomberg
Sogou chief Wang Xiaochuan says a listing in China would generate synergy. Photo: Bloomberg
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