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HKEX Special

Hong Kong’s innovation economy accelerates with ‘The Road to IPO’ platform for hi-tech firms

Platform helps hi-tech firms with the IPO process and promotes city as a technology investment hub

PUBLISHED : Tuesday, 27 June, 2017, 4:18pm
UPDATED : Tuesday, 27 June, 2017, 4:18pm

Hong Kong Science and Technology Parks (HKSTP) and Hong Kong Exchanges and Clearing (HKEX) have launched a platform to nurture technology companies and help them to go public in Hong Kong. The “Road to IPO” (initial public offering) platform is also aimed at accelerating the development of Hong Kong’s innovation economy and strengthening its position as a technology investment hub in

the region.

The platform was created to help technology companies through the multistage, multiyear process as they prepare for an IPO. It will help connect high-potential technology companies with external parties, including global investors, financial, legal and business experts who can support them on this journey.

The platform is open to all technology companies at different stages in fundraising and the IPO process. It is aimed at firms that are closer to the IPO-planning stage, including those from the biomedical technology, electronics, green technology, information and communications technology, and material and precision engineering industries.

Through the platform, HKSTP and HKEX will organise IPO-related joint workshops to help firms put in place the right strategies, management team, corporate structure, and financial and governance models as part of their IPO preparations. HKSTP will set up an enquiry hotline for technology companies that need directions to IPO; while HKEX will assist those referred by HKSTP, by by guiding them through the IPO preparation process and relevant listing requirements.

The new platform may encourage more hi-tech companies to set up offices in Hong Kong to develop IT in the city
Roy Lo Wa-kei, managing partner, Shingwing (HK) CPA

Albert Wong, CEO of HKSTP, says his body is building a strong and supportive ecosystem for technology companies that can become the best destination for investors. He believes the end-to-end support platform will nurture technology companies towards IPOs in Hong Kong, and help the city to become a regional hub for technology investment.

Roy Lo Wa-kei, managing partner of Shingwing (HK) CPA, says the Road to IPO platform would help to attract more IT companies to list in Hong Kong and increase the value of the Hong Kong stock market.

“There is a lack of hi-tech companies listed in Hong Kong,” he says. “As hi-tech companies usually have high values and P.E. ratios, they will help increase the total value of the capital market.

“Apart from listing on the stock market, the new platform may encourage more hi-tech companies to set up offices in Hong Kong to develop IT in the city,” Lo adds.

KEITH CHAN