China to include eligible dual-listed shares in Stock Connect scheme
Dual-class shares, which have converted to primary listings in Hong Kong, can be included in the cross-border Stock Connect scheme, Shanghai and Shenzhen stock exchanges said on Saturday, potentially channeling fresh money into eligible stocks. ![]()
The Stock Connect is an investment channel that connects the Hong Kong, Shanghai, and Shenzhen stock exchanges.
In a statement, the bourses gave the example of Shanghai-based video platform $Bilibili(BILI.US$ , whose shares are listed in the United States and Hong Kong.
After the company converted its secondary listing in Hong Kong to a primary listing on Oct. 3, its shares can be added to the Southbound leg of the Connect scheme as soon as March, if they meet certain conditions, the bourses added.
A growing number of China's dual-class companies, including e-commerce giant $Alibaba(BABA.US$ and fast-food restaurant chain operator $Yum! Brands(YUM.US$ , also have applied to convert their secondary listings in Hong Kong to primary ones. Dual-class shares give greater voting rights to company founders over individual investors.
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whqqq : I wonder how many millions of Chinese retail investors will have access to buy their best companies through this connect? Hundreds of millions? Bet they’ll wait until delisting risk subsides then pour in if PCAOB finds them compliant. $150 BABA here we come
102905741 : Good job..