[September 16, 2009] HSBC Holdings and CITIC Pacific Set A-share Underwriter Tweet HONGKONG, Sep 16, 2009 (SinoCast Daily Business Beat via COMTEX) -- HSBC Holdings Plc (0005.HK) and CITIC Pacific Ltd. (0267.HK) reportedly have primarily selected CITIC Securities Co. (600030.SH) as the sponsor as well as the underwriter for their A-share sale in the not long distant future. Both HSBC Holdings and CITIC Securities have confirmed the story; but CITIC Pacific responded that its A-share listing plan depends on the regulatory policy of China's Mainland. The international board is expected to make debut on the Shanghai Stock Exchange in 2010, for wholly-foreign-invested companies to issue Chinese yuan-denominated shares. This May, Shanghai Stock Exchange inked cooperation agreement with NYSE Euronext. One month later, the Shanghai bourse launched new English-version website, which made modification about the listing rules in English version. According to Minister Chen Deming of China's Ministry of Commerce, some qualified foreign enterprises will be permitted to get listed in the stock market of China's Mainland next year. A manager with CITIC Securities predicts that there will be two to three foreign companies getting listed on the international board of the A-share market in 2010, followed by 20 more such enterprises in the coming five to six years, provided that domestic stock market goes well. Shanghai, the financial center of China's Mainland, now is on the way towards an international financial center just like Hong Kong. The upcoming international board in the A-share market is expected to accelerate the capital flow by attracting well-performing foreign companies to China's capital market. On the other hand, those foreign players, after entering China, could bring advanced corporate governance mode to the country, thus to help promote the philosophy of value investment. Still, it remains unclear what kind of companies could debut on the International Board first. Earlier, it was said those red-chip companies might be approved to make debut first. A red-chip company refers to a Hong Kong-listed Chinese company registered in a foreign nation. Earlier, some red-chip companies were said to have the plan to return to the A-share market of China's Mainland in the second half of this year. They include China Mobile Limited (0941.HK), CNOOC Ltd. (0883.HK), China Overseas Land & Investment Ltd. (0688.HK), China Resources Enterprise Ltd. (0291.HK) and so forth. Also, Hutchison Whampoa Ltd. (0013.HK), Henderson Land Development Company Limited (0012.HK) and New World Development Company Limited (0017.HK) are also reported to express the interest to go public in mainland stock market. All of them are renowned property developers. (USD 1 = CNY 6.83) Source: www.cnstock.com (September 16, 2009) [ Back To TMCnet.com's Homepage ]