The buzz around spin-off listings in Hong Kong
Such listings have many benefits for companies, but also involve regulatory safeguards
Add BT as a preferred source
DeeperDive is a beta AI feature. Refer to full articles for the facts.
HONG Kong is known as a destination for spin-off listings. From 2018 to August 2022, 64 companies went public through spin-off listings on the domestic bourse, representing almost 10 per cent of initial public offerings (IPOs) in that period.
There continues to be buzz around such listings. For instance, Chinese Internet giant Alibaba Group last year announced plans to list its smart logistics arm Cainiao on the Hong Kong stock exchange, or HKEX, potentially raising US$1 billion. It was touted to be among the hottest Asian IPOs.
Alibaba has since indicated that it may put the listing on hold, citing market conditions. Nevertheless, it is worth learning more about the appeal of spin-off listings in Hong Kong, and what companies and investors should look out for.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
TRENDING NOW
Middle East-linked energy supply shocks put Asean Power Grid back in focus
From intern to C-suite: JPMorgan’s Teresa Heitsenrether on building a fully AI-powered ‘megabank’
Richard Eu on how core values, customers keep Singapore’s TCM chain Eu Yan Sang relevant
Prime Orchard condo High Point takes fifth stab at en bloc sale with S$580 million asking price
