LSE, Seaspan seek Shanghai stock listing on investor demand
Monday, 28 June 2010
LONDON, June 27 (Bloomberg): London Stock Exchange Group Plc and Seaspan Corp, a Hong Kong shipper, may seek to list in Shanghai, joining a growing number of foreign companies seeking to take advantage of domestic demand and a stronger yuan.
The LSE, the operator of the London and Milan bourses, wants to list in China's commercial hub by the end of 2011, Chief Executive Officer Xavier Rolet said at a financial forum in Shanghai.
Seaspan would be interested if the Shanghai Stock Exchange opens to overseas companies, Chief Executive Officer Gerry Wang said at the same forum.
HSBC Holdings Plc, Standard Chartered Plc and NYSE Euronext have already said they want to list in Shanghai. The increased interest in tapping China's equity markets comes after the central bank on June 19 signaled it will make the exchange rate more flexible, spurring speculation the yuan will strengthen.
"Having overseas companies list in Shanghai will allow China's investors more choices for their savings," said Fred Hu, formerly Goldman Sachs Group Inc's Greater China Chairman.
China's stock markets are "immature" compared with regional rivals, Goldman Sachs Group Inc. said in a report.
The Shanghai bourse has the lowest so-called free float among benchmark equities exchanges in a dozen Asian-Pacific nations and the smallest foreign ownership level.
Allowing foreign companies to sell shares in Shanghai would help the city reach its goal of becoming a global financial center by 2020.
The Shanghai Stock Exchange is drafting rules for a board on which foreign companies will be allowed to sell shares, Chairman Geng Liang said in March.
Shanghai has been contacted by foreign companies from the finance, telecommunications, consumer goods and manufacturing industries about selling shares in the city, Fang Xinghai, head of the city's financial services office, said last month.
The LSE, the operator of the London and Milan bourses, wants to list in China's commercial hub by the end of 2011, Chief Executive Officer Xavier Rolet said at a financial forum in Shanghai.
Seaspan would be interested if the Shanghai Stock Exchange opens to overseas companies, Chief Executive Officer Gerry Wang said at the same forum.
HSBC Holdings Plc, Standard Chartered Plc and NYSE Euronext have already said they want to list in Shanghai. The increased interest in tapping China's equity markets comes after the central bank on June 19 signaled it will make the exchange rate more flexible, spurring speculation the yuan will strengthen.
"Having overseas companies list in Shanghai will allow China's investors more choices for their savings," said Fred Hu, formerly Goldman Sachs Group Inc's Greater China Chairman.
China's stock markets are "immature" compared with regional rivals, Goldman Sachs Group Inc. said in a report.
The Shanghai bourse has the lowest so-called free float among benchmark equities exchanges in a dozen Asian-Pacific nations and the smallest foreign ownership level.
Allowing foreign companies to sell shares in Shanghai would help the city reach its goal of becoming a global financial center by 2020.
The Shanghai Stock Exchange is drafting rules for a board on which foreign companies will be allowed to sell shares, Chairman Geng Liang said in March.
Shanghai has been contacted by foreign companies from the finance, telecommunications, consumer goods and manufacturing industries about selling shares in the city, Fang Xinghai, head of the city's financial services office, said last month.