Hong Kong’s Booming IPO Market Set for Lift From China Curbs
- HKEX’s shares rose most in July of any major exchange
- Firms may switch listing venue as Beijing restricts U.S. IPOs
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The tailwinds lifting the Hong Kong bourse’s prospects are blowing from east and west: China is applying heavy scrutiny on overseas listings as well as its homegrown exchanges, sending companies to consider going public in the Asian financial hub.
Logistics and delivery firm Lalamove is the latest weighing moving its U.S. initial public offering plan to Hong Kong, following Beijing’s pledge to tighten cybersecurity oversight that could block startups from holding first-time share sales outside the country. China’s stricter screening for its Nasdaq-style STAR board has also prompted companies such as Neusoft Medical Systems Co. to switch to Hong Kong.