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In Depth: Why Hong Kong Could Gain From China’s Foreign Share-Sale Crackdown

2021年07月23日 10:01
T中
Under Beijing’s new cybersecurity rules for shares issued abroad, HKEX doesn’t count as a ‘foreign’ exchange, making it more of a draw for tech companies

China’s tightening scrutiny of U.S.-traded data-heavy companies is raising the prospect of more share sales in Hong Kong, even though the city’s stock exchange is known for having stricter requirements than U.S. bourses.

Under a newly revised regulation, Chinese companies holding the personal information of 1 million or more users have to seek a government cybersecurity review before a foreign share flotation. “Foreign” under the rule doesn’t include Hong Kong, suggesting an opportunity for the exchange.


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