Hong Kong Listing - September 2011 (No. 3)

Hong Kong is the market of choice in Asia for companies, including Hong Kong and Mainland Chinese companies, seeking to go public and raise funds in a world-class market. For the past two decades the Hong Kong Exchanges and Clearing Limited (HKEx) has hosted 595 Mainland enterprise listings, which together have raised a total of US$384 billion. The HKEx raised almost US$53 billion in initial public offerings in 2010. Companies pursue listing in Hong Kong for reasons that are unique to the particular circumstances of each company and its shareholders, however, the key drivers that have attracted companies to list in Hong Kong are (1) its close proximity to Mainland China, (2) its well-established legal system and (3) its transparent and effective regulatory framework and listing regime.