Hong Kong’s Investor Climate Turns Chilly

Hong Kong Exchanges Ditch Requirement for Separate Votes by Chinese Companies

Hong Kong’s stock exchange operator, Hong Kong Exchanges and Clearing (HKEX), has made a significant change to its listing rules that gives mainland Chinese companies an advantage over Hong Kong-listed stocks. The tweak eliminates the requirement for companies incorporated in China to hold separate shareholder meetings for their onshore and offshore investors on rights issues and share repurchases. This move is likely to attract global funds to trade stocks on the mainland instead of in Hong Kong.