Vanke`s move sparks talk of listing in HK
2012-12-27 10:09:20Source:Shanghai DailyAuthor:
Trading in shares of China Vanke Co was suspended in Shenzhen yesterday, sparking speculation the company is planning to convert its Hong Kong dollar-denominated B shares for a listing in Hong Kong.
Vanke suspended trading in both B shares and yuan-denominated A shares from yesterday as the property developer is "planning important issues," it said in a filing to the Shenzhen Stock Exchange late on Tuesday, without elaborating details.
The suspension triggered talk that Vanke may convert its 1.3 billion Shenzhen-listed B shares, valued at about HK$16.4 billion (US$2.1 billion), into Hong Kong-listed stocks as the company seeks to expand its funding channel globally.
Vanke bought 79.26 percent in Hong Kong-listed Winsor Properties Holdings in July as part of a long-term overseas expansion plan and the purchase offers the company an overseas source of financing.
The Chinese mainland's B-share market, set up in 1992, has seen foreign investor appetite dim after the government launched the Qualified Foreign Institutional Investor scheme that lets foreign investors access the mainland's larger A-share market.