Growth Companies Increase Share of Hong Kong Listings to 30%

Hong Kong growth company listings are increasing as regulatory reforms and improvements to market infrastructure attract younger businesses, particularly in biotechnology and artificial intelligence.

Securities and Futures Commission Chief Executive Julia Leung Fung-yee said growth companies now account for 30% of Hong Kong-listed firms, compared with 10% in 2023.

Speaking at a seminar hosted by Japan’s Financial Services Agency in Tokyo, Leung said listing reforms had encouraged companies in emerging technology sectors to access Hong Kong’s capital markets.

Many of these businesses are only three to five years old, with some yet to commercialise their products.

Hong Kong has also upgraded its clearing and settlement infrastructure to support market development.

Leung highlighted the city’s proximity to mainland China and its access to a major artificial intelligence supply chain as competitive advantages.

For institutional investors and family offices, the growing representation of younger technology companies could expand investment opportunities while introducing additional early-stage business risks.