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Mainland’s stock connect programme seen to attract more firms to list in HK

More foreign firms are expected to go public following China's move to allow more Hong Kong-listed overseas companies to be included in the stock connect programme with the mainland. Financial Secretary Paul Chan Mo-po said the inclusion will help enhance the liquidity and market valuation of these foreign stocks. The China Securities Regulatory Commission earlier announced that it would launch three measures, including pushing for the inclusion of more Hong Kong-listed foreign companies in the southbound trading of the stock connect programme with mainland China. Kenny Ng, a strategist at Everbright Securities International, said that although the inclusion may not be a dominating reason for foreign firms to choose Hong Kong as a preferred listing venue, it certainly has a positive effect on the city's new listing activities.

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