13 December 2019

Window still open for Alibaba listing in Hong Kong, HKEJ says

The Hong Kong stock exchange is studying whether to allow more voting rights for the same shareholding, leaving room for e-commerce giant Alibaba Group Holdings Ltd. to list in the city, the Hong Kong Economic Journal reported Wednesday. The listing committee of the Hong Kong Exchanges & Clearing Ltd. (00388.HK) discussed the controversial shareholding structure in its quarterly meeting on Tuesday. According to Alibaba’s proposal, the management team will hold the nomination rights for the majority of the company’s directors in order to maintain decision-making, but this apparently runs counter to the bourse operator’s one-share-one-vote principle, the paper said. The committee has asked the listing department to conduct a feasibility study on the issue and will decide whether to open public consultation on the matter in the next meeting early next year, the report said.

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