Between 130 and 150 Chines firms could raise more than $50bn next year through IPOs and secondary listings on the two principal Chinese stock exchanges – Hong Kong (HKEX) and Shanghai (SSE) – according to a KPMG International report. Many of them will be Nasdag-listed Chinese enterprises that have fallen foul of the stiffening of the regulatory environment on the other side of the Pacific that is both a cause and consequence of the ongoing US-China trade war.
Along with many other exchanges around the world, the HKEX and the SSE have had a successful pandemic, as investors look for havens for their capital during a prolonged period of low interest rates and government bond yields. Over the past 12 months, Hong Kong’s stock exchange has grown by 24% to reach a 10-year high. KPMG expects more of the same in 2011, with the Chinese stock exchanges benefitting from a new US bill that will require all listed companies to face consistent auditing standards.