

Core Viewpoint - A-share listed companies are increasingly seeking to list in Hong Kong, driven by globalization and the desire for better valuation and international presence [1][2]. Group 1: Reasons for Hong Kong Listings - Since September of last year, 10 A-share companies have successfully listed on the Hong Kong Stock Exchange, with many more in the pipeline [1][2]. - Companies are motivated by the opportunity to enhance their global strategy, attract overseas talent, and expand their international customer base [1][2]. - The trend is particularly notable among technology companies, with 16 semiconductor and consumer electronics firms having submitted IPO applications in Hong Kong by June 30, 2025, a significant increase from the previous year [2]. Group 2: Policy Support - The surge in A-share companies listing in Hong Kong is supported by favorable policies from the Chinese government, including measures to facilitate capital market cooperation with Hong Kong [2]. - The China Securities Regulatory Commission has encouraged qualified domestic companies to list abroad to enhance their global market capabilities [2][3]. Group 3: Market Environment - The Hong Kong Stock Exchange has introduced initiatives like the "Special Line for Science and Technology Companies" to streamline the listing process for tech and biotech firms, enhancing the attractiveness of the market [3]. - Recent improvements in new stock performance and overall liquidity in the Hong Kong market have bolstered investor confidence, making it a more appealing venue for listings [3][4]. Group 4: Strategic Implications - For A-share companies, listing in Hong Kong represents a step towards deeper integration into the global capital market and supports their internationalization efforts [3][4]. - The dual listing strategy allows companies to access diverse funding sources and enhances their recognition in international markets, which is crucial for future cross-border operations [4].