HKEX creates ‘short cut’ for secondary listings by likes of Aramco, adds Saudi Exchange to list of recognised bourses
HKEX’s addition of Saudi Exchange creates a short cut for companies in the Middle East seeking listings in Hong Kong, Institute of Securities Dealers’ Tom Chan saysSaudi Exchange is a well-established stock market with a diverse range of companies from Saudi Arabia and the Middle East that represent sectors including energy, industrials and healthcare, HKEX’s head of listing Katherine Ng saysHKEXEnoch YiuPublished: 7:35pm, 28 Sep, 2023Why you can trust SCMP
The addition will allow companies with a primary listing on Saudi Exchange’s main board to apply for a secondary listing in the city, HKEX said in a statement on Thursday.
“HKEX’s addition of Saudi Exchange effectively creates a short cut for companies in the Middle East seeking a listing in Hong Kong,” said Tom Chan Pak-lam, permanent honourable president of industry body Institute of Securities Dealers (ISD). “This will strengthen the linkages between Hong Kong and Saudi Arabia, and is a major step forward towards enticing Middle Eastern companies to list here.”
Saudi Exchange’s inclusion comes amid a dearth of initial public offerings (IPOs) in Hong Kong, with the local exchange raising the least amount of funds from new listings in two decades in the first nine months of this year. HKEX has been working to attract international listings, opening an office in London this month after opening one in New York in June.