Print Edition - 2018-12-09 | MONEY
China’s COSCO Shipping considers London listing
Dec 9, 2018-
China’s largest shipping group, COSCO Shipping, is considering raising capital for the first time on the London Stock Exchange through a new initiative with Shanghai’s bourse, two finance sources familiar with the matter said. The Shanghai-London Stock Connect will enable Chinese companies to raise fresh money on the LSE through issuing global depository receipts (GDR), which could boost momentum amid concerns that Brexit could dent the City of London’s leading position in financial markets. The LSE is hoping to get a boost from China as the world’s fastest growing capital market. The sources, who declined to identified citing sensitivity, said COSCO Shipping Holdings Co, which is Shanghai and Hong Kong listed, was examining the possibility of issuing GDRs in London. No decision had been taken yet, partly as it would also require Chinese regulatory approval.
“Any capital raising would be large to make it worthwhile and also to bolster connections with foreign investors,” one of the sources said. The second source added: “For political reasons as well, London would be a preferable capital destination for COSCO rather than New York, for instance.” (REUTERS)
Published: 09-12-2018 08:54