According to the Hong Kong Economic Journal, Chinese e-commerce powerhouse JD.com has approached investment banks including UBS and Bank of America to discuss a second listing in Hong Kong. JD.com reportedly intends to complete it in the first half of 2020. The exact listing time and scale have not been disclosed yet, and JD.com has not yet confirmed the information.
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After Alibaba’s secondary listing in Hong Kong, JD.com, Baidu, NetEase, Ctrip and several other companies have all been in the news as potential Chinese companies to follow in its footsteps. However, the novel coronavirus outbreak has likely affected the listing plans of these companies.
Chinese media outlet Securities Times reported on February 6 that due to the COVID-19 outbreak, the rhythms of the Hong Kong IPO market have been disrupted, with many companies choosing to postpone their listing plans. JD.com, Baidu, and other Chinese US-listed stocks intended to follow Alibaba’s move in the first quarter of this year, but were forced to postpone their plans.
PwC also noted in a report released at the beginning of the year that due to Alibaba’s secondary listing, many Chinese companies are considering listing in the two places, which is expected to bring more IPOs to the Hong Kong market.