China’s Haier mulls D-share issue to raise funds in Germany
Haier’s listing on the CEINEX, if went ahead, represents another significant step in China’s globalisation drive. Offshore yuan-denominated products will also be traded on the CEINEX
China’s efforts to connect with German stock market look set to come to fruition after white goods maker Qingdao Haier confirmed that it is studying the feasibility of issuing the so-called D shares in Frankfurt, following more than two years of preparations by regulators.
A listing by a top Chinese firm on the China European International Exchange, known as CEINEX, will represent another significant step taken by Beijing to reinforce its country’s globalisation drive.
D shares refer to the stocks in mainland companies to be traded on the CEINEX, a joint venture trading platform established by the Shanghai Stock Exchange, China Financial Futures Exchange and Deutsche Boerse in November 2015, on which stocks, bonds and exchange-traded funds will be listed.
The D shares are part of the Chinese regulators’ plan to internationalise the capital market as the world’s second-largest economy aims to increase its economic and financial influence worldwide.
Haier said in a statement on Friday it had not decided on whether to float D shares, but it is studying the issue.
Reuters reported that the Qingdao-based company which acquired General Electric’s appliance business in 2016 for US$5.4 billion would spearhead the move among Chinese firms to list on the CEINEX.
