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China’s stock market in the US is on the rise to show up despite threats


Revenues from Chinese groups in US market markets rose by 440% in the first months of 2021, while Wall Street’s high-profile campaigns continued to threaten coercion.

Chinese companies earned $ 11bn this year on the New York Stock Exchange and Nasdaq through its first public offerings, a trade that follows the issuance of converted bonds, according to Dealogic.

The big list included a $ 1.4bn IPO e-cigarette subscriber RLX Technology and $ 947m donated from the Tuya software company, along with those produced by 20 other Chinese companies.

Several meetings confirmed the attraction of the major US markets for Chinese companies despite the difficulties between Washington and Beijing.

NYSE this year deceived three Chinese state-affiliated companies based on their suspicious relationship with the military. The same increase could occur after US lawmakers in December passed a law coercive groups who refuse to continue for a three-year US probation, which is banned by Beijing.

But IPO funders and lawyers say US lists have still given Chinese groups access to a deeper market and have been described by accounting experts, such as organizations in Hong Kong and northern China. he wanted to close the gap.

“Establishing [of the delistings law] it’s still a way to survive, ”says Jason Elder, a collaborator with law firm Mayer Brown in Hong Kong. “Most companies would not like to give up a few years waiting for this to happen – especially with the best market we have here in the US.”

The report also reflects China’s economic recovery from the Covid-19 epidemic.

Last week, China added record annual GDP growth more than 18 percent in the first quarter, indicating how Beijing’s idea of ​​tightening laws last year helped the country develop a solution to the epidemic sooner than its global counterparts.

“China’s economy is expected to grow strongly in 2021. Couple that with the emerging of a group of very strong companies, and, of course, you have investors that are sued to find ways to invest in those names,” said Craig Coben, market leader. Asia-Pacific international Bank of America

While the shares were listed in Shanghai and Shenzhen I cut After a successful global performance in 2020, the US market has continued this year, with the S&P 500 rising by 10%.

The US market has also benefited beefier calculation, and the S&P 500’s price-to-value ratio stands at 32 times compared to 19 for the China CSI 300. The Nasdaq Golden Dragon index of Chinese companies listed in the US was selling at a rate of about 100 times the eye rate.

This has helped to improve IPO comparisons and provide a welcome space for sharing shares with Chinese companies that have already registered.

Coben said: “Investors are focusing on short-term growth and profitability here, and they are dealing with changes in the way things are done or the political events and when they will occur.”


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