Comparative Analysis Of Listing In A-share And Hong Kong Stock Market For Chinese Corporates

At present,Chinese enterprises are gradually moving towards asset securitization on the process of standardization,marketization and internationalization.Capital market environment is vitally important to long-term development of enterprises,then whether they should choose listing in A-share or Hong Kong stock market comes to be the most concern.This paper provides a comprehensive analysis on current situation of the two securities markets to illustrate how enterprises should adjust their listing strategies in a timely and effective manner to find out the most suitable solution.On the basis of the relevant domestic and international research,this paper firstly gives an overview of China's A-share capital market and Hong Kong's capital market from the perspective of development process,listing process and issuing requirements.Secondly,this paper makes a comparative analysis of the advantages and disadvantages of A-share listing and Hong Kong-share listing by six factors: enterprise valuation and financial indicators,enterprise listing costs,secondary market financing capacity and liquidity,diversification of investors,industry performance,enterprise structure.Finally,by case study of two representative enterprises in internet technology and biotechnology industry,amplifying the comprehensive considerations about how to choose listing location.In words,since opportunity and risk exists side by side,it is particularly important for enterprises to make complete understanding of their own situations,and choose the listing location specifically.This paper provides some reference value for Chinese enterprises by comparing listing in Ashares and Hong Kong stocks market to choose a suitable listing location and perfecting the capital market.