[sgbuffett]

For loss making companies like Nio and Xpeng that are more like start ups and still losing money, they can't even do it.

There are 2T worth of China stocks on US exchange, there is no way for the HK/SH exchange to absorb such a big supply

Take recent example of well established Biotech China firm with has jnternational operations and HQ in Switzerland.  They just wanted a 3B secondary listing in Shanghai, it currently has market cap of 24B. Stock is Beigene.

From the point of announcement to the trading today on Shanghai, the stock fell by 30% due to the substantially lower valuation given to it by investors in China.

Fast growing companies that need access to capital moving to a China listing is very disadvantageous and can affect its ability to grow.

The reason why China's tech giants mostly came out of US listing is the easy  availablity of funds. 

Using US investors money to create tech giants that can compete against the likes of Apple and Google is a tremendous gain for China. 

[cityhantam]

..... there is no way for the HK/SH exchange to absorb such a big supply...

Are you sure?

Don't underestimate the power of investors in East Asia! 

The Shanghai Stock Exchange is the world's 3rd largest stock market by market capitalization at US$7.62 trillion as of July 2021.

The Shenzhen Stock Exchange (SZSE) is the world's eighth-largest stock exchange by market capitalization, with a market capitalization of US$3.90 trillion in July 2021.

Hong Kong Stock Exchange : Market cap HK$47 trillion (2020) [more than USD 6 trillions]

Beijing just started a new stock exchange recently.

[sgbuffett]

..... there is no way for the HK/SH exchange to absorb such a big supply...

Are you sure?

Don't underestimate the power of investors in East Asia! 

The Shanghai Stock Exchange is the world's 3rd largest stock market by market capitalization at US$7.62 trillion as of July 2021.

The Shenzhen Stock Exchange (SZSE) is the world's eighth-largest stock exchange by market capitalization, with a market capitalization of US$3.90 trillion in July 2021.

Hong Kong Stock Exchange : Market cap HK$47 trillion (2020) [more than USD 6 trillions]

Beijing just started a new stock exchange recently.

We just had a demo on what will happen...in form of Beigene.

Of course if you simply shift and sell by lowering price go clear stock you can always sell but ghat a big hit. Its like clearance sale.

Anyway it is always better to use outside money for growth. Many of the employees of Tencent and Aljbaba are beneficiaries earning high salaries.

[sgbuffett]

It shows how difficult for high tech and biotech companies to raise money on Chinese exchanges.

The investment expertise and investment pool to cover these stocks just isn't there.

Anyway this a top rate Biotech firm with cutting edge research. If it falls further will be a very good buy.

Beigene's HK shares at near 4 – month low after tepid Shanghai debut
15 December 2021 13:10
* Hong Kong-listed shares of Chinese biotech company Beigene Ltd fall 6% to HK$164.80, their lowest level since Aug 24
* Stock marks its biggest intraday percentage decline since Dec 6, on track for a fourth consecutive session of losses; stock is fifth-biggest percentage decliner in Hang Seng Composite Index
* Shanghai shares of BeiGene plunge as much as 19.5% on their trading debut on Wednesday after raising $3.5 bln in the biggest STAR Market listing this year ...
* Stock down 12.8% from their offer price of 192.6 yuan apiece
* The offering, the biggest float of a healthcare company in China in at least two decades, according to Refinitiv data, comes amid growing concerns some Chinese companies could be ordered to delist from the U.S. stock market
* In a separate statement, the Beijing-based co says it has signed a licensing and cooperation agreement with Nanjing Leads Biolabs Inc, securing R&D, manufacturing and commercialization rights of Nanjing Leads' antibody LBL-007 outside of China...
* Hong Kong's healthcare index falls 1.1%
* Hang Seng Composite Index climbs 0.1% and the benchmark Hang Seng Index gains 0.2%
* Beigene's Hong Kong stock up 11.7% this year, as of last close