SGX woos Chinese firms with secondary listings

The Singapore Exchange (SGX) is encouraging Chinese companies to pursue secondary listings in Singapore. The strategy aims to help these firms expand into Southeast Asia and diversify their fundraising options amid global trade tensions, SGX officials said in Shanghai on Friday.

The SGX has partnered with the Shanghai Stock Exchange to streamline the process for Shanghai-listed companies. The partnership includes joint road shows, connecting companies with Singaporean investors, and applying a "home-market principle" to simplify listing rules.

Currently, more than 30 firms, including those from China, are in the pipeline for an initial public offering in Singapore, with the focus on advanced manufacturing, technology and new materials. This comes after Singapore's announcement of a S$5 billion (US$3.89 billion) Equity Market Development Programme in February to boost its market competitiveness and liquidity.

A recent Reuters report indicated that at least five Chinese mainland and Hong Kong firms are planning IPOs or dual listings in Singapore within the next 12 to 18 months.