Chinese companies are undeterred by rising decoupling risks between the US and China, with beverage chain Chagee pushing ahead with its US initial public offering (IPO) plan and budget variety goods chain Miniso shrugging off fresh delisting worries.
Shanghai-based Chagee said it would “proceed as planned” with its Nasdaq IPO and had no intention to consider Hong Kong or other listing destinations, a spokesperson said. The firm is seeking to raise up to US$411 million by selling 14.7 million American depositary shares (ADS), or a valuation of US$5.1 billion, according to its filing on Friday.
US Treasury Secretary Scott Bessent earlier this week said “everything is on the table” regarding the possibility of Washington delisting Chinese companies from American stock exchanges as part of its trade negotiations, adding that it was up to the US president to decide.
“We are primarily listed in Hong Kong, and the US and Hong Kong stocks can be freely converted,” a Miniso spokesperson told the Post. “This [potential delisting issue] will have little impact on us.”
There were 286 Chinese companies listed on American exchanges as of March 7, with a total market capitalisation of US$1.1 trillion, according to a US government report. The pool increased by 21 companies from the start of 2024, resulting in an additional US$250 billion in capitalisation.
