JD.com becomes the latest Chinese company to turn to Hong Kong with $4 billion listing

Hong Kong CNN Business — JD.com is planning a secondary listing for its shares on Hong Kong’s stock market — the latest example of how the city is becoming a fallback for Chinese companies fearful of possible regulatory trouble in the United States. The Chinese e-commerce and tech company said in a filing to the US Securities and Exchange Commission on Friday that it is issuing 133 million new shares at a maximum price of 236 Hong Kong dollars each, offering no discount to JD’s closing price in New York. JD is expected to begin trading in Hong Kong on June 18, the same day as the company’s founding and the final day of its annual shopping blitz in China known as 618. JD’s Hong Kong listing comes as tensions between the United States and China are on the rise, threatening to break a fragile trade truce between the world’s biggest economies. “Nasdaq’s action should serve as a model for other exchanges in the United States, and around the world.” And following an accounting scandal involving Luckin Coffee, which started trading in New York last year, the US Senate unanimously passed a bill that would prevent companies that refuse to open their books from listing on Wall Street.