Alec Macfarlane is a columnist based with Breakingviews’ Asia team in Hong Kong. He was previously with the Wall Street Journal in Hong Kong, covering the Asian IPO market, and has also covered private equity for Dow Jones in London.
The $70 bln Beijing-based online retailer will be next with a second listing, in Hong Kong. Others are bound to follow, but not all 175 trading on New York exchanges can access this safety valve from a U.S. backlash. Some may need to go private and hibernate for a while.
Boss Masayoshi Son is scrambling to clean up his “foolish” and costly WeWork mess. Instead of just selling some Alibaba shares, though, he’s using derivatives linked to them to raise $11.5 bln. The transactions are fiddly, but in this case may be a good use of creative finance.
The $51 bln video-game producer is ready to raise $2.6 bln in Hong Kong. Quarantined customers have helped it defy a U.S. backlash against Chinese stocks. A secondary listing closer to home, following a tougher trail blazed by Alibaba, should add a useful layer of protection.