SHANGHAI, June 26 (Reuters) - Legal and technical issues will delay the proposed trading of international equities on the Shanghai Stock Exchange, the vice chairman of the country's securities regulator said at a financial forum on Saturday.
China had floated the idea of allowing foreign companies to sell shares publicly in Shanghai as early as 2010, as part of efforts to reregulate its capital markets and broaden investment channels for domestic investors.
Yao Gang, vice chairman of the China Securities Regulatory Commission, did not give a target for when the international board might be up and running.
'To allow offshore companies to list in China involves complicated technical issues, such as accounting standards, investor protection laws, disclosure systems,' Yao said.
'We have made great progress, but we are still facing some major problems. It's very difficult to give a timetable at this point.'
HSBC Holdings Plc and Nasdaq operator Nasdaq OMX are among the international companies that have expressed an interest in such listings.
Hong Kong-listed Chinese companies that are technically based overseas have also expressed an interest, including China Mobile and PC maker Lenovo.
(Reporting by Soo Ai Peng; Writing by Lucy Hornby and Zhou Xin; Editing by Ron Askew)
((lucy.hornby@thomsonreuters.com; +86 10 6627-1269; Reuters Messaging: lucy.hornby.reuters.com@reuters.net)) (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
China had floated the idea of allowing foreign companies to sell shares publicly in Shanghai as early as 2010, as part of efforts to reregulate its capital markets and broaden investment channels for domestic investors.
Yao Gang, vice chairman of the China Securities Regulatory Commission, did not give a target for when the international board might be up and running.
'To allow offshore companies to list in China involves complicated technical issues, such as accounting standards, investor protection laws, disclosure systems,' Yao said.
'We have made great progress, but we are still facing some major problems. It's very difficult to give a timetable at this point.'
HSBC Holdings Plc and Nasdaq operator Nasdaq OMX are among the international companies that have expressed an interest in such listings.
Hong Kong-listed Chinese companies that are technically based overseas have also expressed an interest, including China Mobile and PC maker Lenovo.
(Reporting by Soo Ai Peng; Writing by Lucy Hornby and Zhou Xin; Editing by Ron Askew)
((lucy.hornby@thomsonreuters.com; +86 10 6627-1269; Reuters Messaging: lucy.hornby.reuters.com@reuters.net)) (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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