Lam invites Alibaba to list on HK stock exchange

Hong Kong Chief Executive Carrie Lam Cheng Yuet-ngor invited China's e-commerce giant Alibaba Group Holding Ltd to be listed on the Hong Kong stock exchange, according to news portal Sina on Monday, in the wake of the company's failure to launch an IPO in the city in 2014 due to allowing different classes of shares with different voting power.

"Now I hope Alibaba could come back to list in Hong Kong,” said Lam when attending the inauguration ceremony of the Hong Kong Association of Zhejiang Entrepreneurs on Monday and meeting with Jack Ma, founder of Alibaba Group and chairman of the General Association of Zhejiang Entrepreneurs.

After initial failed attempt to get permission from Hong Kong Exchanges and Clearing to allow Alibaba's key executives to nominate a majority of the company’s directors, Alibaba turned to list in the United States in the end, where a dual-classed system is adopted.

Now, the Hangzhou-headquartered company is the world's sixth biggest by market cap of nearly $500 billion.

The Lam's listing offer came after HKEx proposed in December to let innovative companies list with dual-class share structures, which will result in the drop of the long-held principal of one-share-one-vote.

She said that Hong Kong government is working to innovate its economy and hopes that dual-class share system could embrace more enterprises to list in the city.

In response to the invitation, Ma said Alibaba will definitely consider Hong Kong’s market and hopes to further participate in the city’s economy.

He believed that the passing of dual-class share system will attract more hi-tech companies from Chinese mainland to Hong Kong and bring more opportunities for young talents in the city.