Ronny Chow was interviewed by China Daily regarding the launch of a concept paper by The Stock Exchange of Hong Kong, that initiated a consultation on the “one-share, one-vote” principle — a listing rule that caused the city’s bourse to lose the Alibaba initial public offering (IPO) a few months ago.
The launch of the concept paper marked the beginning of a three-month consultation to invite written comments on whether to allow a company seeking to list or that is listed in Hong Kong to adopt the weighted voting right structures that give certain persons voting power disproportionate to their shareholdings.
Ronny commented that changes in the legal system could take years to achieve. “If Hong Kong Stock Exchange (HKEx) is to conclude in favor of allowing weighted voting rights structures after this consultation, I would expect significant consequential changes to the Listing Rules, Takeovers Code and other relevant laws and regulations in Hong Kong, which is a task that could take a long time to complete,” he said.
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