Victor Li’s CKI Considers London Among Second Listing Venues

The UK’s Financial Conduct Authority on announced new rules for listings in London to try to attract more companies. (Jason Alden/Bloomberg)

(Bloomberg) -- CK Infrastructure Holdings Ltd., backed by Hong Kong tycoon Victor Li, is considering a second listing on an overseas stock exchange such as London’s, potentially becoming the first company to take advantage of new listing rules in the British capital.

An additional listing could “provide a greater market” for trading in its shares, Hong Kong-listed CKI said in a stock exchange filing on Thursday. No definitive decision has been made on whether to proceed with such a listing, which would be without any fundraising, it added. 

CKI’s moves coincide with the UK Financial Conduct Authority’s announcement on new rules to try to attract more companies to London following a sharp drop in initial public offerings. Under the new rules, which will be effective from July 29, issuers that are not incorporated in the UK and have a recognized overseas listing will be able to seek a second listing in the city on a bespoke category.

A listing of CKI — one of the flagship companies of Hong Kong’s richest man Li Ka-shing — could be seen as a vote of confidence for UK Prime Minister Keir Starmer’s new government following the Labour Party’s landslide victory last week.

HSBC Holdings Plc is working with CKI on a potential second listing in London, according to people familiar with the matter. A listing could happen in the coming months, said the people, who asked not to be identified as the information is private. A representative of CKI declined to comment beyond their Thursday statement. A representative for HSBC didn’t immediately respond to requests for comment.

CKI has been listed in Hong Kong since July 1996. The company has investments in areas ranging from energy and transport to water and waste management. Its operations and investments span Hong Kong, mainland China, the UK, US, Europe, Australia, Canada and New Zealand, its website shows. Overseas business is a significant contributor to CKI’s revenue. In the UK, it owns UK Power Networks, Northern Gas Networks and Northumbrian Water.

CK Infrastructure rose 2.7% in Hong Kong on Thursday, for a year-to-date gain to 7.2%. The company has a market value of HK$117 billion ($14.9 billion).

--With assistance from Olivia Tam.

(Updates with more details throughout.)

©2024 Bloomberg L.P.

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