White goods maker Qingdao Haier Co Ltd on Tuesday announced plans to sell up to 400 million so-called D-shares in Frankfurt, becoming the first Chinese company to do so. The Haier listing will kick off the D-share project - D is for Deutschland - on the infant China Europe International Exchange based in Frankfurt.
Reuters reported on Haier's intention to list earlier this year. CEINEX was set up with the blessing of Beijing and Berlin in 2015 and is mostly owned by Shanghai Stock Exchange (SSE) and Deutsche Boerse. The listing will be proposed and voted on at a shareholder meeting on April 27, Haier said. At Haier's share price in Shanghai, a listing of 400 million shares would be valued at about 930 million euros ($1.15 billion).
The establishment of D-Shares marks the latest in a series of gradual moves by China to increase foreign engagement with its companies, albeit often at a distance. D-shares join a long list of offshore Chinese forms of equity including H-shares and red-chips in Hong Kong, S-chips in Singapore and N-shares in New York.
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