Ping An of China’s Blockchain Unit Chooses US over Hong Kong for IPOBy Sep 23, 2019 1 Min Read
Chinese insurance giant, Ping An Insurance’s financial technology arm, OneConnect is leaning towards choosing New York over Hong Kong for its initial public offering (IPO) this year in mid-November.
As China’s biggest insurer by market value, Ping An Insurance Group was planning its IPO originally in Hong Kong, aiming at a deal that could raise up to $1 billion at a valuation of around $8 billion. Invested by Japan’s SoftBank Corp, the insurer was earlier looking to launch the IPO as early as this month.
The Chinese insurance giant is now looking to list OneConnect in the United States this month, according to a reliable source who shared this news with Reuters. New York was chosen over Hong Kong for this IPO in the hopes of achieving a higher valuation.
A source, who declined to be identified stated that the unit’s timetable to IPO could change subject to market conditions and investor reaction.
PingAn’s OneConnect received a virtual banking license by the Hong Kong Monetary Authority (HKMA) earlier this year to operate in Hong Kong. The insurance giant also helped the HKMA to build a blockchain trade finance platform, eTradeConnect.
JPMorgan, Goldman Sachs and Morgan Stanley were selected previously to work on OneConnect’s IPO.
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