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The climate has never been better for Mainland Chinese companies to develop international expansion strategies, the Financial Secretary of the Hong Kong SAR Government today told more than 100 Mainland executives and officials gathered at a forum on the sidelines of the 11th China International Fair for Investment and Trade (CIFIT) in Xiamen, Fujian province.
"Hong Kong, in particular, offers Mainland companies a range of financial services and capital raising options underpinned by its status as a transparent, stable and international financial centre," said Mr John C Tsang, Hong Kong's Financial Secretary, the keynote speaker at the half-day Forum: "Hong Kong ¡V Your Platform to Go Global".
"We have a solid track record of companies, large and small, benefiting from our financial services. We're here today to offer practical advice on the issues, opportunities and procedures,¡¨Mr Tsang added.
Addressing some broader business expansion issues, Mr Mike Rowse, Director-General of Investment Promotion at Invest Hong Kong said, "More than 60 companies from Fujian are already using Hong Kong to raise capital, identify international business partners, upgrade their management skills and test their products and services in a fully-blown market economy and cosmopolitan environment."
"We expect this number to rise substantially as more companies look outside their domestic markets to grow their business. Hong Kong has a proven record of helping these ambitious companies to take the next step,¡¨explained Mr Rowse.
"Our sector specialists - based in Hong Kong and in key centres across China - have already helped 28 Mainland companies to establish or expand operations in the SAR this year. And by year's end, we expect to top the record of 41 achieved in 2006," Mr Rowse added.
Mr Wei Jianguo, Vice Minister of Commerce, also spoke at the forum, and encouraged local entrepreneurial companies to adopt a global view in their business strategy.
Hong Kong financial services experts shared practical advice on stock market listing procedures and identifying private equity with the assembled business people.
Before the forum, Mr Rowse briefed the local and regional media on opportunities for Mainland companies in Hong Kong. Mr Rowse also gave an update on Invest Hong Kong's three-year nationwide campaign, "On Your Marks, Get Set, Go", which was launched in Beijing on June 1 and focuses on seven key provinces, including Fujian.
The campaign aims to assist Mainland companies interested in expanding globally via Hong Kong and comprises a series of practical, business-focused activities, seminars and visit programmes.
Some 382 Mainland firms have listed on the Hong Kong Stock Exchange since 1993, raising US$190 billion in equity. Of these, over 27 are Fujian-related companies, which have raised nearly US$2.9 billion. They include the Fujian Zijin Mining Group, China Long Gong, Xiamen International Port, Wuyi Pharma and the Fujian Deban Group.
During the past decades, interest in Hong Kong from Fujian has risen considerably. According to local government statistics, investment from the 105 Fujian companies with a presence in Hong Kong totaled US$253 million, or 33 percent of the province's total foreign direct investment as of June 2007. Of these, 17 companies have invested more than US$4.5 million dollars since the beginning of the year.
Recent Fujian investors using Invest Hong Kong's free investment promotion and facilitation services have included Fujian Shun Hui Factory of Hardware Products (Metal) and Xiamen Superchain Logistics Development Co Ltd.
Invest Hong Kong is the Hong Kong Special Administrative Region Government department charged with encouraging and facilitating inward investment into the city by providing the support needed to establish or expand a business presence here. For more information, please visit www.investhk.gov.hk.
Ends/Saturday, September 8, 2007
Issued at HKT 17:48
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