CICC UK Becomes the First Shanghai and Shenzhen Stock Exchanges-Approved German GDR Cross-Border Conversion Institution

2022-11-17Corporate News

(November 17,2022, Beijing) China International Capital Corporation Limited (CICC, 03908.HK, 601995.SH) announced that China International Capital Corporation (UK) Limited (CICC UK) has been approved by the Shanghai Stock Exchange (SSE) as a German Global Depositary Receipts (GDR) cross-border conversion institution under the stock connect schemes, in addition to SSE’s previous approval of CICC UK as a UK and Swiss GDR cross-border conversion institution. As a result, CICC UK has become the first and only GDR cross-border conversion institution approved by both the SSE and Shenzhen Stock Exchange (SZSE) for the German, UK and Swiss markets. This was on the back of CICC UK recently becoming a member of the SIX Swiss Exchange (SIX) and the Frankfurt Stock Exchange (FWB) in addition to its membership of the London Stock Exchange (LSE).

In February 2022, the China Securities Regulatory Commission issued the “Provisions on the Supervision and Administration of Depository Receipts under the Stock Connect Scheme between Domestic and Overseas Stock Exchanges”, marking a significant expansion of the original stock connect scheme between the SSE and the LSE to include companies listed on the SZSE, as well as capital markets in Germany and Switzerland, and signalled China’s determination to open up its capital markets further. The expanded stock connect schemes broaden the channels for international capital to enter the Chinese capital markets and vice versa.

CICC UK was established in 2009 and is regulated by the UK Financial Conduct Authority. It provides a central platform from which CICC facilitates cross-border investment and financing services for an increasing number of clients from Europe, the Middle East and Africa that do business with China and from China seeking cross-border investments in and financing from these regions. CICC UK is the first Chinese member of the LSE and SIX and the first Chinese investment bank member of the FWB.