Hong Kong IPO Rules Tested as China Firms Weigh US Delisting

Hong Kong is under growing pressure to loosen its rules so that more Chinese companies can shift their listings to the city from the US, part of the fallout of rising distrust between Beijing and Washington, according to people familiar with the matter.

In recent discussions, companies exploring Hong Kong listings pushed back against altering their corporate structures to meet the city’s limits on dual-class shares, said the people, asking not to be identified as the discussions are private. The Securities and Futures Commission, however, has so far held firm on sticking to the rules, the people said.