Financial escalation in China and the United States

Cnmoulding news:

 America Sniper Top IPO Ant Group

The latest confrontation is erupting in financial markets after a multi-faceted conflict between China and the United States in the last six months. Ant Group, which has Alipay, the country's largest payment platform, is IPO under attack by the U.S. government. The ant group IPO raised as much as $35 billion (about 240 billion yuan) for the world's largest IPO, ever, and the state department has submitted a proposal for the trump administration to blacklist ant groups.

Financing of emerging firms

This year's sharp decline in Sino-US relations, in addition to the two sides in trade, technology, military and other areas of conflict intensified, in the financial sector confrontation is also unfolding. Earlier, the U.S. government is prepared to delist Chinese companies that do not meet U.S. accounting standards and ban Chinese companies from listing in the United States. This major policy change of the United States government has had a significant impact on Chinese enterprises represented by private enterprises. In the past few decades, a large number of new enterprises represented by the Internet in China have gone to the United States to raise and list, and cash to achieve a bigger and stronger path.

Now the United States is preparing the government to draw wages at the bottom of the pot, breaking the development model of Chinese enterprises. Under the huge impact of sudden changes in bilateral relations, companies that had planned to go to the United States in recent months have accelerated the pace of listing in the United States before the door of the United States capital market was completely closed. Want to get money in the United States financial market as soon as possible. China's largest real estate trading platform shell, electric vehicle manufacturer Xiaopeng car, online financial giant Lu Jin Institute and other enterprises are fast-moving to the United States financial markets.

In addition to speeding up U.S. listings, some Chinese companies have also stepped up the pace of overseas financing for Hong Kong listings. Among them, Xiaomi Group, China Iron Tower and other IPO. raised up to 10 billion yuan

To some extent, these companies are concerned that once Sino-US relations are completely deteriorating, the United States will completely ban U.S. institutions from participating in, or buying Chinese enterprises IPO, Chinese enterprises want to achieve overseas financing will be more difficult.

Even in Hong Kong IPO the same. While hong kong's financial markets are under domestic control, stocks are bought by foreign capital, represented by u.s. capital, a $10 trillion investment institution such as the u.s. pension fund.

 Against this backdrop, Ant Group also launched IPO, in Hong Kong and Shanghai and plans to raise as much as $35 billion, the largest ever raised in financial markets. Such a large-scale financing, according to the current Hong Kong and Shanghai stock market conditions, Ant Group's 240 billion yuan financing is expected to be mainly in Hong Kong financing. A single more than 100 billion yuan new issue financing, the current Shanghai securities market is expected to be unbearable. Even if imposed, huge financing shocks will bring unpredictable changes to the market.

Americans is the biggest buyer in the financial markets

 America's state department has submitted a proposal to the white house to blacklist ant before it IPO in shanghai and hong kong.

 Once the ant group is blacklisted by the us government, the theoretical impact is that if a chinese company is listed as a "physical list" in the united states, american companies will not be able to sell technology products to the company without the approval of the us government. As an option for the Trump administration to sanction Chinese companies, such measures have hit China's telecommunications giant Huawei hard in recent years, but the impact on financial services companies such as Ant Group will not be significant.

 The real impact is that Ant Financial Services Group's main underwriters in Hong Kong IPO are American financial giants such as Citigroup, JPMorgan Chase and Morgan Stanley, which may not be involved in Ant Group's IPO once blacklisted by the U.S. government. Ant Group through Hong Kong for more than 100 billion overseas financing, American pension funds and other super institutions are big buyers, whether to be banned to buy also has a huge impact.

 US Senator Marco Rubio made a public statement last week asking the U.S. government to "take steps" to delay ant IPO. in Hong Kong and Shanghai Now the U.S. government is pushing for the ant group to be blacklisted for trade, with the obvious aim of curbing the group's huge sums in Hong Kong. Behind this is the escalation of the conflict between China and the United States, and the escalation of the conflict between China and the United States in financial markets.

As a private plastic injection moulding export enterprise, this article can only be said to be our regret. The United States Government now sees our country as a competitor. Yesterday and our American customers chat, everyone feels very helpless.

 I don't know if it's a relief after the U.S. election.