NYSE scraps plan to delist China operators

NYSE scraps plan to delist China operators

The New York Stock Exchange (NYSE) reversed course on plans to delist shares of China Mobile, China Telecom and China Unicom, following further regulatory advice before enacting.

In a statement, the NYSE said after “further consultation with relevant authorities” the trade exchange “no longer intends to move forward with the delisting action” of the three operators.

The companies will continue to trade their American Depository Shares (ADS), with the NYSE continuing to evaluate how to apply the executive order issued by President Donald Trump to stop US investment the government viewed in cohesion with the Chinese military.

The announcement comes days before trading would have ceased on January 11, after the NYSE first announced a possible delisting on December 31.

The China Securities Regulatory Commission (CSRC) said China Mobile, China Telecom and China Unicom ignored the legitimate rights of global investors and the announcement was politically motivated. It also added the operators would see a “limited” impact to growth as their American Deposit Shares were small with 2.2% of their total respective equity shares, values at total market capitalisation of less than RMB20 billion ($3.09 billion).