By Ka Sing Chan
Giants like the $274 billion Contemporary Amperex Technology SZSE:300750 and Luxshare Precision Industry SZSE:002475 are leading the wave of mainland-listed firms seeking a second trading home in Hong Kong, which offers access to hard currency and global investors. Startups already that have already gone public in the financial hub, though, may find a move up north more welcoming these days.
Running counter to the so-called "A-to-H" trend, referring to onshore A-share-traded companies pursuing H-share flotations in Hong Kong, are AI darlings Knowledge Atlas Technology HKEX:2513, or Zhipu, and MiniMax HKEX:100. After strong IPO debuts this year, both are eyeing a second listing on Shanghai’s Science and Technology Innovation Board, known as the STAR Market.
The Nasdaq‑style board is a national project to advance China’s tech ambitions, but with an aggregate market capitalisation of under $2 trillion, it is dwarfed by exchanges in Shanghai and Hong Kong. Still, for early stage startups, a STAR ticker can act as a badge of honour: applications are notoriously difficult, with high hurdles to prove hard tech capabilities. In 2021, laptop-maker Lenovo HKEX:80992 withdrew its application amid scrutiny that it didn't meet the minimum research and development spend of 5% of revenue, among other things.
STAR's innovation chops have underpinned the board's punchy valuations. Among the 15 or so companies with dual listings in Shanghai and Hong Kong, the mainland shares fetch an average forward price-to-earnings multiple of 109 times, versus 29 times in the offshore market, per LSEG data. Gene-editing specialist Biocytogen Pharmaceuticals SSE:688796, SSE:688796 embarked on an "H-to-A" journey in December and has seen its mainland stock more than double this year, versus just a 33% gain for its H-shares.
Moreover, state-backed groups like social security funds and local government vehicles also prefer to park long-term investments into STAR names. That might come in handy for those like Zhipu. Nearly 70% of the $112 billion group's Hong Kong shares held by pre-IPO investors could hit the market after a six-month lock-up expires in July, signaling added volatility ahead.
Regulators are also on board. The chairman of the country's securities regulator said recently that the agency would support eligible Hong Kong-listed companies to sell shares in the mainland. About 10 H-share firms have applied for A-share flotations, according to domestic media Cailian. That's still small compared to the 110 or so A-to-H hopefuls. But the tide may be starting to turn.
CONTEXT NEWS
The China Securities Regulatory Commission will support ‘eligible Hong Kong-listed companies to list in the domestic market’, Chairman Wu Qing told the 2026 Lujiazui Forum in Shanghai on June 17. In a document published in June 2025, the State Council said it will allow Greater Bay Area companies listed in Hong Kong to seek a secondary listing in Shenzhen.