Issuing A+H shares way to reform state-owned enterprises: Official

To list state-owned enterprises in the stock market is a way to introduce different share holders and international operation standards into state-owned enterprises, a senior Chinese official said in Hongkong Monday as the largest state- owned Chinese commercial bank issue H and A shares simultaneously.

At a seminar on state-owned enterprises' operation, Shao Ning, Vice President of State-owned Assets Supervision and Administration Commission of the State Council, the highest supervision institution of state-owned assets, told his audience that to issue both A and H shares is a better way for state-owned enterprises to introduce international capital market standards into their operations.

Meanwhile, the Industrial and Commercial Bank of China, the leading commercial bank of China, started its initial public offering in Hong Kong and Shanghai on the same day, the first time for a Chinese company to list simultaneously in two stock markets, which may be considered a good example for the reform of state- owned enterprises.

Shao Ning said the commission will push the reform through state-owned enterprises and make them into market-oriented and internationalized enterprises though to reorganize and reform the 163 state-owned enterprises is a challenge the commission needs to take.

Source: Xinhua