Despite being unpopular with authorities, there are advantages to listings of micro-credit companies, said a lawyer who worked on Quanzhou Huixin Micro-credit’s IPO on the main board of the Hong Kong Stock Exchange (HKEx), only the second such listing.
“Micro-credit companies are neither the mainstream for listing in Hong Kong nor welcomed by HKEx and the Securities and Futures Commission,” Allen Shyu, a Beijing-based partner at Troutman Sanders and a lead partner in the listing, told China Business Law Journal.
“In fact, micro-credit companies are relatively popular among investors, as their business model is quite simple – that is, making profit by loans,” said Shyu.
