Trip.com Group Ltd. (Nasdaq: TCOM) is talking to banks about a planned Hong Kong secondary listing, according to Reuters.
The online travel giant, operating for more than 20 years, has been public since 2003 and was formally known as Ctrip.com.
“The specific details of the listing reported are not true. The company does not have plans yet for a secondary listing,” the company declined to comment on the news.
Based on Ctrip’s latest market value of $20.6 billion on Nasdaq, that would help it raise at least $2 billion. The company looks to sell at least 10% of its shares as early as the first half of the year, said two of the people who wished to remain anonymous.
In 2020, Chinese U.S.-listed firms seeking share sales in Hong Kong were in hot demand, as trade tensions between Beijing and Washington picked up. Companies including giants JD.com (Nasdaq: JD; HKEX: 09618) and NetEase (Nasdaq: NTES; HKEX: 9999) raised around $17 billion through their secondary offerings in the city, according to data compiled by Bloomberg.
Charles Li, the chief executive of bourse operator Hong Kong Exchanges & Clearing, said that he was confident more U.S.-listed companies would follow Alibaba, reported Reuters.
The relations between the world's two largest economies remain tense, as U.S. President Donald Trump recently signed a bill that could delist Chinese firms from American exchanges if they refuse to comply with auditing standards.
Last month, this Shanghai-based online travel provider said in a statement aftermarketTuesday that in the three months through September revenue decreased 48% year-over-year to $805 million.
Shares of Trip.com trading at $33.5 as of early Monday morning.