Chinese video platform Bilibili to Pursue Dual-Primary Listing in HK

Bilibili (9626: HK) shares were trading at HKD 208.40 (USD 27.83) when trading closed yesterday, up by more than 47%, from its 52-week low of USD 14.93 on Monday, after the company announced a motion to pursue the voluntary conversion to dual-primary listing on the main board of the Hong Kong Stock Exchange.

Dual listing refers to the listing of a company on two different bourses. This motion can theoretically propel the company's bid and offer price by increasing its liquidity and access to capital.

Bilibili, one of China's biggest video-sharing sites, generates revenue through mobile gaming and selling virtual gifts to users who then give them to their favorite  streamers.

After the primary conversion, Bilibili will become a dual-listed company on HKEX's mainboard and Nasdaq Global Select Market, with the price of shares on two different exchanges being exactly the same after accounting for the exchange rate.

After the listing on Nasdaq in March 2018, Bilibili carried out a secondary listing in Hong Kong last year, following other US-listed Chinese companies, such as Alibaba and JD.com. However, since the secondary listing, its shares on both offshore markets have  plunged over 70 percent over the past six months.