Gathering to "Return to A" Strengthen industrial collaboration and improve financing efficiency

Securities Times reporter Wang Jun Zhu Yong

Recently, Aimee Vaccine, a leading Hong Kong-listed vaccine company, issued an announcement stating that it plans to apply to list in the Beijing Stock Exchange for an A-share listing. Under the relevant rules, the company’s domestic shares must first be listed on the National Equities Exchange and Quotations. If this return to A-shares proceeds smoothly, Aimee Vaccine will become the first Hong Kong-listed company to return to the Beijing Stock Exchange.

Since mid-June last year, when the General Offices of the CPC Central Committee and the State Council issued documents clarifying support for eligible Hong Kong stock companies in the Guangdong-Hong Kong-Macao Greater Bay Area to list on the Shenzhen Stock Exchange, together with the continued improvement in the inclusiveness of the STAR Market and ChiNext for unprofitable biotech and hard-tech enterprises, Hong Kong-listed companies have been kicking off the “return to A-shares” process in large numbers.

From BaiO赛图, which has already listed on the STAR Market, to companies such as YingEn Biotech, Everbright Environment, Paradigm Intelligent, and Yuejiang Technology that have recently issued announcements to advance their “return to A-shares,” the “H-to-A” route is expected to add more new demonstration cases, and “A+H” is unfolding a “mutual pursuit from both sides.”

Leading Sub-Sector Players in Hong Kong Stocks

A-Share Listings Get Under Way in a Cluster

While a large number of A-share companies are “going south” to list in Hong Kong, more and more Hong Kong-listed companies are choosing to “go north” as well, launching an “A+H” dual-capital platform layout.

Aimee Vaccine, whose recent announcement said it plans to apply for an A-share listing, is a leading company in the vaccine sector. According to its Hong Kong IPO prospectus and financial reports over the years, the company is China’s second-largest and the first among private-sector full-industry-chain vaccine groups. At the same time, it ranks first globally in hepatitis B vaccines and second in rabies vaccines. In the mRNA vaccine R&D field as well, it is among the domestic top tier.

This kind of leading company “returning to A-shares” is not an isolated case. Not long ago, Hong Kong AI (artificial intelligence) leader Paradigm Intelligent disclosed that it has already obtained filing for guidance and supervision from the Beijing Securities Regulatory Bureau and plans to list on the Shenzhen Stock Exchange. Yuejiang Technology, the leading company in collaborative robots (300024), announced in March that it plans to list on the ChiNext segment of the Shenzhen Stock Exchange and raise about RMB 1.2 billion, investing the funds in key projects such as multi-legged robots and humanoid robots. Earlier this year, Zhipu—launched on the Hong Kong Exchanges and Clearing and hailed as the “world’s first large-model stock”—is also simultaneously advancing A-share listing guidance, moving toward an “A+H” architecture.

According to an incomplete count by Securities Times reporters, there are currently 10 Hong Kong-listed companies that have clearly submitted A-share IPO applications or initiated listing guidance, including LiQin Resources, Everbright Environment, YingEn Biotech, Xinjiang Xinxin Mining Industry, J&T Communications, Sinopharm (China) BioPharmaceutical, Beijing Automotive, Xunzhong Communications, and others. They cover multiple fields such as biopharmaceuticals, advanced manufacturing, environmental protection, resources, and communications.

In addition to direct IPOs, M&A and restructuring have also become an important path for “return to A-shares” of Hong Kong assets. In January, Hong Kong-listed China Hongqiao achieved a strategic “return to A-shares” by injecting its core aluminum assets into A-share Hongchuang Holdings (002379) through a deal, providing the industry with a replicable “curve-return-to-A” sample.

Three Driving Forces

Driving the “Return to A-Shares” Boom

In mid-June last year, when the General Offices of the CPC Central Committee and the State Council issued documents, they clearly stated support for eligible Hong Kong stock companies in the Guangdong-Hong Kong-Macao Greater Bay Area to list on the Shenzhen Stock Exchange. In addition, with the inclusiveness of the STAR Market and ChiNext increasing, “return to A-shares” channels for unprofitable biopharmaceuticals and hard-tech enterprises have been opened. The combined effect of institutional reforms and policy dividends undoubtedly provides Hong Kong stock companies with stronger policy support and broader room for development.

Besides policy and institutional dividends, Liu Youhua, research director at Ping Ping Wang Wealth, told Securities Times reporters that this round of Hong Kong “return to A-shares” upsurge has also been driven by two important factors: first, A-share liquidity and valuations are more attractive, with clear premiums for hard-tech, biopharmaceuticals, and other sectors. Local investors have higher recognition, and financing efficiency is better; second, returning to A-shares helps strengthen local industrial synergy, making it easier for companies to connect with mainland supply chains, markets, and policy resources, thereby enhancing brand influence. “ ‘Hong Kong listings, A-share amplification’ is becoming an increasingly smooth capital path,” Liu Youhua said.

Among them, the most direct driving force is still the valuation gap. He Jinlong, general manager of YouMeili Investments, told Securities Times reporters bluntly: “A-shares are driven by both ‘institutions + retail investors.’ Overall trading activity and liquidity premium are significantly higher than in Hong Kong. For local sectors such as technology, pharmaceuticals, and new energy, A-share valuations are usually 30%—60% higher than Hong Kong’s.”

This gap is especially evident among companies that have already “returned to A-shares.” BaiO赛图, which listed on the STAR Market in December 2025, saw its A-share stock price rise more than 2 times its offering price, and its premium over Hong Kong shares exceeds 90%. According to Wind data, as of March 31, for multiple “A+H” stocks such as Guolian Minsheng, Semiconductor Manufacturing International (SMIC), and China International Capital Corporation, the A-share premium rate over H-shares is no less than 100%.

Yuan Mei, research and investment director at Sullivan Jieli (Shenzhen) Cloud Technology Co., Ltd., also believes that Hong Kong-listed companies have already passed the listing review and operate in a continuously compliant manner through the Hong Kong Exchanges, so they have higher market trust. After meeting the conditions, the “return to A-shares” process is relatively faster. In addition, domestic share shareholders can choose to trade flexibly across the two markets, which is more favorable for realizing equity value.

However, some private fund professionals told Securities Times reporters that some “return to A-shares” companies’ shares are still under lock-up. The true stock price and liquidity performance may only be reflected more objectively after the unlock period. Ultimately, the company’s valuation still needs to be aligned with the market environment and how convincingly the fundamentals are realized.

Performance and Valuation

The Biggest Risk Point

Although the “return to A-shares” dividend is significant, this path is not smooth sailing. Securities Times reporters noted that companies such as J&T Communications, Sinopharm (China) BioPharmaceutical, Beijing Automotive, and Xunzhong Communications have all announced the termination of “return to A-shares” listing guidance, with reasons including changes in the market environment, adjustments to rules in the capital markets, and changes to the company’s development strategy. In He Jinlong’s view, such termination of guidance is not failure, but a rational “braking” by the company—an prudent choice when the market environment, performance, valuation, and strategy are not well matched, with the possibility of restarting in the future.

So, what is the biggest risk point for companies in this round of “return to A-shares” trend? Wen Tianna, Executive President of Hong Kong BoDa Capital International, told Securities Times reporters directly: “First, performance falls short of expectations; second, valuation is adjusted downward.” She further analyzed: “Most ‘return-to-A’ companies are in an expansion or transformation period, with high R&D spending and large capital expenditures. Once macro conditions fluctuate, clinical progress falls short of expectations, technology deployment is delayed, or demand in the industrial chain weakens, the difficulty of realizing profitability will be significantly increased. That directly impacts valuation and the ability to raise funds again. This is especially critical for unprofitable biopharmaceuticals and robotics companies. As for the risk of a valuation downward adjustment, it comes more from pressure on the supply side. If ‘return-to-A’ companies list in a concentrated manner in the short term, it may dilute liquidity in local sectors. Overvalued targets are also more likely to be affected by market sentiment.”

Liu Youhua also said, “Returning to A-shares means the company must bear higher compliance costs. Facing stricter performance expectations and fiercer market competition, companies must make prudent decisions in combination with their own development stage.”

With a dense wave of “return to A-shares,” one of the questions the market cares most about is: Does the A-share market have sufficient capacity to absorb these stocks, and will it trigger convergence of overall valuations? Based on the views of multiple interviewees, the A-share market has sufficient overall absorption capacity and is likely to show a pattern of structural opportunities outweighing systemic pressure.

On one hand, the A-share market has a large pool of funds, and most companies in this round of “return to A-shares” are sector leaders or sector targets supported by policy, which makes it easier to attract long-term allocation capital. On the other hand, historical experience shows that high-quality companies “returning to A-shares” often drive a valuation re-rating for their sector rather than suppressing the entire market comprehensively.

Wen Tianna analyzed that the current A-share to H-share valuation premium index is already at a relatively low level, and the valuation gap is moving toward rational convergence. The main scenario that may face valuation pressure is when the fundamentals are not solid enough or when high-valued unprofitable targets are involved. But sector leaders whose direction aligns with policy and whose business scope is clear still have relatively strong valuation resilience.

Regarding the future pattern of listings across the two places for “A+H” companies, interviewees generally believe that the two markets will move toward deeper integration while maintaining differentiated positioning, forming a complementary and win-win ecosystem. Deep integration is reflected in ongoing policy efforts to promote mutual market connectivity between the two exchanges, and easier listing filings. Companies can leverage Hong Kong’s internationalized window along with A-share’s local capital and policy resources to achieve synchronized financing across dual platforms. The valuation premium of A-shares over H-shares will also gradually become more reasonable.

Meanwhile, differentiation will persist for the long term. “Hong Kong will continue to maintain the features of international capital, flexible listing tools, and global pricing; A-shares, meanwhile, will focus on the structure of local investors, support for hard tech, policy guidance, and long-term value investing.” Wen Tianna said. For companies, “returning to A-shares is not the final goal. How to achieve long-term value lies in using dual platforms to coordinate upgrades in technology, industry, and capital.”

(Editor: Dong Pingping)

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