STO Express eyes ‘back door’ listing
Chinese parcel delivery company firm Shentong (STO) Express may be planning to arrange a ‘back-door’ listing on the Shenzhen exchange, according to reports. An article published by Reuters today (23 October) quoted an STO Express executive as saying that the company planned to list by taking over a take over a publicly-traded firm in Shenzhen called Zhejiang IDC Fluid Control Co Ltd – which as been various described as a plumbing company and a valve market.
By purchasing IDC, STO Express would gain a listing without having to go through an initial public offering (IPO) of its own shares.
If STO does gain its listing, it will be give investors a chance to buy into the logistics sector that has been supporting China’s e-commerce boom.
