By Jack Mendel
AstraZeneca is drafting a plan to spin off its China business, and listing a separate unit in Hong Kong is being viewed as an option, FT reported.
The drug-maker would reportedly cut off its Chinese arm legally while retaining control of ht business itself.
AstraZeneca, which is worth more than £180bn on the London Stock Exchange, is looking to float on the Hong Kong Stock Exchange according to the FT.
This comes amid mounting geopolitical tensions between China and Hong Kong, which is making investors nervous.
According to the FT, it began discussing the spin-off a number of months ago, and is one of a number of major international companies considering separating their business in China, in a bid to protect themselves from any turbulence.
When approached for comment, AZ said “as mentioned in the article, we do not comment on rumours or speculations around future strategy or M&A”.
The talks come at a time of increasing tensions between the two superpowers over Taiwan and trade, not helped by the memory of the surveillance balloon incident of February this year, which scuppered a previous attempt to meet.
More to follow
