RANE Insights: The NYSE, Chinese Companies and Delisting

The New York Stock Exchange halted trading of three Chinese telecom companies on January 11. American investors will no longer be able to invest in these companies after November 11, 2021.

This follows an Executive Order last November, that said U.S. companies investing in Chinese companies are indirectly funding the Chinese military.

Also in January, the Trump administration added the Chinese National Offshore Oil Corporation - CNOOC - to a U.S. Pentagon list of companies that are either owned by or controlled by the Chinese military. That will force certain U.S. investors to divest there as well.

In response, as Barron's reported. China has issued its own directive "to prevent the U.S. and other foreign governments from adopting unilateral sanctions or applying them against Chinese entities and individuals."

On Wall Street, there’s plenty of consternation about what comes next. That’s why RANE founder, David Lawrence, gathered a panel of RANE network experts to discuss best practices. Included are Emily de La Bruyère, co-founder of Horizon Advisory, where she leads the China research team; Chip Poncy, global co-head of the K2 Integrity Financial Crimes Risk Management practice; and Michael T. Gershberg, a corporate partner resident in Fried Frank's Washington, D.C. office, and a member of the International Trade and Investment Practice.