The New York Stock Exchange (NYSE) has once again changed direction on the question of whether it will continue to list shares of China Telecom Corp. Ltd. (NYSE:CHA), China Mobile Ltd. (NYSE:CHL), and China Unicom (Hong Kong) Ltd. (NYSE:CHU) and now says it will stop listing such shares at 4:00 a.m. Eastern Standard Time on January 11, 2021. The delisting is the second time the NYSE has changed course regarding how it plans to comply with Executive Order 13959. The order prohibits any transaction in publicly traded securities, derivatives, and other investment activities in companies deemed by the Secretary of Defense to be a “Communist Chinese military company.”
NYSE announced December 31, 2020, that it would delist shares of the three Chinese communications services providers (see “NYSE to delist China Mobile, China Telecom, and China Unicom”). However, it reversed direction on the matter January 4, 2021 after consultation with Federal authorities (see “NYSE reverses course, halts delisting of Chinese communications service providers”). Now, the NYSE says that further advice from the Department of Treasury’s Office of Foreign Assets Control stating that “[P]ursuant to section 1(a)(i) of E.O. 13959, U.S. persons cannot engage in certain transactions (as specified in the E.O.) in the ADRs of China Telecom Corporation Limited (NYSE: CHA), China Mobile Limited (NYSE: CHL), and China Unicom (Hong Kong) Limited (NYSE: CHU) after 9:30 a.m. eastern time on January 11, 2021.”
“ADRs” are American Depository Receipts, which represent shares of a foreign company’s stock. S&P Dow Jones Indices has announced it also will delist the three companies’ ADRs.
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About the Author
Stephen Hardy
Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.
He has written numerous articles in all aspects of optical communications and fiber-optic networks, including fiber to the home (FTTH), PON, optical components, DWDM, fiber cables, packet optical transport, optical transceivers, lasers, fiber optic testing, and more.
You can connect with Stephen on LinkedIn as well as Twitter.