Hong Kong’s securities regulator has launched a probe into the local unit of Chinese brokerage Citic Securities linked to its handling of some recent share sale transactions, two sources with knowledge of the matter said on Wednesday.
The Securities and Futures Commission (SFC) raided the Hong Kong office of CLSA, an offshore arm of Beijing-headquartered Citic Securities, on Tuesday, said the sources, declining to be named due to the sensitivity of the matter.
A spokesperson for SFC declined to comment, while Citic did not immediately respond to Reuters’ request for comment.
Bloomberg first reported, citing people familiar with the matter, that Hong Kong authorities raided the offices of Citic Securities’ local unit and Guotai Junan International Holdings Ltd.
Authorities on Tuesday raided the two firms’ equity capital market divisions and took at least one senior executive away for questioning, the report said.
Guotai Junan International didn’t immediately respond to Reuters’ request for comment.
Hong Kong was the world’s top market listing venue in 2025, with total equity fundraising rising 164% to $103 billion, according to Hong Kong stock exchange data. The jump was mainly driven by a sharp rebound in equity offerings by Chinese firms.
Reuters
