The problem of Chinese companies that have run into trouble after gaining listings on US and Canadian exchanges through reverse mergers reminds me of the controversy about emerging market investment companies being listed in London.
I noted last week Richard Lambert’s FT article on Vallares, the investment company run by Nat Rothschild and Tony Hayward, which has promised London investors transparency along with chance to buy undervalued commodity assets.
Meanwhile, the FT has covered the short-selling attacks on Chinese companies listed on the Toronto Stock Exchange and US bourses, including Nasdaq. Twelve of these have been suspended from trading on Nasdaq over accounting flaws. Read more