Hong Kong Exchanges and Clearing Limited (HKEx) and the Hong Kong branch of China Minsheng Banking Corp, Ltd (Minsheng) today (Wednesday) signed a memorandum of understanding (MOU) for strategic cooperation on solutions for market users and product development.
The MOU was signed by HKEx Chief Executive Charles Li and Hong Qi, Vice Chairman of the Board of Directors and the President of Minsheng, one of the largest Mainland banks serving commodities companies. The signing ceremony was held in Hong Kong and witnessed by Romnesh Lamba, HKEx's Co-head of Global Markets, Mao Zhirong, HKEx's Head of Mainland Development, Rebecca Brosnan, HKEx’s Head of Asia Commodities, Tae Yoo, HKEx's Head of Client Business Development & FIC Development, Lin Zhihong, President of Trade Finance SBU and Chief Executive Officer of Minsheng's Hong Kong branch, Huang Minghui, Senior Assistant Chief Executive Officer of Minsheng’s Hong Kong branch, and Chen Yi, Head of Commodity Finance, Structure Trade Finance Centre of Minsheng.
Among other things, the MOU will help Minsheng in its delivery of hedging and other value chain solutions to its clients, and it will give HKEx access to Minsheng’s large client base for product marketing.
"The MOU we signed today is a milestone for both parties and marks the beginning of HKEx's collaboration with Chinese banks in providing hedging and risk management tools for buyers and sellers of commodities throughout the value chain," said Mr Li. "MOUs like this one are an ideal way for us to collaborate with a wide range of banks and organisations not yet part of our Exchange Participants community.
"We look forward to using our combined strengths, including our derivatives infrastructure and Minsheng's large network of offices and clients, for win-win initiatives that benefit the market as a whole as well as our organisations," Mr Li added.
Mr Hong said, "Commodities business is a key business of our bank in recent years. Last year, we launched our exclusive brand in respect of bulk commodity financing business — "CFM" (Commodity Financing Manager). Through diversified structure of financing and a wide range of transaction channels, we integrated commercial banking services with investment banking services to facilitate various activities such as raw material purchasing, acquisition of resources and product sales for corporate clients. Today, we further develop our commodities business by cooperating with HKEx. With the platform of HKEx, we believe that our bank can perfectly combine commodity management and the use of finance to provide clients with ideal financial solutions, which will in turn propel the cooperation and development of the financial sectors of Hong Kong and Mainland China."
HKEx Chief Executive Charles Li (right) and Hong Qi, Minsheng's Vice Chairman of the Board of Directors and the President (left) shake hands after signing an MOU for strategic cooperation on solutions for market users and product development.
Witnesses comprised, second row, from left to right, Chen Yi, Minsheng's Head of Commodity Finance and Structure Trade Finance Centre; Huang Minghui, Senior Assistant Chief Executive Officer of Minsheng’s Hong Kong branch; Lin Zhihong, Chief Executive Officer of Minsheng’s Hong Kong branch; Romnesh Lamba, HKEx's Co-head of Global Markets; Mao Zhirong, HKEx's Head of Mainland Development, Rebecca Brosnan, HKEx's Head of Asia Commodities; Tae Yoo, HKEx’s Head of Client Business Development & FIC Development.
About HKEx Group
HKEx Group is a leading operator of exchanges and clearing houses, and one of the world's largest exchange groups by market capitalisation. The Group includes HKEx, the company that operates Hong Kong’s securities and derivatives markets and is the frontline regulator of companies listed in Hong Kong. In addition, HKEx provides clearing and settlement services through its clearing houses. The Group also owns the London Metal Exchange, the world’s premier base metals market, and is an equal joint-venture partner with the Shanghai and Shenzhen stock exchanges in China Exchanges Services Company, which develops cross-border indices based on products traded on the three markets.
For further information, please visit www.hkexgroup.com.
About the China Minsheng Bank
Established in Beijing on 12 January 1996, China Minsheng Bank is the first national commercial bank owned by non-state enterprises. Over the past years, the Bank is a reform pioneer in China's banking industry, introducing an independent credit review system and a SBU (strategic business unit) reform. It has also plunged into the promising small and micro enterprises financial services business. While achieving the Bank's rapid and healthy development, Minsheng has also set up a role model for the reform of the China banking industry.
Minsheng Bank (A share stock code: 600016) was listed on the Shanghai Stock Exchange on 19 December 2000. On 26 November 2009, its H-shares (H share stock code: 01988) were listed on the Hong Kong stock exchange.