At least two major Chinese companies will delay their Hong Kong stock market listings in 2027.

On 19 October, the US sanctioned MiraclePlus, an investor in an AI start-up founded by a former Google engineer convicted of stealing trade secrets. The decision raises concerns that other early investors in Chinese AI companies could face similar sanctions, forcing banks arranging their listings to conduct more extensive ownership checks. Western banks face conflicting legal risks: US sanctions can require them to freeze payments involving sanctioned investors, while Chinese laws can expose them to lawsuits for complying with certain US restrictions. With Hong Kong regulators already questioning 11 listing advisers and suspending reviews of 65 applications this year, these additional checks could further delay listings and increase costs. Chinese brokers such as Guotai Junan International and Huatai International, which have less direct exposure to US financial rules, stand to gain business as Chinese firms willl seek alternatives to Western banks.