Chinese communications start-ups eye Australian Stock Exchange

Another Chinese company has been listed on the Australian Stock Exchange (ASX) on Friday, underlining a trend of Asian start-ups seeking to break into the international market.

Enice, a Chinese telecommunications group, is the latest company from the region to list on the ASX as a means of gaining international exposure.

Despite working with powerhouse telecommunications companies China Mobile, China Telecom and China Unicom in its 15-year history, Enice is not large enough to attract significant interest from mainstream investors in China.

The ASX provides companies, that would be considered small in a Chinese business market, with the opportunity to raise capital from outsider investors, who see China's telecommunications industry as a booming commodity.

"We see Australia as a highly attractive market in which to list due to the reputable nature of the stock exchange and Australia's strong regulatory environment," Fred Yu, CEO of Enice, told Fairfax Media on Friday.

"An ASX listing gives us the ability to improve transparency to our clients and business partners that we are a viable business and trusted partner," he added.

In 2014, China's wireless telecommunications market was worth an estimated 15.8 billion U.S. dollars, a figure which is tipped to reach 56 billion by 2019.

Yu said the ASX was viewed as a highly respectable market for international companies to break into.

"As we grow more revenue will come from international markets," Yu said.

Other Chinese ASX-listed groups include mobile platform 99 Wuxian, clothing retailer Sunbridge, fruit producer Dongfang and Sino Australia Oil and Gas. Endit