Huawei Rules Out Talk of a Stock Market Listing
Published on: 4th May 2014
Note -- this news article is more than a year old.
Huawei's founder, Ren Zhyengfei has ruled out a stock market listing for the company after describing public shareholders as greedy.
The Chinese company has often been linked with rumours of a stock market listing, mainly to shed some much needed transparency on its own internal shareholding structure than to raise funds.
However, at a press conference, the company's founder said that "In reality, [public] shareholders are greedy and want to squeeze every bit out of a company as soon as possible,"
He also dismissed concerns about how the company is currently structured, saying that it is also sufficiently transparent without a stock market listing.
However, there is still a considerable amount of opaqueness in how the company is structured, with claims that the staff own the shares, but no visibility in how they can sell their shares, or how the management control the company.
Huawei has always said that having the employees as shareholders give it a longer term view of the business.
"People who own this company are not greedy . . . Not listing on the stock market is one of the reasons we have overtaken our peers." Zhyengfei commented.