HKEX (00388) plans to make a strategic investment in Xunqing Clearing Holdings Limited.

HKEX (00388) announced plans to hold a signing ceremony on November 12, 2025, during which Forex Fund, HKEX, and Xin Qing Settlement Holdings will sign a trading agreement to implement strategic investment. Under the strategic investment, HKEX (through its wholly-owned subsidiary) will acquire a 20% equity stake in Xin Qing Settlement Holdings. As the main operator of financial market infrastructure, the Hong Kong Monetary Authority and HKEX will further strengthen their strategic partnership and jointly promote the long-term development of China's Hong Kong fixed income and currency market ecosystem. After completing the strategic investment, HKEX will invest up to HK$4.55 billion in Xin Qing Settlement Holdings (adjustments will be made based on cash balance) to subscribe for newly issued shares of Xin Qing Settlement Holdings, with HKEX and the Forex Fund under the Hong Kong Monetary Authority holding 20% and 80% equity stakes, respectively. Currently, Xin Qing Settlement Holdings and Xin Qing Settlement are both wholly-owned subsidiaries of the Forex Fund. Xin Qing Settlement Holdings is a newly established company that will hold 100% equity in Xin Qing Settlement after the transaction is completed. Xin Qing Settlement is a subsidiary of the Hong Kong Monetary Authority, responsible for operating the Central Clearing System (CMU) for debt instruments. As the Central Securities Depository (CSD) for fixed income securities in Hong Kong, CMU had custody assets worth approximately HK$50 trillion as of September 30, 2025. Xin Qing Settlement plays a key role in bond trading settlement and delivery through optimizing collateral usage to promote the development of bond connect. Furthermore, the strategic investment is a collaboration project between the Hong Kong Monetary Authority and HKEX, leveraging resources, technology, talent, and market expertise to accelerate the development of post-trade securities infrastructure in Hong Kong, aiming to become a leading CSD in the region. This includes further promoting the commercial development of CMU, expanding investor CSD services, custody asset categories, and collateral management services, to enhance the competitiveness of CMU in the market and strengthen the operational efficiency of Hong Kong's CSD platform across asset classes.