From CEB

Manchester United Opts for Singapore Over Hong Kong
(The Telegraph, 18 August 2011)

In Brief: In an attempt to reduce their £ 480 million debt burden, UK football club Manchester United has applied for a partial listing on the Singapore Exchange. A number of financial experts are surprised at the club's decision to list in Singapore, instead of the larger, more established Hong Kong market.


Our View: Manchester United's decision to list in Singapore over Hong Kong is interesting; especially when considering that a number of leading global brands, including Prada, Coach, and Samsonite, either have listed or will list in Hong Kong by the end of the year. But while Hong Kong listings may give companies greater access to capital and customers, in the current climate, this is far from certain. We advise managers to first ensure they clearly understand how a decision to list in Hong Kong will contribute directly to the firm's overall corporate strategy in a quantifiable way. Second, for firms looking to establish themselves in Asia, a listing in Hong Kong should not be a first step–do not consider listing without a well-established brand in Asia, large operations in Asia, a very comparable Asian peer group, and strong growth prospects in Asian markets.

How We Can Help: Browse these resources to learn best practices for developing a targeting strategy, and read this white paper to learn broader lessons about the challenges of business success in China.