Total Seeks Listing In Shanghai - Company Executive
First Published Saturday, 30th June 2012 05:25 am - © 2012 Dow Jones
By Esther Fung
SHANGHAI--Oil and gas company Total SA (TOT), hopes to list in Shanghai, an executive from the company said Saturday.
The French firm, which is listed in Paris, New York, Brussels and London, hopes to establish a large investor base in China through such a listing in Shanghai, Total treasurer Humbert de Wendel said at a financial forum in Shanghai.
Shanghai has been planning for an international board for foreign firms to list in China, but so far there has been no timetable for its launch.
"The local credit lines that we have in China are on a short-term, uncommitted basis," said Mr. Wendel. "It's not satisfactory...We are working on ways to improve it."
Mr. Wendel said Total has large financing needs and seeks equity markets that allow easy access to funds and offer a variety of instruments including multiple drawdowns.
"We need to tap a large pool of fund at all times with acceptable conditions," said Mr. Wendel, adding that the onshore yuan market hasn't offered Total that yet.
China has been introducing financial reforms in recent years to develop the international profile of its currency, but the country has done so quite cautiously and some have advocated that policymakers accelerate reforms, such as speeding up the yuan's convertibility.
Total is looking at dim sum bonds, cross currency swaps and revolving credit facilities, which are currently offered in Paris and Hong Kong, said Mr. Wendel.
"We hope these will be at our disposal in Shanghai as well," he added.
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