Focus Media's backdoor listing plan gets govt green light

Focus Media Holding Ltd, the country's largest commercial screen-advertising network, will become the first Chinese company to be listed on the domestic A-share market, after delisting from the United States Nasdaq stock market.

According to a statement released on Monday night by Hedy Holding Co Ltd, a Guangzhou-based personal computer and electronic products manufacturer, Focus Media's plan is to be listed in the domestic equity market through a reverse merger - also known as a backdoor listing - with Hedy, conditionally approved for the purpose by the authorities.

Shares in Hedy, which were suspended from trading on the Shenzhen Stock Exchange on Nov 10, surged by the 10 percent limit to 42.58 yuan ($6.68) after trading resumed on Tuesday.