Another Chinese company is considering leaving the New York Stock Exchange (NYSE) and go back to being a privately-owned enterprise.  

Three of Mindray's top executives are reportedly seeking the board's approval to have the corporation delisted from the (NYSE) and revert back to being a private company.

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A Caixin report identified the three executives who submitted the proposal as board chairmen Li Xiting, board member Xu Hang, and co-CEO Cheng Minghe. Jointly, the three men not only own almost 28 percent of Mindray's stocks, but they also have the combined voting rights of almost 64 percent.

Mindray is a Chinese corporation that sells medical apparatus and offers related services.  The company was established in 1991.  In 2006, it was successfully listed on the NYSE.   Mindray stocks reached their highest value in 2007, at $45.19 a share.

On the first week of June, the three executives reportedly submitted a proposal to the board seeking to delist the corporation. In exchange, the executives proposed to offer its investors $30 per share. 

Two other Chinese pharmaceutical firms, Wuxi Pharma and China Cord Blood, have also announced that they are also considering the idea of pulling out of the NYSE.

Experts say it is likely that other NYSE-listed Chinese companies will continue this trend. Reuters reported that Shanda and Perfect World - both gaming companies - are already making plans to delist. Jianyuan.com, a dating service site, is also considering that option.

Most of these Chinese firms are reportedly planning to list their companies back on China's stock exchanges.  Many executives of Chinese companies listed on the NYSE believe that their stocks are undervalued.   They hope that listing back their corporations on the Chinese stock market will help increase the price of their shares, according to Taipei Times.    

Another reason why Chinese firms are leaving the NYSE is due to a change of laws in the country. China wants it own stock exchanges to have the same importance as their global counterparts. 

The Chinese securities commission is reportedly instituting policies that will make it easier for Chinese firms listed overseas to return to the local stock exchanges.  At the same time, government regulators are closing the loopholes that made it possible for Chinese companies to get listed in foreign stock exchanges like the NYSE. 

TagsNYSE, Mindray, stock exchange, Shanghai Stock Exchange, New York Stock Exchange