Zai Lab Switches to U.S. Auditor KPMG to Avoid Delisting Threat

Shanghai-based biopharmaceutical company Zai Lab Ltd. has hired U.S. accounting firm KPMG LLP to serve as its worldwide auditor in a bid to skirt a law that threatens to force Chinese firms from American exchanges.

Zai Lab said Thursday that KPMG would audit its annual financial statements for the current fiscal year—documents that will be filed with both the U.S. Securities and Exchange Commission and the Hong Kong Stock Exchange. Switching to a U.S.-based audit firm should allow it to comply U.S. securities laws, continue to list on the Nasdaq, and support its global growth strategy, Zai Lab said in ...