Hong Kong's stock exchange said Thursday it is considering reform of its listing rules following the recent collapse of talks with Alibaba over what could have been a multi-billion dollar listing for the city.

Neogitations between the world's largest online retailer and the Hong Kong bourse broke down last month partially because the city's listing rules prevented Alibaba's founder Jack Ma and senior management retaining some control over the board of directors.

The e-commerce giant has since been reported to be looking at a listing on the New York or London stock exchanges.

Amid criticism from some investors, the Hong Hong bourse initially defended its strict listing rules but on Thursday the exchange said it would be willing to consider some reforms.

"Listing Committee members discussed a possible market consultation on different shareholding structures at their meeting this week," an HKEx spokesman told AFP in an email about the discussions.

"Progress was made in developing a course of action which may lead to a public consultation exercise," he said.

While Alibaba was hoping the bourse would adopt an alternative class share structure to give select minority shareholders extra control over the board, the city's bourse refused to shift from its current mechanism of one share one vote.

The company's stock market listing was expected to raise about $10 billion, which would make it the technology industry's largest IPO since Facebook's offering last year.

The collapse of talks last month led to mixed opinions in the city, with some praising the southern Chinese city for upholding its rules and others criticising it for losing a large deal.

Hong Kong's bourse was one of the world's top IPO venues from 2009 to 2011, but took a hit after Chinese companies became worried about slow economic growth last year.

Alibaba on Thursday welcomed possible changes in Hong Kong's listing rules.

"We are pleased to see, and thank Hong Kong for this positive signal, as this is what we have always believed and expected of Hong Kong's inclusive and open attitude," an Alibaba spokesman said.

"Alibaba hopes to actively participate in discussions regarding the partnership mechanism and other innovative corporate governance models," he said, adding that the company has no timetable and have not selected a venue for a listing.

In an online blog post last Thursday, HKEx chief Charles Li hinted at the exchange taking a more flexible approach to shareholding structures without specifically mentioning Alibaba.

"Most international markets are willing to allow shares with differentiated voting rights," he wrote.