China to launch registration IPO system on Chinext board, loss-making firms allowed to get listed
China to launch registration IPO system on Chinext board, loss-making firms allowed to get listed

China to launch registration IPO system on Chinext board, loss-making firms allowed to get listed

 

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China’s tech-heavy ChiNext board is launching the widely expected trial of a registration-based initial public offering (IPO) system and loss-making startups will be accepted to list on the board.

The China Securities Regulatory Commission (CSRC) and the Shenzhen Stock Exchange issued rules Monday related to ChiNext’s move to a registration-based IPO mechanism and started soliciting public opinions on the rules.

A registration-based IPO mechanism is more market-oriented than the approval-based system, under which the CSRC vets every application, and approvals can take months or even years . . .

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