Press "Enter" to skip to content

New rule for IPO sponsors fuels fundraising wave

China's stock exchange has released new rules requiring sponsors of initial public offerings buy and hold shares they help to sell, which will substantially increase sponsors' demand for capital. The expectation for the new rules had fuelled a wave of fundraising by investment banks and securities firms.

Sponsors of initial public offerings (IPOs) on the upcoming Nasdaq-style Shanghai Science and Technology Innovation board are required to buy 2 - 5 per cent of the shares they help to sell with their own money and hold the stocks for at least two years, according to a new guideline released by . . .

To continue reading, please subscribe.


We highly value independence. Yuan Talks is solely funded by subscriptions from thousands of intelligent readers like you. 

What you'll get:

  • Systematic, timely and data-driven reporting on China's economy and financial markets with details, data and perspectives you don't read elsewhere!
  • Daily Brief newsletter delivered before market open every weekday wrapping up the most important China-related stories.
  • Weekly Market Wrap-up on A shares, Chinese bonds, the Yuan and commodities!
  • Interviews with China experts. We find you insights you should never miss!
  • Conference calls and events. Nothing is better than talking to newsmakers, experts and reporters directly, right?


Already have an account? Sign In