China’s tech-focused startup board, ChiNext Index, implemented new rules in August aimed at further liberalising the country’s equity markets. Under the arrangement, companies planning to go public no longer require approval from the China Securities Regulatory Commission CSRC.
Instead, companies are now vetted by the Shenzhen exchange based on disclosure requirements. The revision moves away from a burdensome administrative process and towards one that reflects broader demand-supply dynamics.
ChiNext’s new format is already used on the Shanghai STAR market and practiced in the US. The amendments follow other initiatives in recent months. The Hong Kong exchange altered rules to permit companies with weighted...
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