Detailed Implementation Rules for the Placing Tranche of Initial Public Offerings in Shanghai Stock Market has been released and will take effect from October 1, 2024. This revision mainly adds a requirement for investors participating in offline offering business of the STAR Market to hold a market value of not less than RMB 6 million in the STAR Market.
To implement the relevant opinions in the Eight Measures on Deepening the Reform of the STAR Market to Serve Technological Innovation and the Development of New Quality Productive Forces released by China Securities Regulatory Commission and improve the market value allocation arrangements for new stock listings on the STAR Market, the Shanghai Stock Exchange (the SSE) and China Securities Depository and Clearing Corporation Limited have revised Detailed Implementation Rules for the Placing Tranche of Initial Public Offerings in Shanghai Stock Market.
The main revision concerns the requirement for investors participating in offline offering business of the STAR Market to hold the market value of the STAR Market. Starting from October 1, 2024, when the investors of the placing tranche and their allocated objects participate in the placing tranche of the STAR Market, in addition to meeting the current market value threshold requirements, the lead underwriter shall also require them to have a daily average market value of not less than RMB 6 million (inclusive) for the total market value of non-restricted A-shares and non-restricted depositary receipts held in the STAR Market over the 20 trading days (including the base day) prior to the base day (two trading days before the start of the preliminary inquiry).
The above information is provided for reference purposes only and does not constitute investment advice.
