(Adds confirmation from investment bank sources)
By David Lin and Gabriel Wildau
SHANGHAI, April 16 China's securities regulator
has ordered underwriters to update application materials for
firms waiting to list, sources told Reuters on Wednesday,
raising hopes that an eight-week stall in initial public
offerings on mainland China stock exchanges will end soon.
The official Shanghai Securities News reported Wednesday
morning that the China Securities Regulatory Commission (CSRSC)
has told underwriters to complete their submissions of revised
disclosure materials as early as the end of this week. Four
sources at investment banks confirmed to Reuters they had
received CSRC instruction to update their disclosures with the
latest 2013 financial statements.
CSRC told IPO applicants in January that they needed to
update their application materials to reflect their latest
earnings and financial positions. Once the firms have submitted
their updates, CSRC may re-start IPO approvals for the roughly
700 firms waiting to list, the paper reported.
CSRC chairman Xiao Gang said last week that IPOs had not
been halted but had only paused to allow companies to update
China allowed IPOs to resume in early 2014 after a hiatus of
14 months, allowing around 50 already-approved companies to list
on the Shanghai and Shenzhen exchanges.
(Additional reporting by the Shanghai Newsroom; Writing by Pete
Sweeney; Editing by Kenneth Maxwell)