China stock exchanges issue revisions to regulations on trading halts

FILE PHOTO: People walk past an electronic board showing the benchmark Shanghai and Shenzhen stock indices, on a pedestrian overpass at the Pudong financial district in Shanghai, China June 22, 2016. REUTERS/Aly Song

HONG KONG (Reuters) - China’s Shanghai and Shenzhen stock exchanges said on Wednesday they have issued revisions to regulations related to trading suspensions of listed companies, part of a wider push to clean up practices in the corporate sector.

The exchanges will allow listed companies that are planning on asset restructuring via share issues to suspend trading in their shares for up to 10 trading days, they said in separate statements.

Previously, there were no particular time limits on this activity.

Both exchanges will solicit opinions on the revisions until Dec. 21, they said.

The exchanges have both recently issued regulations aimed at improving corporate governance. Earlier in November, they published rules on delisting companies involved in fraud or that have violated rules on information disclosure.

Reporting by Twinnie Siu in Hong Kong and Lee Chyen Yee in Singapore; Editing by Jan Harvey