BEIJING (Reuters) - China’s securities regulator told a recent meeting with investment banks that there has been no change to the pace for reviews of initial public offering (IPO) applications, three sources told Reuters.
IPO sponsors must review the firms they are sponsoring that are currently in a queue to list, and by the end of the year withdraw listing applications that do not meet standards, the China Securities Regulatory Commissions (CSRC) said, according to the sources.
During the first 10 months of this year, CSRC approved 359 IPOs, exceeding a record of 347 set in 2010, potentially making China’s IPO market one of the world’s biggest in 2017.
But in recent weeks approvals have slowed.
CSRC officials at the meeting said that capital markets should support the country’s strategic interests and the real economy, and encouraged firms that align with China’s industrial policies to list, including firms in the biomedical industry.
The securities regulator will assess every sponsor’s rejected applications and will take unspecified regulatory measures against sponsors that don’t meet standards.
Reporting Beijing newsroom