Friday, 16 January 2009

CSRC Said to Launch Growth Market in 2009

The State Council approved the growth market proposal, giving way for smaller IPOs.

1 comment:

Guanyu said...

CSRC Said to Launch Growth Market in 2009

The State Council approved the growth market proposal, giving way for smaller IPOs.

Li Qing, Caijing
15 January 2009

A growth market for small and young companies will be launched in 2009, said China Securities Regulatory Commission (CSRC) Chairman Shang Fulin January 14 at a national securities workshop.

Details about the plan were not discussed, disappointing the market’s expectations that an agenda would be provided at the workshop. Yet industry analysts say that Shang’s speech will speed up the release of a growth market.

Caijing learned that by end of 2008, the State Council had approved the growth market proposal. CSRC is now initiating the launch, with guidelines relating to initial public offerings and trades already drafted and pending release.

Already there are nearly 300 companies queuing up to list on the new market, which will be released as an adjunct to the Shenzhen Stock Exchange.

Reforming the financial sector is a special challenge at the moment, said Shang. However, China’s fundamental economic conditions have not changed, and its capital market is on the right track, he added.