In this file photo dated April 27, 2022, a woman walks past Exchange Square which houses the Hong Kong Stock Exchange in Hong Kong. (PHOTO / AFP)
Hong Kong Stock Exchange said on Friday that it will relax listing rules starting from March 31 in a move to attract more “specialist technology” companies to list in the financial hub.
According to the city’s bourse operator, a new chapter will be added to its main board listing rules, allowing pre-commercial companies with at least HK$10 billion ($1.27 billion) in market value to sell shares, down from the previous threshold of HK$15 billion.
For commercial companies, a market value of no less than HK$6 billion will be required for making initial public offerings in the city, compared to the previous requirement of HK$8 billion.
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The move is part of Hong Kong’s broader efforts to entice more technology firms to come to the city, and to consolidate the Hong Kong’s standing as a global financial center.
“This is an exciting new development for Hong Kong’s equity markets. The new economy sector is rapidly changing the way in which we live and work, and this new route to market will support some of the most innovative and progressive companies of the future,” HKEX Chief Executive Officer Nicolas Aguzin said in a statement on Friday.
According to the latest Global Financial Centres Index, jointly published on Thursday by London-based think tank Z/Yen and Shenzhen-based think tank China Development Institute, Hong Kong maintains fourth place globally, one place behind Singapore.
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HKEX stocks ended at HK$342 per share on Friday.
