The Stock Exchange of Hong Kong Limited (the Exchange) published a consultation paper. The consultation paper outlines rule amendments that the Exchange plans to introduce regarding PRC issuers. The Exchange proposes that the Rules be amended to relax specific listing requirements for PRC issuers by removing references to obsolete Chinese regulations and allowing for more flexibility in certain areas.
Key proposals include:
1. Allowing a PRC issuer to use its total issued shares for calculating the limits on the general mandate for issuance of new shares and scheme mandate for share schemes;
2. Removing the requirement that directors, officers, and supervisors provide undertakings to issuers and their shareholders to comply with the PRC Company Law and the articles of association;
3. Aligning the Minor Requirements under Chapter 19A (for PRC issuers) with those in Chapter 3A (for all issuers);
4. Removing specific requirements in Chapter 19A relating to online display or physical inspection of documents and disclosure in listing documents of new applicants.
The deadline for responding to the consultation paper is 24 March 2023.