THE NEW RULES FOR THE LISTING OF HONG KONG LAW HAVENS ARE NOW IN FORCE: LOWER THRESHOLDS, LIBERALIZATION OF THE WVR, EXPANSION OF THE CONFIDENTIAL FORM

ON 24 JULY, ACCORDING TO THE FINANCIAL STATEMENTS OF HONG KONG, A SUMMARY OF THE RECOMMENDATIONS FOR IMPROVING THE COMPETITIVENESS OF HONG KONG ' S LISTING MECHANISMS WAS OFFICIALLY ISSUED BY HONG KONG TREASURY, AND THE REVISED LISTING RULES CAME INTO FORCE. THE MARKET VALUE THRESHOLD FOR DIFFERENT VOTING RIGHTS (WVR) STRUCTURES AND SECOND-LISTED APPLICANTS HAS BEEN REDUCED FROM HK$10 BILLION TO HK$6 BILLION, THE SHAREHOLDING REQUIREMENT FOR THE WVR STRUCTURE HAS BEEN EASED SIMULTANEOUSLY, AND THE CONFIDENTIAL LIST ELIGIBILITY HAS BEEN EXTENDED FROM SPECIFIC TYPES OF ENTERPRISES TO ALL NEW APPLICANTS. THE HONG KONG POLICE OFFICE INDICATED THAT THE CONSULTATION HAD RECEIVED 73 RESPONSES FROM VARIOUS SECTORS OF THE MARKET, AND THAT THE RECOMMENDATIONS WOULD BE FULLY ADOPTED, WITH SOME MINOR AMENDMENTS. ACCORDING TO CHEN ZHIHUA, PRESIDENT OF THE HONG KONG SECURITIES AND FUTURES PROFESSIONAL ASSOCIATION, THIS REFORM IS ONE OF THE MOST OUTSTANDING REFORMS OF THE HONG KONG LISTING MECHANISM IN THE LAST DECADE。