Zhitong Finance App learned that on August 21, Hong Kong Stock Exchange Limited (HKEx), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), announced that it will implement a short-term exemption. If certain conditions and safeguards are met, the validity period of eligible new listing applications will be extended from 6 months to 12 months from the date the listing application form is submitted (hereinafter referred to as short-term exemption).
Among them, the conditions for the short-term exemption include: (i) the Hong Kong Stock Exchange did not indicate in its letter of comment that it had suspended the processing of the applicant's new listing application; and (ii) the Hong Kong Securities and Futures Commission (Hong Kong Securities Regulatory Commission) and/or the Hong Kong Stock Exchange did not directly request information and/or issue a letter of major issues under the Securities and Futures (Listing on the Stock Market) Rules. Notwithstanding the above requirements, if the concerns contained in the relevant regulatory letter mentioned above have been successfully resolved and accepted by the two regulators before the expiration of the first six-month period, relevant new listing applications can still be exempted for a short period of time.
Short-term exemptions will provide applicants, sponsors and their advisors with greater flexibility in managing the listing schedule, and reduce the frequency of resubmitting listing applications and the burden of repeatedly updating documents and materials, so that they can focus on safeguarding the quality of application materials and listing documents. This adjustment will not change the Exchange's current regulatory standards or investor protection. Applicants receiving an extended validity period must still comply with all applicable Listing Rules and provide complete and up-to-date information (including the latest business and financial information) so that regulators can properly evaluate each application and investors can make informed decisions.
“HKEx is committed to continuously improving the efficiency and competitiveness of Hong Kong's listing system, while adhering to strict regulatory standards and protecting the public interest,” said Ms. Wu Kit-ping, Head of Listing at the Hong Kong Stock Exchange. With the support of the Hong Kong Securities Regulatory Commission, this extension is a step further from the optimized approval process schedule introduced by the Stock Exchange and the Securities Regulatory Commission in October 2024, providing more flexibility for applicants to manage the listing schedule and supporting a more focused and efficient application process.”
Throughout the new listing application process, applicants, sponsors and their advisors should pay close attention to the progress of the application, promptly inform regulators about major developments, and submit a realistic schedule. In setting a reasonable schedule, sponsors must act with proper skill, care and diligence, taking full account of the time required for the supervisory authority to review and complete the assessment. In view of the extension of the application validity period, the relevant schedule under the Optimized Approval Process Schedule will be adjusted as appropriate, taking into account the latest progress and schedule provided by the applicant and sponsor.
The short-term exemption will apply to all new listing applications that meet the conditions of this announcement and that (i) remain in effect on or after the date of this announcement, or (ii) are submitted or re-submitted on or after the date of this announcement. The exemption will apply for three years from the date of this announcement (i.e. August 21, 2026 to August 20, 2029). The Hong Kong Stock Exchange will monitor its implementation and effectiveness, and may review relevant regulations or conduct public consultations when necessary and appropriate.