Shanghai Stock Exchange (Photo: VCG)
The China Securities Regulatory Commission (CSRC) and Shanghai Stock Exchange (SSE) will speed up work on rules for a science and technology innovation board to be launched in Shanghai, the Chinese securities watchdog said Monday.
China will launch a science and technology innovation board at the SSE and experiment with a new registration system for listed companies, Chinese President Xi Jinping announced in his keynote speech at the first China International Import Expo opening ceremony in Shanghai on Monday.
Following the decision, the CSRC and SSE will step up efforts to bring the mechanisms and rules to completion, including drawing on international experience and improving information disclosure, promoting the investment of long-term incremental funds into the market, cracking down on illegal activities, and strengthening the responsibility of intermediaries.
SSE said Monday that under the guidance of CSRC, SSE will actively formulate a pilot program for the science and technology innovation board and registration system. It will be implemented after the market advice and approval process. It's a new board independent of the current main board market, and the registration system will be experimented with in this board.
There will be differentiated policies on profitability and ownership structure to help more innovative companies go public, according to the CSRC.
"I believe that the new board will inject more vitality into Shanghai science and technology enterprises. It will make Shanghai an international metropolis like New York and London," Wang Jialiang, co-founder and CEO of CooTek, a mobile phone innovation software company, said excitedly.
"The launch of a science and technology innovation board provides new channels for companies to enter the capital market," said apartment rental platform Mogoroom CEO Ma Xiaojun.
Ma said he sees great opportunities for science and technology medium-sized enterprises in the future.
(Compiled by Baohan, with input from Xinhua)