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| Parties Involved in a New Listing |
| 27/06/2008 |
|A listing exercise involves various professional parties which have their own unique role in the process. This section aims to explain the key players in a share offering. |
A company must appoint a suitable sponsor for its listing proposal. A sponsor must be a corporation or an authorised financial institution licensed or registered by the Securities and Futures Commission. The sponsor will be responsible for preparing the company for listing, for lodging the formal listing application and all supporting documents with the Exchange, and for dealing with the Exchange on all matters arising in connection with the application.
Before you appoint a sponsor, we strongly advise you to speak with a selection of sponsors to assess their suitability to act as sponsor to your company's listing. You should select a sponsor that is able to offer comprehensive and impartial advice regarding all aspects of the listing process.
All accountants' reports must be prepared by professional accountants who are qualified under the Professional Accountants Ordinance for appointment as auditors of a company and who are independent of the issuer.
Reporting accountants are responsible for reviewing the company's financial records and position, and preparing the new applicant's group accounts in accordance with relevant accounting standards and regulatory guidelines. This will enable prospective investors to make informed investment decisions.
|Legal advisers are responsible for ensuring that the new applicant will be in compliance with the laws of each of the relevant jurisdictions. They will also work closely with the sponsor and reporting accountants on any restructuring undertaken by the new applicant.|
|These are typically securities firms and our Exchange Participants who would be responsible for distributing the securities of the company during a share offering. Underwriters are required to underwrite any shares not taken up by investors.|
|Valuers are required to be appointed to attribute a value to a new applicant's properties prior to a listing. Valuers may also be appointed to prepare valuation on other assets of the company.|
|6.||Depositary (for issuance of HDR)|
|All HDR issuers must appoint a depositary. A depositary is a financial institution acceptable to the Exchange and appointed and authorised by the HDR issuer to issue or cancel HDR as agent of the issuer. The depositary, via its appointed custodian, also holds the shares represented by the HDR for the benefit of the HDR holders. |