Report on Initial Public Offering Applications, Delisting and Suspensions (As at 28 September 2018)

Market Operations

28 Sep 2018

Report on Initial Public Offering Applications, Delisting and Suspensions
(As at 28 September 2018)

					Main Board	GEM	Total
New Applications Accepted
	a.		September 2018
			(i)	Application(s) made by companies pursuant to Chapter 8 of the Main Board Listing Rules/Chapter 11 of the GEM Listing Rules	27	6	33
			(ii)	Application(s) made by investment vehicle(s) pursuant to Chapters 20 and 21 of the Main Board Listing Rules	0	N/A	0
			(iii)	Application(s) for transfer of listing from GEM to Main Board	3	N/A	3
			(iv)	Deemed new applicant(s) pursuant to Main Board Listing Rule 8.21C or Main Board Listing Rule 14.84, and very substantial acquisition(s) treated as reverse takeover(s) pursuant to Main Board Listing Rule 14.06(6)/GEM Listing Rule 19.06(6)	0 ________	0 ________	0 ________
Total					30	6	36
	b.		2018 Year-to-date
			(i)	Application(s) made by companies pursuant to Chapter 8 of the Main Board Listing Rules/Chapter 11 of the GEM Listing Rules	211	62	273
			(ii)	Application(s) made by investment vehicle(s) pursuant to Chapters 20 and 21 of the Main Board Listing Rules	10	N/A	10
			(iii)	Application(s) for transfer of listing from GEM to Main Board	19	N/A	19
			(iv)	Deemed new applicant(s) pursuant to Main Board Listing Rule 8.21C or Main Board Listing Rule 14.84, and very substantial acquisition(s) treated as reverse takeover(s) pursuant to Main Board Listing Rule 14.06(6)/GEM Listing Rule 19.06(6)	3 _________	2 _________	5 _________
Total					243	64	307
Approvals in principle granted⁽¹⁾
	a.	September 2018			16	7	23
	b.	2018 Year-to-date			119	60	179
Active applications⁽¹⁾(as at 28 September2018)
1.	Under processing
	a.	New applications accepted since 1 January 2018			155	44	199
	b.	Others			12 _________	5 _________	17 _________
		Sub-total			167	49	216
2.	Approval in principle granted
	a.	Approvals granted since 1 January 2018			25	7	32
	b.	Others			1 _________	0 _________	1 _________
Total					193	56	249

Inactive applications⁽²⁾ (since 1 January 2018)
1.	Lapsed
	a.	Approval in principle granted but not listed prior to application lapsed		22	20	42
	b.	Others		86	53	139
2.	Rejected			9	6	15
3.	Withdrawn			4	4	8
4.	Returned⁽³⁾			0 _________	0 _________	0 _________
	Total			121	83	204

5.	Renewals⁽⁴⁾			89	60	149
6.	Returned cases resubmitted⁽⁵⁾			0 _________	1 _________	1 _________
	Total			89	61	150
No. of new listings (since 1 January 2018)
		(i)	Companies listed pursuant to Chapter 8 of the Main Board Listing Rules/ Chapter 11 of the GEM Listing Rules	91	67	158
		(ii)	Investment vehicle(s) listed pursuant to Chapters 20 and 21 of the Main Board Listing Rules	9	N/A	9
		(iii)	Transfer of listing from GEM to Main Board	8	N/A	8
		(iv)	Deemed new listing(s) pursuant to Main Board Listing Rule 8.21C or Main Board Listing Rule 14.84, and very substantial acquisition(s) treated as reverse takeover(s) pursuant to Main Board Listing Rule 14.06(6)/GEM Listing Rule 19.06(6)	1 _________	0 _________	1 _________
Total				109	67	176

First Comment Letters Issued⁽⁶⁾
	a.	September 2018	28
	b.	Average number of days taken between the date of application and the date of issue of related first comment letter	23

Guidance issued to potential new listing applicants or their advisers on matters relating to the Listing Rules
	a.	September 2018	11
	b.	Average number of days taken between the date of request for guidance and the date of issue of written response⁽⁷⁾	7

⁽¹⁾	Includes application(s) by investment vehicle(s) pursuant to Chapters 20 and 21 of the Main Board Listing Rules, application(s) for transfer of listing from GEM to the Main Board, and deemed new applicant(s)pursuant to Main Board Listing Rule 8.21C or Main Board Listing Rule 14.84, and very substantial acquisition(s) treated as reverse takeover(s) pursuant to Main Board Listing Rule 14.06(6)/GEM Listing Rule 19.06(6).
⁽²⁾	Includes any application (or renewal) not approved, returned, rejected or withdrawn within six months from date of application.
⁽³⁾	Applications accepted for vetting but subsequently returned on the ground that the information in the listing application proof or related documents is not substantially complete.
⁽⁴⁾	Includes all applications accepted within three months following a lapsed, rejected or withdrawn application by the same applicant.
⁽⁵⁾	Applications resubmitted to the Exchange after an 8-week moratorium from the date of the return letter.
⁽⁶⁾	First comment letters are the first letters issued by Listing Department staff that contain the comments on the respective listing applications. It only covers the first comment letters issued this month. For reports issued from January 2011 onwards, non-business days have been subtracted from “the average number of days taken”. The figures exclude cases for a transfer of listing from GEM to the Main Board. If included, the number of first comment letters issued is 31 and the average number of days taken is 23.
⁽⁷⁾	Covers only the guidance letters issued this month. For the reports issued from January 2011 onwards, non-business days have been subtracted from "the average number of days taken".

Delisting and Suspension Information
(As at 28 September 2018)

			Main Board	GEM	Total
(a)	Number of delisted companies (since 1 January 2018)
	a.	Withdrawal of listing pursuant to privatisation	1	0	1
	b.	Transfer of listing from GEM to Main Board	N/A	8	8
	c.	Cancellation of listing pursuant to delisting procedures under the Listing Rules	2	0	2
	d.	Voluntary withdrawal of listing	5 _________	0 _________	5 _________
Total			8	8	16
(b)	Number of companies in suspension for three months or more (as at 28 September2018)
	a.	Main Board companies in delisting procedures under Practice Note 17⁽⁸⁾	22	N/A	22
	b.	Companies given notice for delisting⁽⁹⁾	0	4	4
	c.	Other suspended companies⁽¹⁰⁾	38	6	44
	d.	Delisting approved by the Listing Committee	5* _________	0 _________	5 _________
Total			65	10	75

Other Information
(As at 28 September 2018)

			Main Board	GEM	Total
(c)	Number of listed companies (as at 28 September 2018)		1,885	383	2,268

⁽⁸⁾	Main Board companies that are placed in a three stage process of delisting under Practice Note 17 to the Main Board Listing Rules for failure to maintain sufficient operations or assets.
⁽⁹⁾	The Exchange has decided to commence procedures under Main Board Rule 6.10 or GEM Rule 9.15 to cancel the listing of companies on the grounds set out in Main Board Rule 6.01 or GEM Rule 9.14.
⁽¹⁰⁾	The Exchange may cancel the listing of companies if trading in their securities has remained suspended for 18 continuous months under Main Board Rule 6.01A or 12 continuous months under GEM Rule 9.14A. Depending on the specific facts and circumstances of a suspended company, the Exchange may at any time publish a delisting notice stating its right to delist the company if it fails to resume trading within a shorter period specified in the notice.

*	The companies have applied to the Exchange to review the delisting decisions. The review procedures are in progress.

This report is updated on the last trading day of each month.

Ends

Updated 22 May 2020