Report on Initial Public Offering Applications, Delisting and Suspensions (As at 30 September 2020)

First Comment Letters Issued⁽⁷⁾

September 2020

Average number of days taken between the date of application and the date of issue of related first comment letter

Guidance issued to potential new listing applicants or their advisers on matters relating to the Listing Rules

September 2020

Average number of days taken between the date of request for guidance and the date of issue of written response⁽⁸⁾

Market Operations

30 Sep 2020

Report on Initial Public Offering Applications, Delisting and Suspensions
(As at 30 September 2020)

				Main Board	GEM	Total
New Applications Accepted⁽¹⁾
	a.		September 2020	26	0	26
	b.		2020 Year-to-date	182	15	197
Approvals in principle granted⁽¹⁾
	a.	September 2020		23	1	24
	b.	2020 Year-to-date		115	6	121
Active applications⁽¹⁾(as at 30 September 2020)
1.	Under processing
	a.	New applications accepted since 1 January 2020		108	10	118
	b.	Others		29 __________	7 __________	36 __________
		Sub-total		137	17	154
2.	Approval in principle granted
	a.	Approvals granted since 1 January 2020		20	1	21
	b.	Others		1 __________	0 __________	1 __________
Total				158	18	176

Inactive applications⁽²⁾ (since 1 January 2020)
1.	Lapsed
	a.	Approval in principle granted but not listed prior to application lapsed	36	2	38
	b.	Others	108	33	141
2.	Rejected		1	0	1
3.	Withdrawn		5	0	5
4.	Returned⁽³⁾		0 __________	0 __________	0 __________
	Total		150	35	185

5.	Renewals⁽⁴⁾		110	17	127
6.	Returned cases resubmitted⁽⁵⁾		0 __________	0 __________	0 __________
	Total		110	17	127
No. of new listings (since 1 January 2020)
1.	Newly listed companies⁽⁶⁾		112	7	119
2.	Transfer of listing from GEM to Main Board		5 __________	N/A __________	5 __________
Total			117	7	124

⁽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⁽²⁾	Includes any application (or renewal) not approved, returned, rejected or withdrawn within six months from date of application.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⁾	Not include transfer of listing from GEM to the Main Board.
⁽⁷⁾	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 18 and the average number of days taken is 14.
⁽⁸⁾	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 30 September 2020)

			Main Board	GEM	Total
(a)	Number of delisted companies (since 1 January 2020)
	a.	Withdrawal of listing pursuant to privatisation	10	0	10
	b.	Transfer of listing from GEM to Main Board	N/A	5	5
	c.	Cancellation of listing pursuant to delisting procedures under the Listing Rules	13	4	17
	d.	Voluntary withdrawal of listing	2 __________	1 __________	3 __________
Total			25	10	35
(b)	Number of companies in suspension for three months or more (as at 30 September 2020)
	a.	Main Board companies in delisting procedures under Practice Note 17⁽⁹⁾	10	N/A	10
	b.	Companies given notice for delisting⁽¹⁰⁾	N/A	1	1
	c.	Other suspended companies⁽¹¹⁾	35	11	46
	d.	Delisting approved by the Listing Committee	17* __________	5* __________	22 __________
Total			62	17	79

Other Information
(As at 30 September 2020)

			Main Board	GEM	Total
(c)	Number of listed companies (as at 30 September 2020)		2,143	375	2,518

⁽⁹⁾	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.
⁽¹⁰⁾	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.
⁽¹¹⁾	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.

*	17 Main Board companies and 5 GEM 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 16 Oct 2020