The China Securities Regulatory Commission ("CSRC") recently issued the Administrative Measures for Registration of Issuance of Securities by Listed Companies on the SSE STAR Market (for Trial Implementation) (Draft for Comments) (the "Draft for Comments") for public consultation, and the Shanghai Stock Exchange ("SSE") subsequently issued the Rules for Examination of Issuance and Listing of Securities by Listed Companies on the SSE STAR Market (Draft for Comments) and the Implementing Rules for Issuing and Underwriting Securities of Listed Companies on the SSE STAR Market (Draft for Comments) for public comments. Comments solicitation has ended by now.

Major contents of the Draft for Comments include: (1) setting out the basic issuance conditions to regulate refinancing activities of listed companies and practically safeguard the lawful rights and interests of investors and the public interests; (2) optimizing and adjusting the institutional arrangement for private placement of shares, a move to support listed companies in introducing strategic investors; and (3) setting convenient and efficient registration procedures to boost financing efficiency. For the purpose of reducing, to the largest extent, the time frame required for examination and registration by the regulators, the SSE and the CSRC are expected to conclude the examination and approval process and the registration process within two months and 15 working days, respectively. Moreover, the SSE is authorized to conduct research and enact the business rules for small-amount financing, according to the overall situation of refinancing on the SSE STAR Market and actual market needs.

(Source: China Securities Regulatory Commission, Shanghai Stock Exchange)