|(Xinhua File Photo)
BEIJING, Feb. 28 (Xinhua) -- The government has no plan to start approving IPOs again, sources from the China Securities Regulatory Commission (CSRC) said Thursday.
A CSRC official who declined to be named made the remarks at a news briefing, dismissing speculation that the commission may reopen approvals of initial public offering (IPO) in April.
Many Chinese investors have blamed the CSRC for approving too many IPOs and turning the capital market into a place where companies, some of which have manipulated their financial reports, can amass great wealth overnight.
The CSRC seldom made IPO approvals after June last year. No companies have become listed over the last four months.
But companies are still eager to issue IPOs. Nearly 900 companies were waiting to get IPO approval as of February, according to CSRC figures.
To tackle the problem, the CSRC asked the broker agencies of all IPO applicants last December to inspect applicants' financial status and file reports to the commission before March 31.
The CSRC said it will conduct selective inspections based on the reports.
Many companies have since canceled their IPO applications, according to the CSRC.
Broker agencies who fail to follow the CSRC's orders may face penalties.
The commission said Wednesday that it plans to revoke three agencies' licenses for failing to discover financial manipulation committed by their clients.
In 2010, Yunnan Green-Land Biological Technology Co. was found to have exaggerated its assets and operating revenues when it launched its IPO.
CSRC intensifies monitoring efforts over IPOs
BEIJING, Jan. 28 (Xinhua) -- China's securities regulator has begun to act on violations that occurred during initial public offerings (IPOs) last year, with more sponsors being penalized for dereliction of duty.
Since September 2012, the China Securities Regulatory Commission (CSRC) has sent eight warning letters to six brokerage firms that failed to disclose information in a timely manner after their newly-listed clients reported profit plunges, Monday's China Securities Journal reported. Full story
China's IPO activity loses momentum in 2012
BEIJING, Jan. 7 (Xinhua) -- IPOs on China's A-share market slowed in 2012, with fewer newly listed companies and reduced fundraising, according to a leading Chinese financial data provider.
Some 150 Chinese firms raised a combined 92.7 billion yuan (14.7 billion U.S. dollars) through IPOs in Shanghai and Shenzhen last year, down 45.2 percent and 63.4 percent from 2011, respectively, according to a report in Monday's China Securities Journal that cited data from the Wind Information Co. Full story