Hong Kong Regulator Ramps Up Warnings Over Poor IPO Filings
Workers prepare for an IPO at the Hong Kong Stock Exchange.
Photographer: Paul Yeung/BloombergHong Kong’s market regulator stepped up warnings to investment banks over filing sloppy applications for share sales as listings boom.
In a circular issued on Friday, the Securities and Futures Commission said it’s concerned that a growing number of teams at the most active sponsors are unfamiliar with regulatory requirements and lack experience and resources to handle applications. It also found that some principal bankers have insufficient capacity to supervise, and show an over-reliance on lawyers and auditors.