Entire Section

  • 2008

    Update Number Effective Date

    (DD/MM/YY)
    Topics
    Update No. 27 01/09/2008 Minor amendments to the GEM Listing Rules
    Update No. 26 01/07/2008 GEM Review
    Update No. 25 26/05/2008 Closing Auction Session
    Update No. 24 10/03/2008 Publication of announcements

    • Update No. 27

      Note to subscribers for the amendments to the rules governing the listing of securities on the Growth Enterprise Market (the "GEM Listing Rules")

      Update No. 27

      September 2008

      Dear Sirs,

      Minor Rule amendments

      We enclose reprinted pages of the GEM Listing Rules. The reprinted pages incorporate the final versions of those minor amendments set out for public exposure in the "Combined Consultation Paper on Proposed Changes to the Listing Rules" published by the Exchange in January 2008 which remained to be implemented. These include amendments to reduce further the numbers of hard copies of documents which issuers are required to provide to the Exchange under the GEM Listing Rules.

      We also enclose the filing instructions.

      Coming into effect

      The amendments will become effective on 1 September 2008.

      Please click HEREHERE to see the amendments.

      Yours faithfully,

      For and on behalf of

      The Stock Exchange of Hong Kong Limited

      Richard Williams

      Head of Listing

    • Update No. 26

      Note to subscribers for the amendments to the rules governing the listing of securities on the Growth Enterprise Market (the "GEM Listing Rules")

      Update No. 26

      June 2008

      Dear Sirs,

      Amendments to the Listing Rules relating to the further development of the Growth Enterprise Market

      We enclose reprinted pages of the GEM Listing Rules. The reprinted pages incorporate amendments to provide for the further development of the Growth Enterprise Market (GEM) as a second board and as a stepping stone towards listing on the Main Board.

      Amendments have been made to reflect the new role of the market but GEM has largely retained its existing structure.

      The key Rule amendments are set out below:

      •  under new quantitative admission requirements, applicants need to have achieved positive cash flow of not less than $20 million in aggregate for the two preceding financial years;
      •  the power to approve the admission of new issuers to GEM has been delegated from the GEM Listing Committee to the Listing Division. The GEM Listing Committee has retained its monitoring, review and policy responsibilities;
      •  continuing obligations of GEM listed issuers have been brought closer to the requirements applicable to the Main Board market; and
      •  the process for transferring a listing from GEM to the Main Board has been streamlined and new provisions under Chapter 9 have been added setting out applicable rules for a transfer.

      We also enclose the filing instructions.

      Coming into effect

      The amendments will become effective on 1 July 2008 . Transitional arrangements for new listing applications and for compliance with the revised public float requirements are set out in the Exchange's announcement dated 2 May 2008 .

      Please click HEREHERE to see the amendments relating to the further development of the Growth Enterprise Market.

      Yours faithfully,

      For and on behalf of

      The Stock Exchange of Hong Kong Limited

      Richard Williams

      Head of Listing

    • Update No. 25

      Note to subscribers for the amendments to the rules governing the listing of securities on the Growth Enterprise Market (the "GEM Listing Rules")

      Update No. 25

      April 2008

      Dear Sirs,

      Closing auction session

      We enclose reprinted pages of the GEM Listing Rules. The reprinted pages incorporate amendments to align the operational hours of the Electronic Disclosure regime with the implementation of the closing auction session.

      We also enclose the filing instructions.

      Amendments have been made to rule 16.18(3)(a) in order to align the operational hours of the Electronic Disclosure regime for publication of the majority of announcements with the new market trading hours upon implementation of the closing auction session on 26 May 2008.

      Coming into effect

      The amendments will become effective on 26 May 2008.

      Please click HEREHERE to see the amendments.

      Yours faithfully,

      For and on behalf of

      The Stock Exchange of Hong Kong Limited

      Richard Williams

      Head of Listing

    • Update No. 24

      Note to subscribers for the amendments to the rules governing the listing of securities on the Growth Enterprise Market (the "GEM Listing Rules")

      Update No. 24

      February 2008

      Dear Sirs,

      Various amendments to the GEM Listing Rules

      We enclose reprinted pages of the GEM Listing Rules. The reprinted pages incorporate:

      •  an amendment to implement an extension, to 2:00 p.m. , of the lunchtime publication window for announcements;
      •  an amendment to allow the publication of any type of announcements during the lunchtime publication window; and
      •  amendments to provide for the new arrangements for distribution of brokerage on initial public offerings (IPOs) through Autopay and to include expressly the brokerage payment arrangements for eIPO applications to reflect the current market practice.

      We also enclose the filing instructions.

      Publication of announcements

      On 10 March 2008 the current restrictions on the publication of announcements outside of trading hours will be relaxed.

      A GEM issuer is currently able to publish announcements, including an announcement containing price sensitive information, between 6:00 a.m. and 9:00 a.m. on a trading day, without suspension. This policy will continue. Also, a GEM issuer will continue to be able to publish any announcement after 4:15 p.m. on a trading day.

      Currently, only preliminary results announcements, overseas regulatory news, suspension announcements and "standard" and "super" announcements can be published via the GEM website during lunchtime. From 10 March 2008 GEM issuers will be allowed to publish any type of announcement during lunchtime including announcements containing information that may have a material effect on market activity in and the price of the issuer's listed securities.

      Currently the lunchtime window for the publication of announcements ends at 1:30 p.m.. From 10 March 2008 this window will be extended by half an hour to 2:00 p.m..

      IPO brokerage

      Under the new arrangements for distribution of brokerage on IPOs, brokerage paid by investors is passed on by the issuer directly through Autopay into the bank account of the relevant Exchange Participant. This represents an improvement on the previous practice of distributing brokerage by physical cheques and is conducive to the timely and orderly administration of the IPO process.

      The GEM Listing Rules provide for payment of the IPO brokerage to an Exchange Participant or to the Exchange depending on whether or not the successful application form bears the chop of an Exchange Participant. An eIPO does not involve physical application and therefore chopping is not possible. In practice, issuers through registrars still pay the brokerage to an Exchange Participant for an eIPO application which bears the broker number of the Exchange Participant and to the Exchange where the application does not bear a broker number.

      The amendments to paragraph 6 of appendix 9 to the GEM Listing Rules provide for the new arrangements for distribution of brokerage on IPOs through Autopay and expressly include the brokerage payment arrangements for eIPO applications to reflect the current market practice.

      Coming into effect

      The amendments in relation to the publication of announcements will become effective on 10 March 2008.

      The amendments in relation to IPO brokerage became effective on 9 July 2007.

      Please click HEREHERE to see the amendments relating to publication of announcements.

      Please click HEREHERE to see the amendments relating to IPO brokerage.

      Yours faithfully,

      For and on behalf of

      The Stock Exchange of Hong Kong Limited

      Richard Williams

      Head of Listing