Hong Kong stock exchange extends listing application window to 12 months

Around 500 companies currently have listing applications pending approval in Hong Kong, far above the historical average

The Hong Kong stock exchange plans to grant a three-year waiver to temporarily extend its listing application window from six months to 12 months, according to a statement released on Friday.

The extension was designed to give listing candidates, their sponsors and advisers more time to complete their listings – allowing them to avoid having to repeatedly refile their applications – said the exchange, which is a unit of Hong Kong Exchanges and Clearing (HKEX).

At present, a listing application lapses six months after the date of submission if the candidate cannot complete all the necessary procedures and secure approval within the window. The firm must then resubmit the documents to resume the application.

The exchange said the measures would cut down application resubmissions, giving companies and their advisers more time to focus on the quality of the application materials and listing documents.

“This change will not alter the exchange’s regulatory standards or the protections in place for investors,” the exchange said in the statement.