China to strengthen delisting rules
China's top securities regulator has said that it will look into improving delisiting rules for listed companies that are involved in major violations.
More issues need to be made clearer concerning the legal basis for delisting in such cases, the definition of a major violation, and the approach for delisting, Monday's Shanghai Securities News quoted Xiao Gang, chairman of the China Securities Regulatory Commission, as saying.
"Generally speaking, delisting will become a regular and market-based mechanism," Xiao said.
Half of delistings in recent years in China were voluntary due to companies' strategic restructuring or privatization, according to Xiao. He added that delisting will become a neutral mechanism, under which rule breaking or legal violations will not be tolerated.
The pillar criterion for delisting places the emphasis on companies' financial reports -- those that make losses for three consecutive years face suspension of share listing.
However, according to new rules issued in 2013, stocks may be delisted if tradings are too slow or the share price is cheaper than one yuan.
- 2013 Brand China Annual Figure Welcome Ceremony was held in BeiJing
- 2013 Brand China Annual Figures Television Awards Ceremony was held in Beijing
- The night of Top Grade Heaven •The Seventh Brand China Festival VIP Welcome Dinner held in Beijing
- the night of Top Grade of the Heaven--the Seventh Brand China Festival Television Aaward Ceremony
- Thousands of Famous Brands gleaned at Brand Festival with the “The Chinese Dream”
- 2009 Brand China Women’s Summit Forum
- “The Brand Olympics”to be Held on Aug.8
- The 4th Brand China Festival Curtain Fell in Beijing