- Pilot to allow some companies listed overseas to issue CDRs
- Certain start-ups will be eligible for IPOs on the mainland
China will launch a pilot program aimed at luring innovative companies back to the mainland equity market, loosening listing rules for certain firms and offering its own form of depositary receipts.
Companies that meet the following criteria will be eligible for the pilot, the State Council, China’s cabinet, said in a statement posted on its website late Friday:
- Firms that have their own core technology and high market recognition in strategic sectors such as the internet, big data, cloud computing, software and integrated circuit, high-end equipment manufacturing and biotechnology.
- In order to be able to take part in the trial of Chinese Depositary Receipts, or CDRs, Chinese companies listed elsewhere will need a market value…