A subsidiary of Hong Kong Exchanges and Clearing (HKEX) announced on Friday that it will expand the confidential filing option to all new applicants with immediate effect.

This came as the Stock Exchange of Hong Kong published the consultation conclusions of its proposals to enhance the competitiveness of the SAR’s listing framework.

During the period between March and May, it received 73 responses.

Previously, only secondary listings, biotech companies and specialist technology firms could apply to get listed confidentially.

The Stock Exchange will also lower the market-capitalisation threshold for weighted voting rights from the initial HK$40 billion by half.

Companies with a market value of at least HK$6 billion can also qualify if they generate at least HK$600 million in annual revenue.

This was compared to the previous arrangement in which firms with a market value of not more than HK$10 billion were eligible, given that they generate at least HK$1 billion in annual revenue.

"This reform is a major step in enhancing the flexibility and diversity of Hong Kong’s listing regime, ensuring it remains fit for purpose in an increasingly competitive global listing environment," HKEX’s Head of Listing, Katherine Ng said.

"By expanding access to our capital markets while maintaining robust corporate governance and investor protection, we are enabling a broader range of high-quality companies to list in Hong Kong and enriching opportunities for investors, elevating the city’s position as a global listing venue of choice."

The city’s bourse operator added that it will launch the second phase of consultation in due course. (Additional reporting by Reuters)


Edited by Aaron Tam