Update on the SFC’s front-loaded regulation of listing matters

21 Feb 2019



The Securities and Futures Commission (SFC) today published the latest issue of its SFC Regulatory Bulletin: Listed Corporations to provide an update on how it exercises its powers under the Securities and Futures (Stock Market Listing) Rules to fulfil its statutory objective of protecting investors.

The bulletin highlights some of the SFC's recent actions to tackle market misbehaviour. Case studies illustrate how the SFC intervenes at an early stage where it has serious concerns about IPO applications or post-IPO corporate transactions.

"Under our 'front-loaded' approach, we are devoting more resources to transactions which appear to be oppressive or unfairly prejudicial to shareholders, or where fraud or other serious misconduct is suspected," said Mr Ashley Alder, the SFC's Chief Executive Officer. "To protect investors' interest and market integrity, we will not hesitate to intervene at an early stage."

The bulletin reminds company directors to act in good faith in the interests of the company and exercise due and reasonable care, skill and diligence when evaluating, proposing or approving corporate transactions. Directors have a duty to exercise their own judgement and should not over-rely on third party opinions or advice.


The bulletin is available on the SFC website. Members of the public may subscribe by filling out the form available under the "subscribe" link.



Page last updated : 21 Feb 2019