Market Chatter: Hong Kong's New Listing Reforms Seen Extending IPO Rally

MT Newswires Live2025-08-05

Hong Kong's updated listing rules are expected to help sustain the city's booming IPO market by encouraging more large-cap Chinese companies to list and improving price stability, Bloomberg News reported Monday.

According to the report, the changes, including easing public float requirements and prioritizing institutional investor allocations in hot IPOs, aim to support more accurate valuations.

Strategists quoted by Bloomberg said the reforms could help Hong Kong retain its position as a leading financial hub.

New listings are forecast to more than double to over $22 billion this year, driven by high-profile deals such as Contemporary Amperex Technology's (SHE:300750, HKG:3750) dual listing, the report said.

The exchange has also proposed lowering float requirements further to 5% for secondary listings and capped retail IPO allocations at 35%, down from 50%, in a bid to cool excessive retail speculation, Bloomberg said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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