CSRC to review refinancing rules for ChiNext companies

The China Securities Regulatory Commission (CSRC) plans to review and revise refinancing rules for Chinese companies listed on the ChiNext board, Reuters reported, citing a report in the Securities Times. CSRC will meet soon to discuss planned revisions which aim to streamline procedures for small-scale refinancing by companies listed on the ChiNext board, which is part of the Shenzhen Stock Exchange. The Shenzhen Stock Exchange focuses on small and medium-sized companies; ChiNext is focused on small startups. The Shenzhen exchange saw a surge in initial public offerings last year, surpassing IPOs on the much larger Shanghai Stock Exchange. However, the average company listed on ChiNext performed poorly in terms of year-on-year profit growth compared to firms listed on other mainland exchanges.