Chinese IPOs soar as listing rules ease

New IPO rules in China have led to a surge in the number of new public debuts on the Shanghai and Shenzhen exchanges. Thanks to these measures, the listing process for companies from different industries is simplified, which in turn contributes to rapid development and innovation. Some of the IPO-listed companies, including Shenzhen CECport Technologies and BOTH Engineering Technology, rose 239% and 133% respectively on Monday. Regulators no longer determine the value of companies, indicating a change in the underlying logic of regulation. The new rules also remove the company valuation cap and first-day IPO price caps. As a result, IPO revenue in China in 2022 increased by 13%, while it declined in Hong Kong, New York and London.