Hong Kong investment bankers: The news that HKEX IPOs will restrict red-chip companies is not true

There are related rumors that the Hong Kong Exchanges and Clearing Limited (HKEX) IPO will restrict companies with a red-chip structure; in response, Hong Kong investment banking professionals said that the recent adjustments to HKEX IPO policies do not involve similar areas, and that the market rumors are not credible. The red-chip structure provides investors with flexible capital arrangements and convenient exit pathways, significantly improving market liquidity and capital allocation efficiency. Companies only need to pass the approval process of the listing exchange, without the need for multiple approvals in mainland China, thereby improving financing efficiency. (Sina)