China’s securities watchdog is expected to approve a refinancing scheme for Growth Enterprise Market (GEM) companies by the end of March, Securities Daily reported Thursday, citing an unnamed industry source. Applicants will be required to have an asset-to-liability ratio higher than 30 percent and a record of cash dividend payment in the preceding two years. Also, the fundraising should not exceed 50 million yuan (US$8.07 million) or 10 percent of net assets, the report said. GEM is looking to mitigate the impact of the new over-the-counter board, also known as the New Third Board, on its business.
– Contact HKEJ at [email protected]