China has finalized regulations for a Nasdaq-style innovation board that promises to smooth the way for Chinese technology IPOs, Reuters reports.
The stock market regulator late on Friday published the rules for the tech board in Shanghai after considering opinions from the public on draft regulations that were introduced on Jan. 30, the report said.
The rules took effect immediately.
Listings on the new board will be done according to a registration system that limits official powers to control the timing of IPOs.
In addition, some companies that are not yet profitable will be allowed to go public.
Those provisions alleviate two major impediments to companies seeking to tap existing equity capital markets in China.
China has long wanted its tech champions to list closer to home, but many of its best-known tech firms, including Alibaba Group and Tencent Holdings, chose to raise funds in international markets.
New York and Hong Kong accounted for nearly 70 percent of the money raised through Chinese IPOs last year.
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