SSE Responds to the Press on the Measures for the Administration of the Listing Review Committee and the Review Committee of M&A and Restructuring of Shanghai Stock Exchange[...]

SSE Responds to the Press on the Measures for the Administration of the Listing Review Committee and the Review Committee of M&A and Restructuring of Shanghai Stock Exchange (Draft for Comment)

The Measures for the Administration of the Listing Review Committee and the Review Committee of M&A and Restructuring of Shanghai Stock Exchange (SSE) (Draft for Comment) (hereinafter referred to as the Draft for Comment of Measures for Administration) was open to public comments on December 9, 2022. Relevant Officials of SSE responded to the press regarding the formulation of the Draft for Comment of Measures for Administration.

I. Please outline the background to the formulation of the Draft for Comment of Measures for Administration.

A: Since the establishment of the STAR Market and the pilot of the registration scheme, the Listing Committee and the Restructuring Committee of the STAR Market have been running smoothly and orderly, and have played their due roles in building the STAR Market and piloting the registration scheme. In view of the Listing Committee and the Restructuring Committee performing their duties of issuance and listing review and M&A and restructuring review respectively, with the increasing significance of examination, the two committees are integral parts of supervision among issuance and listing. Thus, higher requirements concerning political caliber, professional background and ratio of full-time and part-time staff, are needed. Accordingly, based on experiences of pilot reform and the reality needs, the SSE draws up the Draft for Comment of Measures for Administration, which would adjust and optimize the supporting systems and operation mechanism of both the committees.

II. Please outline the adjustments and improvements of the systems of the Listing Committee and the Restructuring Committee in the Draft for Comment of Measures for Administration.

A: To highlight the committees' function for review, the Draft for Comment of Measuresfor Administration renames the Listing Review Committee and the Restructuring Committee as "Listing Review Committee of Shanghai Stock Exchange" and "Review Committee of M&A and Restructuring of Shanghai Stock Exchange". For the specific systems, it further improves the whole chain mechanism of "selection, appointment and management" of the Listing Committee and the Restructuring Committee, and makes more comprehensive and detailed regulations on the constitution, appointment and duties, meeting organization and convening, work discipline, supervision and management of the committee members to ensure the orderly, efficient and smooth running of the two committees. For the structure of the committee members, it is specified that they are mainly full-time members with securities regulatory experiences, supplemented by part-time members for strengthening management of committee members and effective play of examination function.

III. Please outline the arrangements for the release and implementation of the Measures for Administration.

A: The period of soliciting public opinions about Measures for Administration will last for five working days. When the comment period ends, the SSE will make amendments and improvements in line with the solicited public opinions, then release for implementation at the right time after fulfilling the approval procedures. Besides, the progress in organization of the Listing Committee and the Restructuring Committee will be released to public in time.

Notice of Publicly Soliciting Opinions on the Measures for the Administration of the Listing Review Committee and the Review Committee of M&A and Restructuring of Shanghai Stock Exchange (Draft for Comment)