Capital Markets

Shanghai Stock Exchange issues guidelines on disclosure of increase in shareholding.

Clearer procedures for private equity investment through trust companies.

Procedural obstacle cleared for increase of shareholding through Shanghai Stock Exchange.

Exchangeable bonds issued to solve problems of unloading non-tradable shares.

Hubert TseYuan Tai PRC [email protected] the September 12 2008, the China Securities Regulatory Commission (CSRC) promulgated the Guiding…

The Guidelines set forth the requirements for engaging in the private equity investment trust business.

The Trial Provisions for the Issuance of Convertible Bonds by Shareholders of Listed Companies promulgated by the China Securities Regulatory Commission opens a new debt financing channel for cash-hungry shareholders in China's financial market. These Provisions are designed to stabilise the country's stock market and ease oversupply of stocks in the A-share market, as panic sets in about possible dumping of newly freed locked-up shares under the Share Segmentation Reform launched in 2005. By Jiang Jiang, Hylands Law Firm partner

The China Banking Regulatory Commission recently issued guidelines which provide additional legal basis and specific operational guidelines for trust companies in China. By Allen Zhou, Paul, Hastings, Janofsky & Walker partner.

Shareholders that hold shares of listed companies may, through sponsorship of a sponsor, apply to the China Securities Regulatory Commission to offer exchangeable bonds.