New Issues: Nasdaq Sees Hard On IPOs From Chinese Small Businesses

New Issues: Nasdaq Sees Hard On IPOs From Chinese Small Businesses

         New Issues Nasdaq is cracking down on IPOs of Chinese small businesses The technology exchange Nasdaq tightened the regulations for IPOs of Chinese companies. Last year it was 19 new issues. US stock exchange operator Nasdaq is cracking down in the middle of the US-China trade dispute over IPOs of small business in the People’s Republic of China. For example, regulations for planned IPOs are being tightened, as evidenced by official communications. In addition, the approval process for the jump to the trading floor is slowing down, investment bankers and corporate executives said. Turnover in stocks of most Chinese companies remains low after New York stock market listing as the equity securities are in the hands of very few investors. This low liquidity makes them unattractive to many institutional investors. An increasing number of companies will also receive most of their capital from Chinese sources, not US investors, on their IPO. A Nasdaq spokeswoman said the exchange provides fair market access to all qualified companies. US investors should be given broad investment opportunities. She did not want to comment on the impact of the new stock market rules on IPOs of small Chinese companies. Last year, a total of 19 Chinese companies went to Nasdaq. On Friday, an insider said that the US government is considering stopping the listing of Chinese companies in the US. Such a move would be part of a larger-scale effort to restrict Chinese investment in the US, a person familiar with the matter said to Reuters. The US government denied this later. Recently, more than 150 Chinese companies were listed on Wall Street, according to the US government. US President Donald Trump accuses China of unfair trading practices and has imposed billions of dollars in punitive tariffs. China has reacted with counter-duties. This burdens the economy worldwide and keeps the stock markets in suspense. Now on wiwo.de You want to know what drives the economy? Click here for the latest articles of WirtschaftsWoche. © Handelsblatt GmbH – All rights reserved. Acquire usage rights?          Services offered by our partners       
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