What are the requirements for companies applying for the listing of shares?
According to the Securities Law and the Company Law of the PRC, companies applying for the listing of shares must meet the following conditions:
1. The shares must be publicly issued following approval of the State council Securities Management Department;
2. The company's total share capital must not be less than RMB 50 million;
3. The company must have been in business for more than three years and have made profits over the last three consecutive years. In the case of former state-owned enterprises re-established according to the law or founded after implementation of the law, if the issuers are large or medium-sized state-owned enterprises, the period can be calculated consecutively.
4. The number of shareholders with holdings valued in excess of RMB 1,000 must not be less than 1,000 persons. Publicly offered shares must be more than 25% of the company's total share capital. Fore companies whose total share capital exceeds RMB400 million, the ratio of publicly offered shares must be more than 15%.
5. The company must not have been guilty of any major illegal activities or false accounting records in the past three years before listing.
6. Other conditions stipulated by the State Council.
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