Capital Raising

Listing of Debt Issues to Professional Investors Only

Chapter 37 of the Listing Rules deals with listing debt securities that are offered only to professional investors and not to public investors in Hong Kong. Such debt listings are referred to in the Rules as listings by selective marketing. In the case of such debt listings, most trading occurs off-exchange, with trading on-Exchange being relatively rare. Listing is sought so that institutional investors with investment mandates that are limited to listed debt can subscribe for these issues. As a result, this type of debt listing has traditionally been subject to light touch regulation at the Exchange and stock exchanges worldwide.

New Listing Rules for "professional" debt securities came into effect at the end of 2011.

For further information please refer to our newsletter on the relevant changes to the Listing Rules, or the Exchange's Consultation Conclusions issued in October 2011.