CSRC revises rules on securities issuing

Securities issuers and lead underwriters can negotiate to decide an offering price and use other methods besides inquiry, according to a report on the website of China Securities Regulatory Commission on Tuesday.

According to the report, CSRC revised the regulation of securities issuing and undertaking to make different parties in the market positively participate in the issue of new shares and undertake responsibility. Any innovative pricing methods should be registered with the commission first.

The report also said securities issuers and lead underwriters can decide the offering price directly based on the preliminary inquiry. They also can fix the price through an accumulated bidding inquiry to the allotment subjects within the range of inquiry.

The revised regulation also ruled that institutional investors who claim to make use of the price difference between the first and second markets cannot purchase new shares.