On 23 August 2024, the Stock Exchange of Hong Kong Limited (the “Exchange”) and the Securities and Future Commission (the “SFC”) made a joint announcement in relation to temporary modifications (the “Modifications”) to certain requirements for the listing of Specialist Technology Companies and De-SPAC Transactions. The Modifications will apply temporarily for a fixed period of three years from 1 September 2024 to 31 July 2027.

The Modifications are summarised as follows:

1. Specialist Technology Companies

(i) Reduction in market capitalisation threshold at the time of listing

·       Commercial Companies: reduce from HK$6 billion to HK$4 billion; and

·       Pre-Commercial Companies: reduce from HK$10 billion to HK$8 billion

2. De-SPAC Transactions

(i) Reduction in minimum independent third party investment

·       Modified to lower of: (a) the currently prescribed percentage of the negotiated value of the De-SPAC Target; or (b) HK$500 million.

(ii) Independence requirements for third party investors

·       Align with the Sophisticated Independent Investors (SIIs) definition for Specialist Technology Companies