China’s securities regulator has barred the country’s investment banks it regulates from acting as promoters of blank-check firms in Hong Kong, Reuters reports, citing three people with knowledge of the matter. The move cuts off a potentially lucrative business.
The China Securities and Regulatory Commission has decided to take the step, which was communicated to the mainland investment banks earlier this year, due to concerns over the risks associated with those vehicles, the sources said. Read more.
