China Star Market: Revolutionary support for unprofitable tech startups!

China Star Market: Revolutionary support for unprofitable tech startups!

The Shanghai Stock Exchange (SSE) released fresh guidelines for a growth level in the popular Star Market on Sunday, which has established itself as an innovation board for technology companies. As reports globalTimes.cn , this announcement comes just under a month after the start of a growth level by the Chinese security authority. This is a sign that the clock does not stand still in China when it comes to the capital market and the support of innovative companies.

Support for unprofitable companies

One of the most exciting innovations in these guidelines is support for high -quality technology companies that are not yet profitable. There will be no additional requirements for the inclusion of these unprofitable companies in the growth level. Already on the day after the guidelines come into force, 32 existing, unprofitable companies are added to the new level, which signals that the doors are far open for fresh ideas and technologies. Newly registered companies can also start from the day of their listing, which further fueled the innovation spirit.

Professor XI Junyang from the Shanghai University of Finance and Economics emphasizes that the capital marketservices for unprofitable companies are a decisive criterion for investors. The chairman of the China Securities Regulatory Commission, Wu Qing, already announced in June that the Commission wanted to deepen the reform of the capital market and planned a "1+6" policy package to promote Star Market. These measures strengthen the position of the Star Market as an essential part of the financial ecosystems in China.

growth level and political support

What makes the Star Market growth level so special? It was introduced to support innovative companies that are in line with national strategies and have nuclear technologies. The Star Market, who opened its gates on July 22, 2019, is not just a simple stock market format; It also allows companies with different stock classes and Red Chip companies that are already listed abroad. This is a strategic decision that significantly improves access to financing. According to wikipedia.org , many companies have already been listed in areas such as semiconductor and artificial intelligence, which makes the market very attractive.

The role of Star Market in the greater political context is also not to be neglected. The Chinese government would like to use the capital market to promote technological innovations and prioritize certain companies that achieve breakthroughs in critical core technologies. This shows how closely the connection between politics and business in China looks.

Perspectives for the stock market

In addition, the demand for IPOS in China is unbroken. According to sse.com.cn the regulatory authorities, the permits for the IPO of high -quality, unprofitible startups. This could make the financing options of innovative companies considerably easier and thus boost capital flows into technological innovations. The latest information reports speak of a forecast for 2024, which indicates 150 to 200 new IPOs. In addition, the support for IPOS could be decisive for unprofitable companies in order to alleviate their financing difficulties in the initial phase.

Well, you can really look forward to how the Star Market will develop in the coming months. The combination of political impulses and a changed investment environment could trigger a real boom for the Chinese technology landscape. Let's see if we will soon hear from other major innovations!