SFC Urges Sponsors and Intermediaries to Stay Vigilant and Report Any Concerns

The Securities and Futures Commission uncovered "chicken-coop" rigging in new listings, involving "under-the-table" arrangements to artificially inflate initial public offering (IPO) demand and manipulate post-listing trading. The regulator urged sponsors, overall coordinators and capital market intermediaries to remain vigilant, make further enquiries if they have concerns, and promptly report to the Securities and Futures Commission and Hong Kong Exchanges and Clearing (0388).