Singapore to streamline IPO reviews under exchange regulator

“We are progressing with our initiatives to strengthen Singapore‘s position as a leading international capital markets hub,” Tan Boon Gin, chief executive of SGX RegCo, said in the statement.

SGX RegCo will also refine admission criteria for pre-revenue companies, including life sciences firms, to broaden investor choice, it added.

Issuers must continue to provide robust disclosures, including material internal control weaknesses and conflicts of interest, it said.

The consolidation complements other efforts to streamline the listing process that had been consulted on earlier and also comes alongside measures that aim to strengthen investor confidence, MAS said.

SGX RegCo will remove its financial watchlist, citing unintended negative impact on business confidence, but companies with three consecutive years of losses must disclose this, it said.

The exchange regulator said that it will, where possible, engage privately with issuers on their disclosures to “avoid a chilling effect on the market”. 

“However, issuers must continue to publicly disclose materially price-sensitive or trade-sensitive information. 

“If unusual trading is detected and there is reason to believe that the market is not fair, orderly or transparent, SGX RegCo will immediately issue trade-with-caution alerts.”

Trading suspensions will only occur if there is clear evidence of going concern issues, SGX RegCo said. It will also consult on removing the Listings Advisory Committee process for listing applications.

MAS and SGX RegCo will maintain close coordination on surveillance and enforcement, according to both statements.