China plans to exempt Hong Kong IPOs from cybersecurity reviews

Companies going public in Hong Kong will be exempt from first seeking the approval of China's cybersecurity regulator, say sources. — AP Photo

China plans to exempt companies going public in Hong Kong from first seeking the approval of the country’s cybersecurity regulator, removing one hurdle for businesses that list in the Asian financial hub instead of the US, according to people familiar with the matter.

The exemption was outlined by officials in recent meetings with bankers, after a government statement on Saturday announcing a new review process for foreign listings prompted questions over whether it would apply to Hong Kong, the people said, asking not to be identified as the discussions are private.