Since the main business rules for the reform of the ChiNext Board and the pilot project of the registration-based IPO system were released to solicit public opinions on April 27, SZSE has, according to the unified plan of China Securities Regulatory Commission ("CSRC") and the working principles of "opening up and working together to implement reform transparently", organized one media communication meeting, one onsite forum and nine video forums while ensuring regular pandemic prevention and control. SZSE invited a total of over 170 market players across the country including securities companies, listed companies, companies planning to get listed, venture capital institutions, fund companies, insurance and asset management companies, accounting firms, law firms and media units, as well as relevant officials of local securities regulatory commissions and finance bureaus and representatives of individual investors. In the meantime, SZSE collected opinions and suggestions on the reform from various entities through market surveys, public solicitation, and other channels.

As at May 11, regarding the eight business rules released for public comments, SZSE had received nearly 300 pieces of comments. Market players actively offered advice and suggestions on further defining the positioning of the ChiNext Board, issuance of a negative list of the industry, improving the inclusiveness of offering and listing conditions, making proper arrangements for business handling during the transition period, optimizing review procedures and standards, refining transaction mechanisms and the continuous regulatory systems for stock ownership incentive system and delisting system, and strengthening investor protection, fully showing their great attention to and earnest anticipation for the reform. Relevant parties fully affirmed the exposure drafts of the supporting rules, saying that they were in line with market expectations and took into account both the incremental market and the existing market and they were helpful to further serve the innovation-driven development strategy, enhance the capability of the capital market in serving the real economy and promote the high-quality economic development of China.

SZSE will carefully sort out and evaluate those advice and suggestions, respect the views of all parties, absorb market wisdom, and revise and refine relevant rules in a steady and orderly manner under the overall guidance of CSRC. SZSE will also accelerate formulating supporting business notices, detailed rules, etc. and strive for early release and implementation of them. In the meantime, SZSE is steadily advancing relevant work such as coordination of work for enterprises under review, guarantee of technical system, training of intermediaries, risk prevention and control, and investor education according to plan.

According to relevant personnel in charge of SZSE, the reform of the ChiNext Board and the pilot project of the registration-based IPO system are an important exploration on the building of a multi-tiered capital market and a profound reform on the developing philosophy, regulatory idea and review method of the current market. In this process, SZSE should not only do well in the transition from old to new systems, promote market reform smoothly and ensure steady implementation of the reform but also make participants in the reform including over 800 listed companies and over 45 million investors “feel” the changes and continue to enhance their sense of gain from the reform. SZSE will continue to keep an open mind, adopt transparent standards and strict and impartial disciplines, improve direct financing capability, increase regulatory effectiveness, optimize market services, and work together with all market players to promote the reform, build an excellent ChiNext Board market and gather experience for the reform of the registration-based IPO system across the market. First, guarding the positioning. SZSE will stick to the principle of optimizing the increment market and stabilizing the existing market, serving growing innovative enterprises and startups and supporting the transformation and upgrading of traditional industries. Second, severely punishing those committing frauds. SZSE will resolutely fight against financial frauds, fraudulent offerings and other violations, maintain market disciplines and order, strictly guard the access and the exit and help improve the quality of listed companies. Third, stabilizing expectations. SZSE will give play to the resultant force of guidance, respond to market concerns, build reform consensus and work with relevant parties to create a good public opinion climate for the reform. Fourth, preventing risks. SZSE will strengthen sectoral ethics, enhance the sense of responsibility, hold the bottom line of secure operation, implement the zero tolerance policy for operational risk, and ensure stable implementation of the reform of the ChiNext Board.