Recently, the Shanghai Stock Exchange (the "SSE") issued the Business Guide to the Review of Applications for Offering and Listing on the SSE STAR Market No.2 - Self-Check Form of Common Issues Required for Information Disclosure and Verification (the "Self-Check Form").

Based mostly on relevant review standards and Q&A published for the SSE STAR Market as well as the problems identified in the application review process, the Self-Check Form sorts through, sums up and streamlines the common issues and weak areas in information disclosure and verification as found in the application documents submitted by issuers or intermediaries. The Self-Check Form mainly covers two parts: first, issues relating to the qualification conditions for offering and listing on the SSE STAR Market, such as horizontal competition with material adverse effect, material violations, business sustainability, R&D investment etc.; and second, common issues required for information disclosure and verification, such as verification of customers and suppliers, selection of comparable companies in the same industry and other common IPO application issues, as well as specific issues summed up from the practice of reviewing applications for the SSE STAR Market, such as alerts to material matters, cooperative R&D etc.

(Source: Shanghai Securities Exchange)