BEIJING, Feb. 25 (Xinhua) -- China's securities regulator will review three Initial Public Offering (IPO) applications on Tuesday amid tightening scrutiny.
The three companies are high-end specialty paper manufacturer Xianhe Co., Ltd. and Hanjia Design Group Co., Ltd. in east China's Zhejiang Province, along with Shenzhen Sunmoon Microelectronics Co., Ltd., according to the Securities Daily.
Up to 27 companies have gotten the green light from the China Securities Regulatory Commission (CSRC) to go public by Feb. 22 this year.
The CSRC has introduced rigorous approval procedures for IPOs since a new review committee came into office in October, rejecting or suspending more than half of IPO applications.
China has sought to normalize IPOs to improve financing efficiency and direct more money into the real economy since it suspended IPOs between July and November 2015.
The regulator is seeking a balance between easing the IPO backlog, keeping the market calm and improving the quality of listed companies.
On Saturday, China's top legislature decided to prolong a mandate, which allows the State Council to prepare for reforms that will change the stock listing system from approval-based to registration-based, for another two years to Feb. 29, 2020.
