A plan by red-chip China Merchants Hai Hong Holdings to buy assets from its parent has been delayed because the size of the injection would qualify as a new listing under stock exchange rules, sources say. The assets to be bought from parent China Merchants Holdings are much larger than the listed company's and differ in nature. According to Chapter 14 of the exchange's listing rules, asset injections that dwarf the size of the listed company and are not related to its core business can be treated as a new listing. The acquisition targets are understood to have included toll roads in China and container terminals. Hai Hong is involved in shipping and the manufacture of glass and paint. There have been persistent rumours the asset injection has been delayed by uncertainty over whether the China Securities Regulatory Commission (CSRC) should have the power to regulate asset injections by red chips' parent companies. The sources rejected these rumours. Executive director Zhao Qingsheng said the company had sought the exchange's views on the requirements of the listing rules relating to the proposed acquisitions. 'The company would like to emphasise that discussions with the exchange have been confined to the requirements of the listing rules and do not involve the requirements of any other regulatory bodies,' said Mr Zhao. A company official yesterday denied media reports that the exchange had halted its share placement because of concerns over whether the acquisitions had received approval from the Chinese authorities. 'We haven't been stopped by the exchange. And there is no question of whether we need to obtain the approval from the Chinese securities watchdog. We haven't even started to execute our asset injection plan,' he said. 'There is no timetable for the asset injections. We can only hope our plan can materialise as soon as possible because there are too many rumours in the market, which is not good for us.' He declined to say whether the plan would need the blessing of the CSRC.