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New GEM candidate hongkong.com calls for rule relaxation

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Potential listing candidate and portal operator hongkong.com has called on authorities to relax Growth Enterprise Market (GEM) listing rules to make it more attractive to technology start-ups around the world.

'The Hong Kong GEM should be closer to world standards,' hongkong.com chairman Peter Yip said.

He said its rules should be more in line with the requirements of the United States' Nasdaq board and markets in Singapore and South Korea.

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Mr Yip said technology companies were high-risk businesses and the GEM board's strict regulations were discouraging.

The firm's Nasdaq-listed parent Chinadotcom has been granted a waiver from the Stock Exchange of Hong Kong on its management share lock-up period, allowing it to dispose of its shareholding after hongkong.com has been listed for six months.

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The subsidiary hongkong.com has also been allowed to grant up to 50 per cent of the ownership to employees in share options.

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