China Securities Regulatory Commission, Special Report on the Use of the Proceeds from the Previous Offer Guidelines

Issued: April 10 2001

Main contents: According to the Guidelines, the special report on the use of the proceeds from the previous offer (the Special Report) is a document that is required to be submitted when applying to offer new shares, and it shall be issued by an accounting firm qualified to engage in securities business. The issuing accounting firm is required to make certain representations in the Special Report as to the basis and purpose of, and its liability for, the Special Report. The main contents of the Special Report shall cover the amount and the time of receipt of the proceeds from the last offer, the actual use of such proceeds, and the amount of any proceeds not used and the arrangement for their use. By way of a concluding opinion in the Special Report, the issuing accounting firm shall confirm that the actual use of the proceeds was fully consistent, basically consistent, basically inconsistent or fully inconsistent with the disclosure made thereof.
Related legislation: Administration of Issue of New Shares by Listed Companies Procedures