The China Securities Regulatory Commission published a circular summarising its 2025 on-site inspections of initial public offering applicants, covering 20 enterprises and setting out how information disclosure problems were handled. Two issuers are suspected of major disclosure violations and have been put under case-filing investigation, while other applicants faced regulatory measures, warnings or rectification requirements depending on severity. Inspections comprised 16 randomly selected newly accepted applicants and four problem-oriented inspections of enterprises under review, involving eight Main Board, nine STAR Market and three ChiNext applicants. Random selection is based on a 20% sampling of newly accepted enterprises to verify filing quality, with follow-up actions applied by category; problem-oriented inspections are triggered where major doubts about issuance and listing conditions cannot be reasonably explained, with stated focus on fraud and financial fraud and rejection of listings once verified. Among identified issues, six enterprises had disclosure quality defects, leading to notices and criticism for two cases that affected assessment of issuance and listing conditions and warnings for four cases affecting general review, alongside corresponding actions on intermediaries based on practice quality; twelve enterprises had standardisation flaws and were urged to rectify without regulatory measures. The CSRC indicated it will further coordinate the coverage and effectiveness of on-site inspections, maintaining a risk-oriented and classified approach to improve IPO filing quality and investor protection.

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