- Oops!Something went wrong.Please try again later.
According to a Bloomberg report, U.S. regulators could reportedly have full access to auditing reports from most of the 200-plus China-based companies listed in New York in mid-2022.
In the drafting stage, the framework from the China Securities Regulatory Commission and other national agencies would let most Chinese firms keep their U.S. listings, Bloomberg said, citing anonymous sources. But those that hold sensitive data could still be delisted.
Nearly 300 companies are on the SEC's initial list of those at risk of falling off the Nasdaq, including four biopharma stocks, BeiGene Ltd (NASDAQ: BGNE), Hutchmed China Ltd (NASDAQ: HCM), Zai Lab Ltd (NASDAQ: ZLAB) and CASI Pharmaceuticals Inc (NASDAQ: CASI).
If the plan proceeds, non-compliant businesses will be kicked off the New York Stock Exchange and Nasdaq in 2024.
In a move to come into compliance, Hutchmed said this week it would assess "the merits of appointing an auditor outside of China." Zai Lab said it plans to review its audit process, as well.
Earlier today, CASI said it will evaluate options, "which include but are not limited to adding business processes and control to meet the requirements of the HFCAA."
Price Action: BGNE shares are up 4.54% at $197.13 during the market session on the last check Friday.
See more from Benzinga
Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.