IPO sponsors to get more teeth

Proposed new regulations for sponsors of IPOs in Hong Kong will give bankers greater authority to scrutinise their clients before they list, the CEO of city's securities watchdog told Reuters on Tuesday, referring to a controversial plan that could make banks liable for listing documents.

Ashley Alder, chief executive of the Securities and Futures Commission, told Reuters that responses to a consultation on initial public offering sponsor regulation would be released next month and include proposals to give sponsors more powers.