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SHANGHAI/SINGAPORE: Bethel Automotive Safety Systems has withdrawn its global depositary receipt (GDR) issuance plan, citing changes in domestic and foreign capital market conditions following China’s tightening of its East German listing regulations.

China’s securities regulator announced last month that new East German rules would limit the use of proceeds and impose national security screening requirements on issuances, potentially weakening Chinese companies’ interest in European listings. bank officials said.

The Shanghai-listed auto braking system maker said Monday that it has decided to end the East Germany plan after considering its financial and business situation.

“The layoffs will not have a material impact on the company’s production, operations or sustainable development,” Bethel said in a statement to the exchange.

Bethel had planned to issue up to 61.8 million shares on the Swiss SIX exchange in February.

Earlier this month, Shenzhen-listed medical device maker Jiangsu Yuyue Medical Device Supply Co., Ltd. canceled a proposed delivery plan in East Germany, citing changing market conditions.

More than a dozen Chinese companies have already listed in Zurich and London via East Germany, most of them in the past year, as companies searched for alternative sources of overseas funding amid heightened tensions between the United States and China. It has been done. Another Chinese company withdraws from East Germany plan to tighten listing rules

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