Nasdaq’s changes come amid broader concerns over eye-popping moves in publicly traded companies with relatively small market capitalisation and thin liquidity.
Nasdaq is revamping rules that companies pursuing small initial public offerings (IPOs) must follow to list and continue to be traded on its exchanges, the latest effort to protect investors from wild swings in the market and improve liquidity.
The exchange operator proposed a set of new standards that small companies listing on Nasdaq must abide by, according to a statement Wednesday. Its proposal also calls for additional requirements for new listings of companies with operations based in China.
