Asian Companies at a Competitive Advantage if Prepared for Regulation Change, Says Promontory

Hong Kong, Nov 8, 2012 - (ACN Newswire) - In the fall edition of 'Promontory Sightlines', leading experts, led by Eugene A. Ludwig, Founder and Chief Executive of Promontory Financial Group, the leading global regulatory consulting firm, called on companies to better understand the changing global regulatory environment in order to increase their competitiveness.

"Understanding regulatory change better than the company next door has compelling business advantages," said Mr. Ludwig.

In Asia, both Hong Kong's Securities and Futures Commission (SFC) and the China Securities Regulatory Commission (CSRC) announced this year stricter rules for IPO sponsors and other advisers on due diligence and disclosure. Regulators also have more autonomy in leveling sanctions, with the SFC handing down record fines for rule violations in recent months.

"IPO sponsors in China and Hong Kong should recognize that regulators have set their sights on a more transparent and reliable IPO process in 2013," commented Ronald Gould, Promontory's Managing Director for Greater China in an article in 'Promontory Sightlines'. "Investor protection is now the main priority for regulators and the potential cost of providing inadequate work is rising sharply. IPO sponsors need to reexamine their due diligence, information transparency, and IPO management processes."