Six months after the implementation of the "Eight Measures" by the China Securities Regulatory Commission (CSRC), the STAR Market has demonstrated substantial progress in fostering technological innovation and advancing key reforms. Here's a recap of the pivotal developments:

1. Focused Support for “Hard Technologies”

The STAR Market continues to prioritize cutting-edge industries, notably through the acceptance of IPO applications from unprofitable enterprises. Highlights include applications from ESWIN and Fine Motion Technology’s spin-off, both accepted in November. Progress has been swift, with five companies approved by the Listing Committee and six obtaining registration.

2. Boost in M&A Activity

The M&A market has seen significant growth, driven by industrial acquisitions and diversified payment tools. Over 50 equity acquisition deals, totaling over RMB 13 billion, have been disclosed, with transaction volumes more than doubling year-over-year. These include 14 acquisitions of unprofitable assets, nine overseas M&As, and 11 major asset restructurings.

3. Enhanced Financing for Asset-Light, R&D-Intensive Firms

New criteria for identifying "asset-light, R&D-intensive" investments were issued in October, aligning with the characteristics of STAR Market enterprises. These rules have broadened financing tools and bolstered transparency, garnering positive responses from listed companies.

4. Streamlined Issuance and Underwriting

The pilot issuance and underwriting system has introduced a 3% elimination ratio and innovative stock placement arrangements. Quarterly updates to these regulations continue to enhance IPO processes and strengthen the STAR Market's role in price discovery.

5. Expanded STAR Market Index System

With 25 indexes now in place, including thematic and strategic varieties, the STAR Market index system is gaining prominence. The proliferation of ETF products—35 currently listed—has created vital funding channels for "hard technology" sectors.

6. Corporate Value Enhancement Initiatives

Eighty percent of STAR Market firms have disclosed their "Corporate Value and Return Enhancement" plans for 2024. Share buybacks and increases have surged, amounting to over RMB 35 billion. High-tech industries like integrated circuits and biopharmaceuticals are poised for significant growth.

7. Strengthened Supervision and Oversight

The SSE has intensified its supervisory efforts, leveraging incentives and enforcement mechanisms to maintain market integrity and encourage professional conduct among listed companies and intermediaries.

8. Unified Market Ecosystem Development

Collaborative efforts among market participants have fostered a healthier ecosystem. Investor education, regular corporate engagement, and enhanced services have collectively bolstered confidence and market resilience.

The STAR Market's progress under the "Eight Measures" illustrates its critical role in supporting China's high-tech industries, laying a robust foundation for future innovation and economic growth.