Hong Kong is once again the world's number-one venue for an IPO. In 2025, the Hong Kong Stock Exchange (HKEX) raised HK 274.6 billion (about US $35.3 billion) across 106 new listings, ranking first globally for the first time since 2019, and momentum carried into Q1 2026 with roughly HK$109.9 billion raised (HKEX). For companies weighing a Hong Kong listing, the message is clear: the Hong Kong IPO market offers deep capital, a global investor base, and a direct bridge between Mainland China and the world.
This insight walks you through the full Hong Kong IPO process, from IPO preparation and Hong Kong IPO requirements to the Hong Kong IPO prospectus, the Hong Kong IPO timeline, and the costs of an IPO in Hong Kong, whether you are targeting the Main Board or GEM, understanding how an HKEX IPO works is the first step toward a successful HK IPO.
Beyond raising capital, an IPO in Hong Kong delivers strategic advantages that make the Hong Kong IPO market a magnet for Asian and international issuers:
Access to global and Mainland capital: The A+H listing route lets Mainland-listed firms tap international investors; A+H deals drove over half of all funds raised in 2025.
Free flow of capital: No capital controls and no restrictions on repatriating funds raised.
A trusted internationally aligned regulator: The Securities and Futures Commission (SFC) and HKEX operate a disclosure-based regime aligned with global standards.
Sector-specific listing routes: For biotech, specialist technology, and high-growth companies (see Chapter 18A/18C below).
Strong secondary-market liquidity: It has average daily turnover up 43% year-on-year in 2025.
What Is the Hong Kong Stock Exchange (HKEX)?
The HKEX operates as the city’s primary securities market. It offers two distinct platforms for companies seeking to go public: the Main Board and GEM.
The Main Board caters to well-established companies with substantial track records and meets stringent financial criteria. It attracts larger corporations and provides access to a wide pool of institutional and retail investors.
In contrast, GEM serves as an alternative for small and mid-sized, growth-oriented companies. It features less stringent listing requirements, allowing emerging businesses to access public capital markets earlier in their development.
Compared to other major exchanges, the HKEX’s unique value proposition is its strategic position as a bridge between the Chinese Mainland and international markets. This unique role allows listed companies to tap into both Chinese and global investor bases, potentially leading to higher valuations and increased liquidity.
The HKEX’s regulatory framework tightly aligns with international standards, fostering investor confidence and maintaining market integrity.
Before being considered to list on the HKEX Main Board, companies must meet specific financial and operational requirements. These criteria ensure that only qualified businesses gain access to this premier platform.
Applicants must satisfy one of the following three financial tests:
Minimum aggregate profit of HKD 80 million over the past three years
At least HKD 35 million profit in the most recent year
At least in aggregate HKD 45 million profit for the two preceding years
Minimum market capitalisation of HKD 4 billion at listing
Revenue of at least HKD 500 million for the most recent audited financial year
Trading record of a minimum of three financial years
Management continuity for at least the three preceding financial years
Ownership continuity and control for at least the most recent audited financial year
Minimum of 300 shareholders at the time of listing
New ongoing public-float rules took effect 1 January 2026: issuers with a market capitalisation above HKD 4 billion may adopt an alternative threshold of at least 10% of issued shares with a public-float market value above HKD 1 billion, and A+H issuers must keep H-shares in public hands at 5% of the class or above HKD 1 billion in value.
As with any leading exchange, these criteria aim to maintain the quality and stability of Main Board listings, protecting investor interests and market integrity.
GEM offers a more accessible route for small and mid-sized companies to go public. Its requirements are less stringent than those of the Main Board, supporting emerging businesses in their growth journey.
Key GEM listing criteria include:
Applicants must satisfy one of the following financial tests:
Positive cash flow from operating activities of at least HKD 30 million in total for the two preceding financial years
a market capitalisation of at least HKD 250 million at the time of listing
revenue of at least HKD 100 million in total for the two preceding financial years, with a year-on-year growth of revenue over the two financial years
expenditure on research and development of at least HKD 30 million in total for the two preceding financial years
Management continuity for at least the two preceding financial years
Ownership continuity and control for at least the most recent audited financial year
Public float between 15% – 25% if the market capitalisation of the issue at the time of listing exceeds HKD 10 billion
GEM’s more flexible criteria allow small and mid-sized companies to access public capital earlier in their development, fostering innovation and growth in the Hong Kong market.
A successful IPO involves several key players, each contributing unique expertise to the listing process. As part of your listing initiative, it is widely advised to assemble a team comprised of expert advisors.
You may choose to source these experts yourself, but it is generally recommended that you partner with a trusted, local service provider such as Ascentium that can provide and/or source these experts on your behalf. Ideally, you should appoint these advisors 6 to 12 months ahead of your proposed listing. These advisors include, but are not limited to:
Appointed at least two months before application submission
Represents the company to communicate with the HKEX
Conducts due diligence on the company, shareholders, and management
Ensures prospectus accuracy and completeness
Coordinates all parties involved in the IPO
Multiple sponsors can be appointed, with at least one independent to the company
Each of these roles plays a crucial part in guiding a company through the complex IPO journey, ensuring compliance with regulations and maximising the chances of a successful listing.
The process of launching an IPO on the HKEX comprises three distinct stages. Each stage is essential in preparing your company for public listing, ensuring regulatory compliance, and positioning your offering for success in the market. Let’s examine these stages in detail:
Companies must evaluate whether they:
Following the assessment, companies often:
A meeting with all key figures sets the IPO process in motion:
Sponsors, the issuer, and legal teams conduct an extensive review of:
Key figures collaborate to prepare the listing prospectus:
This stage represents the final phase of the IPO process, culminating in the company’s shares being offered to the public on the HKEX.
The Hong Kong IPO process typically takes about 6 to 9 months from formal kick-off to the first day of trading. Earlier internal IPO preparation and restructuring, however, often begin 1 to 2 years in advance, so the full Hong Kong IPO timeline depends heavily on how listing-ready a company already is.
Initial Preparation and Restructuring
1 to 6 months as the company evaluates listing readiness, reorganises its corporate structure, appoints the sponsor, and drafts the listing application and Hong Kong IPO prospectus.
Regulatory Vetting and Review
3 to 6 months under the HKEX listing process and SFC framework, regulators review the Form A1 submission, with straightforward cases targeting a 40 business day turnaround per comment round.
Listing Hearing and Marketing
3 to 4 weeks in the Listing Committee holds a hearing, followed by the marketing roadshow, bookbuilding, and final pricing.
Allotment and Settlement
In two business days, subscriptions are settled through HKEX's FINI platform, which shortens the settlement cycle to T+2 and clears the path for public trading to begin.
Preparing for an HKEX IPO tests even well-run companies; the Hong Kong IPO process demands extensive data, specialist skills, and strict regulatory adherence. The process requires extensive data compilation, staff resources, technology upgrades, and strict regulatory adherence. These demands often strain a company’s time, skills, and finances.
However, these obstacles shouldn’t discourage companies from pursuing an HKEX listing. Collaborating with an experienced local service provider can significantly improve the IPO preparation process and reduce potential hurdles and risks.
A proficient partner like Ascentium offers valuable support across various aspects of listing preparation:
By working with a local service provider like Ascentium, companies can maintain their operational momentum while ensuring thorough IPO preparation. This collaborative method increases the chances of a successful listing and sets the foundation for sustained success as a public entity.
A successful HKEX listing is within reach, even with the complexities involved. Whether you’re aiming for the Main Board or GEM, Ascentium can guide you through the process, offering local expertise and comprehensive support. We’ll help ensure a seamless transition to a public entity, setting the stage for future growth.