Beijing exchange suspends share reduction by major shareholders of listed companies – sources

SHANGHAI/BEIJING : The Beijing Stock Exchange has asked major shareholders of listed companies not to reduce holdings even if they are eligible to do so, for fear that a surge in stake-selling could dull market excitement, three people familiar with the matter said.

The guidance comes as stocks listed on the Beijing bourse have surged on the back of supportive measures. The Beijing Stock Exchange 50 Index jumped roughly 10 per cent on Monday morning following last week’s 21 per cent surge.

Neither the Beijing exchange nor the China Securities Regulatory Commission immediately replied to requests for comment.