Financial regulators in Hong Kong will loosen requirements for the initial public offerings of mainland Chinese companies, the South China Morning Post reported Thursday, citing Secretary for Financial Services and the Treasury Christopher Hui Ching-yu.

The new regulations are seen to help Chinese companies utilize Hong Kong as a venue to fund their global expansion, the report said.

Both the Securities and Futures Commission and the Hong Kong Exchanges and Clearing (HKG:0388) will fine-tune existing regulations later in 2025 to lower the funding threshold, boost market structure, and improve corporate governance, the report said.

"We hope to further facilitate mainland companies, including firms in Shenzhen, to raise capital," the SCMP quoted Hui as saying during a conference in Shenzhen, China, the report said.

There are about 100 companies waiting to list in Hong Kong, the SCMP said, citing remarks by HKEX Chief Executive Officer Bonnie Chan Yiting made in January.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)