Citic Securities tumbled by the most in 18 months after the Shenzhen Stock Exchange said it would conduct an on-site supervision of China’s biggest brokerage by market value for its role as IPO sponsor of Liangang Optoelectronic Technology.
It is the first of its kind investigation after the regulator pledged to tighten initial public offering rules this month.
Shares of the state-backed brokerage slumped 4.9 per cent to 19.50 yuan in Shanghai on Monday, its steepest since September 16, 2022. Its Hong Kong-traded stock lost 3.9 per cent to HK$13.18, its lowest close since November 4, 2022.
The sell-off came after the Shenzhen bourse said…
