Investor Presentaiton

A-share IPOs: 2020 highlights 2128.8323 The Shanghai Stock Exchange (SSE) and the Shenzhen Stock Exchange (SZSE) are expected to record 383 new listings for a combined RMB 461.0 billion in 2020, representing an 82 percent increase in terms of funds raised compared with 2019. This is in fact the most active year in terms of funds raised since 2011. The strong performance was backed by the continuing popularity of the STAR Market, driving the SSE to rank among the global Top 3 exchanges in terms of total funds raised. 284.9287 In its first full year of operation, the STAR Market recorded 141 listings, raising RMB 217.2 billion, contributing 47 percent of funds raised in the A-share market during the year. Since the debut of STAR market listings in July 2019 until now, 211 companies have listed on the board, raising a total of RMB 299.7 billion, representing approximately 47 percent of funds raised during this 18-month period. Backed by a solid pipeline of over 200 listings, the STAR Market is expected to remain the major contributor to the A-share IPO market for the coming year. the 1689 The registration-based IPO system further expanded in 2020 as the first batch of companies being debuted in the Shenzhen ChiNext board in August this year. By the end of 2020, a total of 58 companies are expected to be listed under ChiNext's new registration-based IPO system, raising a total of RMB 64.2 billion, representing 14 percent of the funds raised in the A-share market in 2020 with only five months of showing. This reform is an expansion of the approach taken in the STAR Market, with a focus on serving innovative growth companies and start-ups. All analysis is based on a combination of data as at 6 December 2020 and KPMG estimates, unless otherwise stated. Excludes listings by introduction. 79 KPMG © 2020 KPMG, a Hong Kong partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited ("KPMG International"), a private English company limited by guarantee. All rights reserved. 90 6

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