A financial institution responsible for selling and distributing the shares in an IPO. Duties include marketing to institutional investors, advising the issuer on pricing based on roadshow feedback, taking part in allocating the international placing, and committing to take up shares not fully subscribed in the public offering (underwriting). A sponsor focuses on vetting the truthfulness of the prospectus while an underwriter focuses on selling; the roles are complementary but carry different legal responsibilities.
The links above lead to official sources such as HKEX and the SFC. The explanation on this site summarises them and may differ from the official definition; the official documents prevail.
This page explains the HK IPO term "Underwriter" and links to related terms. Definitions are compiled from HKEX Practice Note 18 and the Listing Rules, for understanding subscription rules only — not investment advice.
