The China Securities Regulatory Commission (CSRC) issued new rules for the initial public offering (IPO) system.

The rules issued on April 28 are aimed at improving the accuracy of information disclosures and making initial pricing more reasonable, said the CSRC.

The new IPO rules detail separate responsibilities for issuers, intermediary institutions, law offices, accounting firms and rating agencies, as well as dictate strict punishments for infringement and illegal practices.

The CSRC promised to introduce independent third parties to carry out risk evaluations regarding information disclosures by companies in order to give references to medium- and small-sized investors.

When price earning ratios go 25 percent higher than their listed industry peers, issuers should further analyze possible risks in order to disclose more information to investors.

The CSRC said the new rule gives market participants time to consider whether their pricing is reasonable or not.