Furthermore, it has raised the limit on the combined stake that foreign investors can hold in a listed Chinese company to 30% from 20%.

BBC: Chinese yuan notes

Sina Corp. is an online Chinese media company listed on Nasdaq.

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Earlier this year, Muddy Waters released a report on Chinese timber company Sino-Forest, listed in Canada, arguing it engaged in fraud by overstating assets and revenues.

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U.S.-listed Chinese companies with headquarters in Shanghai include travel company Ctrip and online job information provider 51job.

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On June 2, Muddy Waters, a short-selling firm, sent the stock of Toronto-listed Sino-Forest Corp. tumbling after charging the Chinese company with substantially misrepresenting its rights to timber acreage and massively overstating revenues.

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The only significant Chinese company to do a U.S. IPO this year was online fashion retailer Vipshop, which listed its shares in March, only to see them plummet by more than 30 percent in the first few weeks of trading.

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