Jiang Xin Huang Yifan
With the registration of the aura of the science and technology board has become a hot word.
On November 5, President Xi Jinping announced at the first Expo that he would set up a new board and pilot registration system on the Shanghai Stock Exchange.
A pool of spring water is stirred, "audit" the capital market for nearly 30 years will usher in what kind of registration system pilot? Some people wait and see, others can not wait to make suggestions and imagination.
"Science creation plate and registration system must be made!" Fang Xinghai, vice chairman of the securities and Futures Commission, gave confidence in the world internet conference just opened. A person close to the Shanghai Stock Exchange told the Economic Observer that the matter was very tight and Wei Gang, general manager of the Shanghai Stock Exchange distribution center, was taking the lead in doing it.
The instinct-sensitive investment banks have begun to take action. "At present, the screening of existing customers is mostly the re-offer of the original strategic emerging board, and the requirements should not be very low. Because the specific rules have not yet come out, we can only do some preparatory work at the initial stage. An investment banking department of a large brokerage firm told the economic observer.
Restlessness and action
600895.SH has become the focus of the capital market. From Nov. 5 to Nov. 9, Zhangjiang Technologies rose from an opening price of 9.81 yuan per share to 14.29 yuan per share, an increase of 45.67% during the period.
Similarly, the capital was looted crazily by Shibei Gaoxin (600604.SH), Huajin Capital (000532.SZ), Luxin Venture Capital (600783.SH), Jiuding Investment (600053.SH) and Start-up Black Horse (300688.SZ), which are engaged in venture capital (service) or equity investment business. These enterprises have gone up and down for three consecutive days.
"It's really exciting news. While bringing opportunities for technological and innovative enterprises to enter the capital market, our exit channels will also widen." The market personage who works in a large PE company said, "At present, the most anticipated is the specific supporting rules. I heard that they have been formulated, but they are still in the preliminary stage." This is also the common aspiration of practitioners of venture capital.
"Our company is doing some preparatory work, such as screening the reserve items and selecting the enterprises that may meet the requirements of scientific innovation board," said an investment banking minister in the Economic Observation Report.
The SFC and the Shanghai Stock Exchange have described the embryonic form of the science and technology innovation board in the form of answering reporters' questions. The Shanghai Stock Exchange has said that Kechuang Board is a new board independent of the existing motherboard market, and the registration system is piloted in this board. The Securities Regulatory Commission has transmitted the message of setting up the threshold: it will guide the Shanghai Stock Exchange to strengthen the appropriate management of investors in science and technology innovation board in terms of assets, investment experience and risk tolerance, and encourage small and medium-sized investors to participate in science and technology innovation board investment through public funds.
How will Kechuang board and the nine-year-old GEM board, as well as the selected layer to be set up in the new three boards in the future, achieve a dislocation, complementarity and appropriate overlapping competition pattern in positioning? What kind of board will the market usher in?
Fu Lichun, Director of Northeast Securities Research, once told the Economic Observer that Kechuang board was born out of the strategic emerging board. For NASDAQ, we can consider this issue by referring to these two listing standards.
There is also a voice in many discussions. The Sci-Tech board born in the Expo has a wider vision. Under the positive attitude of China's expanding opening to the outside world, qualified overseas companies will also be welcomed. Those who have entered the overseas market and are not satisfied with issuing CDRs can do so in Sci-Tech Creative Board. Now the real listing.
Looking for candidates
In 2015, the strategic emerging board has caused great concern in the market. In June of that year, the State Council said that it would promote the establishment of strategic emerging industry board in Shanghai Stock Exchange. The Securities Regulatory Commission subsequently said that strategic emerging industry board would draw lessons from GEM in terms of listing conditions, trading system and continuous supervision, and carry out institutional innovation.
But the stock market has sharply fluctuated to suspend the strategic emerging board. In the revision of the draft plan outline for the 13th Five-Year Plan at the Fourth Session of the National People's Congress in March 2016, the content of "Establishing the Emerging Board of Strategic Industries" was deleted. The preparations for the strategic emerging board have been stranded.
Chen Bin, chairman of Beijing Golden Securities Exchange Capital Services Co., Ltd., who is committed to the listed services of enterprises, has his own judgment. In his view, the fields of artificial intelligence, driverless, biomedicine and other fields will be the focus, "Cambrian, Shangtang, Yuncong, ignoring and Ito technology" The fourth paradigm, Weima Automobile, Xiaopeng Automobile, Ant Golden Clothes and so on are all likely to become the target enterprises of KIB.
Fu Lichun said that at that time, the strategic emerging board weakened profit requirements, focusing mainly on the sustained profitability of enterprises. The introduction of a combination of financial indicators with market value as the core, and the addition of multiple sets of financial standards, such as "market value + income", "market value + income + cash flow", "market value + equity", will serve as a reference for the threshold of access to the GEM.
Another reference object is the Nasdaq Stock Exchange. The Nasdaq global market, which is mainly located in the global small and medium-sized high-tech enterprises, is the most active market for Nasdaq transactions. The Nasdaq global market has common standards and three sets of financial standards. Meanwhile, the Nasdaq market adopts market maker trading mechanism, and supervision and information disclosure are very strict.
In Fu Lichun's view, with reference to the above two market experiences, Kechuangban can establish common standards based on the orientation of science and technology and innovation. At the same time, we should set up several sets of financial standards from many angles, so the initial stage should not be too low. On the one hand, the "Chuang Chuang" board is conducive to the listing and financing of innovative enterprises, and also conducive to the listing of overseas enterprises in China. So there are at least two levels of stock layer and CDR transaction level. Zhang Yulong, an analyst at CITIC Construction Investment, said that it is expected that the introduction of Kechuang board may set a threshold for investors to hold assets and experience in stock trading, which may be lower than the new third board but higher than the original one, such as holding financial assets of more than 500,000 to 1 million yuan.
"China is a retail market, the threshold of investors determines how much capital to enter, but also affects the threshold of front-end access." A private-equity practitioner told the Economic Observer that this is also a concern of the market for the company to absorb market liquidity, perhaps only waiting for the regulator to give an answer.
Expectation of registration system
Wei Tao, an analyst at Pacific Securities, said in the research paper that the pilot projects of scientific creation and registration system will have four levels of impact on the capital market: first, the top-level design of the capital market. The two is the investment value of new shares and shell companies. The three is the exit channels of VC and PE. The four is the investment banking business of securities firms.
Data show that there was a small upsurge in overseas listings in the third quarter of this year, with 41 listed companies in a single quarter. The Hong Kong Stock Exchange supports the listing of non-profit enterprises with different rights and bio-pharmaceuticals, and promotes the centralized listing of some high-tech enterprises in overseas markets.
Under the battle of high-quality listed companies, how to retain the excellent in China and attract the high-quality board is a problem that needs to be considered in the board design of Shanghai Stock Exchange, and also a new exploration of capital market reform.
In December 2015, the Standing Committee of the National People's Congress authorized the implementation of the stock issuance registration system, calling for years of registration system may soon break through the barriers. The pilot registration system will strictly legislate on information disclosure, perfect delisting system and implement it, adjust the structure of investors, and form a market-oriented screening mechanism for innovative start-up companies to eliminate the fittest. Capital market can better play its direct financing function, and its pricing system will be re-priced according to market mechanism.
Under the pilot registration system, market regulation will be based on information disclosure. Issuers and intermediaries need to assume greater responsibility and pressure, face more stringent supervision and greater violation costs. "If we want to change our thinking properly, we may need to face more pressure in the process of adaptation, but we must insist, because this is the direction." A brokerage investment bank said.
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