"GEM Delisting" is ready to effectively improve over-reliance on equity financing (VC329)

Despite the weekend, the GEM is destined to be calm.

It is understood that the relevant person in charge of the China Securities Regulatory Commission publicly stated on November 18 that it will introduce a GEM delisting system as soon as possible and start the work of non-public development debt of GEM companies. At the same time, it will increase the strength of the issue review reform and continue to maintain a high pressure on insider trading.

In this regard, Li Daxiao, director of the British Securities Institute, said that the delisting system may bring some pain, but it can guide investors to invest rationally, pay more attention to the quality of listed companies, and at the same time force the GEM listed companies to put more thought In terms of fundamental construction.

Will solicit opinions from society

The relevant person in charge of the China Securities Regulatory Commission said that after repeated research and investigation in the past two years, the Shenzhen Stock Exchange has put forward a preliminary plan to improve the delisting system of the GEM. The main aspects of the delisting system, the improvement of the listing review standards, the shortening of the delisting time, the improvement of the delisting risk alert method, the establishment of a separate sector and the arrangement after the delisting have improved the GEM delisting system.

It is worth mentioning that the person in charge also pointed out that the reform of the delisting system will first be explored and piloted on the GEM, and the plan will be openly solicited for comments from the public on the basis of further demonstration. For this news, industry experts have given full affirmation.

Dong Dengxin, a professor at Wuhan University of Science and Technology, said that this way of soliciting opinions from the public can draw on the wisdom of the whole people, which not only benefits the establishment of the GEM delisting system, but also can effectively supplement and improve the existing mainboard delisting system. .

He also pointed out that the introduction of the GEM delisting system can form a constraint. On the one hand, it restricts the companies listed on the GEM to make them feel a sense of crisis and urgency, and pays more attention to daily operations; on the other hand, it also restricts ordinary investors and pays more attention to the fundamentals of investment companies.

Financing channels tend to diversify

The announcement of the China Securities Regulatory Commission on the launch of non-public bond issuance by companies listed on the GEM has aroused widespread concern in the market.

Regarding the significance of the issue of corporate bonds by companies listed on GEM, and why IPO funds have been raised so much, the issue of non-public issuance of corporate bonds is allowed. The head of the relevant department of the China Securities Regulatory Commission said that the assets of GEM listed companies are relatively small. Qualified GEM listed companies will issue bonds privately to meet their continuous financing needs, which will help promote the continuous and standardized development of GEM listed companies, and further support independent innovation and other growth-oriented startups to use the capital market to grow bigger, better and stronger. Channels to solve the financing problems of SMEs. In addition, GEM companies generally have the characteristics of "light assets" and low asset-liability ratio. Through the issuance of corporate bonds, the asset-liability structure can be optimized and the company's benign development can be achieved while the shareholding ratio of shareholders remains unchanged.

The person in charge also said that there are currently three considerations for allowing GEM companies to issue corporate bonds privately: First, it is conducive to improving the GEM market system; second, it is conducive to meeting the continuous development needs of GEM listed companies; third, there are It is helpful to guide the financing expectations of GEM companies in the initial stage. Allowing GEM companies to issue bonds privately opens up channels for GEM companies to continue financing, which is helpful to guide GEM companies to reasonably determine the scale of financing according to the needs of production and operation development, and to curb the urge to "raise funds once" in the initial public offering.

Li Daxiao believes that this is good news. Because the financing channels of GEM companies are relatively single, and the issue of corporate bonds can not only solve the problem of refinancing GEM, but also effectively improve the over-reliance on equity financing and ease the supply and demand relationship in the stock market.