Which is the best sponsor? Head securities companies select high quality projects

category:Finance
 Which is the best sponsor? Head securities companies select high quality projects


The main products and service projects of Yihe agricultural products recommended by Shenwan Hongyuan are seedling cultivation, planting base management, cold chain preservation and circulation sales of agricultural products. The net profit deducted in the whole year of 2018 and the first three quarters of 2019 is RMB 157 million and RMB 124 million respectively. Tiangong is committed to the production, processing, R & D and sales of new titanium alloy materials. The company is jointly established with Nanjing University of technology Jiangsu titanium and titanium alloy new material engineering technology research center is the provincial research center of Jiangsu Province.

At the end of last year, Tiandi No. 1, which is sponsored by CITIC Securities, another leading securities firm, ended the preparation of A-share track and transferred to the select layer. The companys profit scale is considerable: in the whole year of 2018 and the first three quarters of 2019, the companys profit attributable to the parent is 340 million yuan and 210 million yuan respectively, and the R & D expenses are 56.18 million yuan and 39.01 million yuan respectively.

Many large securities companies had planned to go to the main board market for the projects they were working on. Now the pace of establishment of the selection layer has been accelerated, and many companies have turned to declare the selection layer.

Guandian defense, another listed company recommended by CITIC Securities, is the only anti drug flight data processing provider in China, with more than 100 intellectual property rights. The companys profit in the first three quarters of 2019 is 33.49 million yuan. The company clearly stated in the announcement that it would launch the guidance of IPO and listing (or issue shares to non-specific qualified investors and list at the selected level).

Many of the projects in the hands of the head securities companies operate relatively standardized under their long-term supervision. Some companies that have already applied for IPO, or are preparing for IPO, do not need to do much coaching. Peng Hai, a senior researcher on the new third board, said.

Small and medium-sized securities companies seize the opportunity of overtaking

The small and medium-sized securities companies that have been recommended by the selection layer include Founder Securities, Huaan securities, Huajing securities, Dongxing securities, Guorong securities, etc. their projects account for 75% of the total recommended projects of the selection layer at present.

The recommendation system of the new third board stipulates that the recommendation securities firm must be the host securities firm. If the host securities firm does not have the qualification of recommendation agency, it can carry out the recommendation business by its holding underwriting and recommendation subsidiary. That is to say, the securities company that provides the recommendation service for the issuer and the continuous supervision service for the sponsoring securities firm shall be the same institution or have a control relationship. Liu Jing, the research director of Shenwan Hongyuans new third board, analyzed the reasons. In fact, there were not many large securities companies participating in the new third board projects, and there were not many people.

At the same time, in the recent period, the A-share market has also ushered in the peak of IPO. Many top securities companies have concentrated their resources and focused their business on the main board market. A-share business is busy, and large securities companies are too busy to undertake the new three board select layer business, which will consume more time cost and opportunity cost. Its hard for small securities companies to compete with big ones for IPO recommendation business, and its easier for small and medium-sized securities companies to take the selection layer as the breakthrough of investment banking business, which gives them the opportunity to overtake. Peng Hai said. For the securities companies, the business income of the main board market is far greater than that of the new third board. Therefore, Liu Jing believes that in addition to Shenwan Hongyuan and China construction investment, the top securities companies that have paid attention to the advantages of the new third board business, other large securities companies will only participate selectively, and will not participate in large-scale. But in the long run, it wont last long. Liu Jing believes that in the future, the space of the top securities companies in the new third board selection layer is available. An important step for the declaration of the selection layer is public issuance, which has a lot to do with the research, pricing and sales capabilities. In the future, the recommendation of the selection layer will still focus on the top. However, perhaps there will be one or two small and medium-sized securities companies to seize the opportunity and make a sudden rise. Source: responsible editor of China Securities Journal: Li Zhaoyuan

At the same time, in the recent period, the A-share market has also ushered in the peak of IPO. Many top securities companies have concentrated their resources and focused their business on the main board market. A-share business is busy, and large securities companies are too busy to undertake the new three board select layer business, which will consume more time cost and opportunity cost. Its hard for small securities companies to compete with big ones for IPO recommendation business, and its easier for small and medium-sized securities companies to take the selection layer as the breakthrough of investment banking business, which gives them the opportunity to overtake. Peng Hai said.

For the securities companies, the business income of the main board market is far greater than that of the new third board. Therefore, Liu Jing believes that in addition to Shenwan Hongyuan and China construction investment, the top securities companies that have paid attention to the advantages of the new third board business, other large securities companies will only participate selectively, and will not participate in large-scale.

But in the long run, it wont last long. Liu Jing believes that in the future, the space of the top securities companies in the new third board selection layer is available. An important step for the declaration of the selection layer is public issuance, which has a lot to do with the research, pricing and sales capabilities. In the future, the recommendation of the selection layer will still focus on the top. However, perhaps there will be one or two small and medium-sized securities companies to seize the opportunity and make a sudden rise.