Rise and fall of backdoor listing in 9 years

 Rise and fall of backdoor listing in 9 years

In the past three years, the capital operation method of backdoor listing has dropped significantly.

According to Ifind data of tonghuashun, from 2011 to 2019, there were 4 successful backdoor listing cases, 15 successful backdoor listing cases, 16 successful backdoor listing cases, 24 successful backdoor listing cases, 34 successful backdoor listing cases, 29 successful backdoor listing cases, 8 successful backdoor listing cases, 5 successful backdoor listing cases and 9 successful backdoor listing cases. Since this year, there have been only three successful cases.

In response to this phenomenon, Shen Meng believes that the reform of the securities market on the one hand has greatly increased the difficulty of backdoor, especially compared with the IPO standard, which has reduced the willingness of many backdoor parties, on the other hand, it has accelerated the speed of IPO review and reduced the waiting period in line. In addition, it is more difficult for backdoor restructuring to clean up assets and set time limit, especially the gradual introduction of registration system, which has obviously inhibited the transaction of shell resources.

However, shell resources are still valuable. After all, there are many enterprises that are difficult to meet the registration system and want to go public, but the number (shell resource demand) has decreased dramatically. Shen Meng said that for the current small market value companies in the two cities, asset restructuring through M & A can still be bigger, but this is not necessarily a backdoor.

The weakening of demand, also makes the secondary market to stir fry the shell appeared obvious antipyretic. According to Ifind data of tonghuashun, at the closing price on May 18, there are more than 20 companies with a total market value of less than 1 billion yuan, of which most are st enterprises.

Combined with the performance of ST companies, it is difficult for many ST companies to return to normal operation track by relying on their own strength. According to Ifind data of tonghuashun, the risk forecast type of 83 ST companies is possible suspension of listing. This risk forecast is mainly due to the fact that most ST companies have two consecutive years of losses, and the latest performance forecast continues to lose. Another 55 companies were predicted as possibly unchanged (st status). This is mainly due to the fact that most of them are profitable in the latest annual report, but losing in the first period of the latest performance, or losing in advance in the latest performance, etc.

In addition to the difficult to improve performance, the face value of delisting has become a sword hanging over many companies.

On May 13, St Ruidian entered the delisting consolidation period, becoming the first delisting stock with par value this year. Tian Guang Zhongmao also announced in May that the closing price of the stock from April 9 to May 11 has been lower than the par value (i.e. 1 yuan) for 20 consecutive trading days. According to the relevant provisions of the Listing Rules of Shenzhen Stock Exchange, the companys stock has been suspended since the opening of the market on May 12, and Shenzhen Stock Exchange has been suspended since The decision on whether to terminate the listing of the companys shares shall be made within 15 trading days after the suspension of trading of the companys shares.

With the increasing number of delisted companies, the impact of comprehensive policies and the phenomenon that small market value companies are no longer sought after, the topic about the decline of shell resource enthusiasm reappears.

Source: responsible editor of Securities Daily: Yang Qian_ NF4425