Economic Observer Network reporter Liang JiGuandian Defense (832317.BJ) became the first company to be transferred to the Beijing Stock Exchange.
On January 27, the announcement of the results of the 7th review meeting of the Science and Technology Innovation Board Listing Committee in 2022 showed that Guandian Defense complied with the transfer listing requirements and information disclosure requirements. On October 20, 2021, Guandian Defense submitted the application documents for transfer to the Science and Technology Innovation Board, and the first direct transfer company in China’s capital market was born.
On June 3, 2020, the China Securities Regulatory Commission issued the “Guiding Opinions on the Transfer of Companies Listed on the National Equities Exchange and Quotations System”, and the direct transfer system was officially released. According to relevant regulations, the transfer to the board is a change of the place where stocks are listed, and does not involve public issuance of stocks. It does not need to be approved or registered by the CSRC in accordance with the law. The Shanghai Stock Exchange and Shenzhen Stock Exchange will review and make a decision in accordance with the listing rules.
From the New Third Board to the Science and Technology Innovation Board
According to public information, Guandian Defense is a national-level specialized, specialized, and new “little giant” enterprise. It is a leading UAV service provider in China, and it is also the earliest domestic enterprise engaged in the research and development of UAV anti-drug products and the industrialization of services. The business is research and development, production and sales of UAV flight services and data processing, UAV systems and intelligent defense equipment.
According to the listing report of Guandian Defense, its business covers anti-drug, anti-terrorism, resource investigation, environmental monitoring, emergency rescue and other fields. It has obvious advantages in the field of anti-drug, and related scientific research projects have won the second prize of science and technology issued by the Ministry of Public Security. .
In February 2020, Guandian Defense, which is still listed on the New Third Board, submitted IPO guidance materials and planned to land on the GEM of the Shenzhen Stock Exchange; in April of the same year, the application for the selection layer was opened, and Guandian Defense became the first to submit an application for listing in the selection layer. The company was among the first batch of select-tier companies in July; in August 2021, the first batch of select-tier companies met the time limit for listing transfer to the board. Guandian Defense announced that it would turn to the Science and Technology Innovation Board and submitted it to the stock exchange in October of the same year. Board application documents; in January 2022, Guandian Defense was reviewed and approved by the Science and Technology Innovation Board Listing Committee, becoming the first direct transfer company in China’s capital market.
It is worth noting that Guandian Defense submitted the application document for transfer to the Science and Technology Innovation Board on October 20, 2021, and suspended trading the next day; while the Beijing Stock Exchange opened on November 15 of the same year; on the opening day, including 71 companies listed on the Selected Layer of the New Third Board, including Guandian Defense, were moved to the Beijing Stock Exchange.
The data shows that from 2018 to 2020, Guandian Defense achieved revenue of 105 million yuan, 146 million yuan and 180 million yuan respectively, and net profit of 20.5706 million yuan, 41.7042 million yuan and 53.4608 million yuan; in the first three quarters of 2021, Guandian Defense achieved revenue of 175 million yuan and net profit of 61.2309 million yuan.
The team of Shenwan Hongyuan analyst Wang Yuqing believes that the Beijing Stock Exchange-listed company Guandian Defense Foods transfer mechanism has become the first company to transfer to the board. The overall transfer process is smooth and orderly, from acceptance to meeting The review time is less than 3 months, which is far lower than the average 286-day review time for exchanges on the Science and Technology Innovation Board in 2021. It said in the research report that there are two reasons for the smooth progress of the first order transfer: First, the company has excellent quality, belongs to the field of high-end equipment, and fits the positioning of the Science and Technology Innovation Board. At the same time, the market value and profit volume are significantly higher than the selected listing standards; Second, by leveraging the synergy of supervision and sharing the results of the NEEQ review and continuous supervision, the transfer review of the Shanghai Stock Exchange will focus more on key points and recent changes.
Dislocation development, interconnection
The China Securities Regulatory Commission once stated that the establishment of the Beijing Stock Exchange needs to handle “two relationships”: First, the Beijing Stock Exchange, the Shanghai and Shenzhen Stock Exchanges, and regional equity markets adhere to dislocation development and interconnection, and play a better role in listing on the board. Second, the existing innovation layer and basic layer of the Beijing Stock Exchange and the New Third Board adhere to overall coordination and institutional linkage to maintain a balanced market structure.
Now that Guandian Defense has become the first transfer company, there are still Hanbo High-tech (833994.BJ), Taixiang Co., Ltd. (833874.BJ) and other companies in the transfer listing review process.
Earlier, a representative of a brokerage sponsor told the Economic Observer.com that the Shanghai and Shenzhen Stock Exchanges intend to attract high-quality NEEQ-listed companies and Beijing Stock Exchange-listed companies to transfer to the board, but there are still certain thresholds for the listing conditions required by the former. However, some people close to the North Exchange said that the Shanghai and Shenzhen exchanges prefer companies with larger scales, stable operations and hard technology attributes. At present, the guidance of the China Securities Regulatory Commission on the transfer of the Beijing Stock Exchange has been implemented, but the detailed rules for the transfer of the three major exchanges in Beijing, Shanghai and Shenzhen and Zhongdeng have not been officially released.
Wang Yuqing’s team believes that considering the risks and benefits of the transfer, the enthusiasm of the company remains to be seen. In terms of risks, companies listed on the Beijing Stock Exchange are relatively small in size, and their performance fluctuates greatly. There are also differences in the audit criteria for passing the stock transfer and the Shanghai and Shenzhen Stock Exchanges. Under the transfer mechanism, companies still face high risks of audit meetings; At present, the legal status of the Beijing Stock Exchange has improved, and the trading rules and liquidity levels are similar to those of the Shanghai and Shenzhen Stock Exchanges. At the same time, due to differences in investor structure and investment style, the valuation judgment of individual stocks also needs to be verified.
In addition, the key nodes of the transfer process are consistent with the direct IPO, which does not occupy a time advantage. With the landing of the first single transfer project and the steady progress of the transfer pilot, the transfer is expected to become a normalized and standardized mechanism. The transfer listing process includes three major links: preparation, review, and listing. From the perspective of the operation cycle, the fastest time from listing on the New Third Board to transferring to A shares is 2.5 to 3 years. Compared with IPO counseling + application, there is no time advantage. . However, considering that the direct IPO of major shareholders and actual controllers needs to be locked for 36 months, transfer to the board has the advantage of liquidity.
Zhou Yunnan, founder of Beijing Nanshan Investment, said that the listing of Guandian Defense has created the history of China’s capital market, which means that the interconnection between multi-level capital markets is real, but it does not mean that this is a future company of the Beijing Stock Exchange. The only way to go after development and growth.The three major exchanges in Beijing, Shanghai and Shenzhen are in a dislocated competition relationship in terms of listing thresholds, industry characteristics, public offerings, market transactions and preferential policies, in order to meet the listing needs of enterprises at different levels; butcompeteThe focus of the relationship is dislocation listing. After listing, the financing function, pricing function and transaction function of the major sectors are not very different, which determines that the transfer of the board is not a must-answer for companies on the Beijing Stock Exchange.Return to Sohu, see more
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