Gem Or "Delisting" Experimental Field

Compared with the system of "wide entry and strict exit" in foreign universities, Chinese universities have been showing a trend of "strict promotion and wide development".

Recently, the gem delisting system has aroused heated debate in the market.

On January 8th, Shang Fulin, chairman of the China Securities Regulatory Commission (CSRC), at the fifteenth China capital market forum, said publicly that China should take full advantage of China's main board market and international experience to study and formulate refinancing measures for listed companies on GEM, actively explore the delisting system of GEM companies, and give full play to the market's survival of the fittest.

However, overseas

Statistics show that the UK's gem AIM has been incorporated into AIM since its establishment in 1995, but as of now, only 1400 companies are listed on the market, which means that more than half of the more than 3000 companies have been delisted since the AIM operation.

The issuing approval system implemented by the gem actually contains the implication of the government's risk of filtering some of the listed companies, which is a system characteristic of the approval system, which is also a reason for the market to accept a slightly higher price earnings ratio at present.

If the gem is also like AIM, there will be a large-scale delisting, which is unacceptable.

Liu Feng, manager of Strategy Department of Zhongyuan Securities Research Institute, said in an interview with "international finance daily".

Liu Feng pointed out that, on the one hand, a large number of delisting caused the waste of the entire social resources. On the other hand, it was pointed out that the relevant issuing auditing departments of the important party in the system of approval system may have "omission" or "administrative dereliction of duty".

In addition, investors under the approval system have accepted the market price which is slightly filtered after risk. This price is higher than that of the registration system, but it is unfair to let the two tier market investors bear the same delisting risk as the registration system.

Therefore, "the delisting mechanism of the gem must be matched with the approval system of the issuing system".

Gem stock issued by Shenzhen Stock Exchange

"There are also delisting rules in the main board market, but there are not many companies that have been delisting in China since the establishment of the capital market in 20 years.

On the contrary, it is the conviction that we will not retreat from the market to create the scenery of the ST plate.

A large brokerage firm of Shanghai investment bank told reporters that it is difficult to make rules in the capital market.

But the gem must develop healthfully, and the process from issuing to delisting must be clarified.

According to the CSRC data, as of the end of December 2010, a total of 153 enterprises listed on the gem, raising a total of 116 billion 750 million yuan, and the total market capitalization of listed companies was 736 billion 500 million yuan, with a total turnover of 1 trillion and 750 billion yuan.