Quanzhou Shoe Enterprises Listing Accelerate Costs Dragging Behind

Quanzhou enterprises are ushering in the peak of listing.

In August 1991, Quanzhou Shishi Xinfa Limited by Share Ltd, the first joint-stock company in the city of Fujian, was established in August 1991. After June 3, 2008, XTEP international listed on the main board of Hong Kong stock exchange. After 17 years of rain and wind, 33 members of the stock market in the stock market reached the total scale of financing in the capital market, which exceeded 13 billion yuan.

Having a wealth of listed resources does not mean that the road of listing of Quanzhou enterprises will be smooth sailing.

A company has been tested for three years from restructuring, listing guidance, application to preliminary examination, and final approval.

It is after years of deliberation, planning and efforts that through the joint efforts of the government and the business community, the spring enterprises have just begun to accelerate the pace of listing.

So we believe that although the way of listing in the future is still full of variables, the 33 is definitely not a destination but a new starting point.

Washington (reporter Guo Yu) in response to a new round of domestic and foreign listing climax of enterprises in our city, the municipal development and Reform Commission recently completed a report entitled "basic analysis of the progress of enterprise restructuring and listing in 1-4". The report indicates that the current situation of Listed Companies in our city is: half of them are "red lights" and half are "green lights".

The arrival of a "blowout period" has made people look up to the Quanzhou listed companies.

Is the strong performance of Quanzhou enterprises in the capital market a flash in the pan?

How much of the gold content of Quanzhou listed companies?

The "Quanzhou plate" is of good quality.

Quanzhou is rich in listing resources, and has a number of excellent backbone enterprises and famous brands in five traditional industries, including paper industry, rain gear and power industry.

According to the relevant departments estimates, the private economy developed in our city has 480 Industrial Enterprises above Designated Size have reached the listing standard.

The road of listing of Quanzhou enterprises has entered a fast lane.

If we say that the 90s of last century is a difficult starting period for Quanzhou enterprises to list, if 2000 is the development period of Quanzhou listed companies, then 2005 will be the acceleration period for Quanzhou enterprises to go public.

It is predicted that in the next few years, the number of new and domestic listed companies in Quanzhou will be expected to keep 10 per year.

The performance of Quanzhou listed companies in the stock market is out of the ordinary.

Listed companies in Quanzhou are mostly industry leading enterprises. Their total assets and net profit growth rates are among the best in the industry and have broad prospects for development.

In a short period of time after the use of capital market, assets of multiple enterprises increase exponentially and their profits increase substantially.

For example, after the listing of Huiquan beer in the A share market in February 2003, the first issue of shares raised 469 million yuan. After the listing, the net profit in 2003 was 11 million 520 thousand yuan, and in 2004 it was 14 million 560 thousand yuan, and in 2005 it rose to 27 million 40 thousand yuan.

In December of last year, after the listing of Guan Fu's household, the first issue of shares raised 179 million yuan, the total assets before the listing were 400 million yuan, and the total assets after the listing reached 800 million yuan.

This shows that many enterprises are "using for themselves" by grasping the opportunity of the great development of the capital market.

More and more chances for success.

According to the analysis report of the municipal development and Reform Commission, this year's restructuring and listing work continued the good momentum of development last year and steadily pushed forward.

First of all, enterprises are stepping up the pace of listing, adding new members to the "Quanzhou plate".

In April 15th, the Chinese Crocodile Garments Company, the main sportswear company, was listed in Singapore. It issued 163 million new shares, 0.3 yuan per share, and raised 48 million 900 thousand yuan.

In April 18th, China's largest backpacker, China luggage international, also successfully landed on the Singapore Exchange, issuing 145 million new shares, 0.60 yuan per share, raising 80 million 500 thousand yuan.

Followed by the rapid follow-up of the reserve enterprises, the confidence of the listed companies continued to increase.

At present, 2 enterprises in the city have submitted the application materials for listing, of which the materials are submitted to the China Securities Regulatory Commission, and the industry has submitted materials to the European exchange; 3 enterprises have entered the coaching period. The men's clothing, Fujian aluminum industry and Xingye leather have been applied to the Fujian Securities Regulatory Commission for guidance and record respectively. In addition, 37 enterprises have signed agreements with the securities companies, and 60 enterprises have started the preliminary work of restructuring.

Finally, the start-up of the gem has been gradually approaching, and many enterprises in our city are actively preparing for it.

There were 150 enterprises participating in the gem financing summit last month. At the same time, there were 62 enterprises participating in the gem training course to be jointly organised by the provincial Securities Regulatory Commission, the provincial development and Reform Commission and the Shenzhen Stock Exchange. In addition, some enterprises that had basically completed the restructuring work were waiting for the launch of the gem to make a choice between the SME board and the gem.

The gem will provide a new financing way for our city enterprises, and also help to promote our own innovation and industrial structure upgrading.

The difficulties are getting bigger and bigger.

Although opportunities are increasing, the analysis report also considers that the difficulty of property rights certificate, the high cost of restructuring and the lack of professionals will be the three major factors that restrict the restructuring and listing of enterprises in our city.

Unclear property rights is still the biggest difficulty for enterprises to restructure and go public.

Due to historical reasons, some listed companies still have problems such as land, real estate and other warrants which are difficult to handle. In addition, in the process of enterprise restructuring, the pfer of assets and warrants will result in certain taxes and fees, or even a larger portion, which will lead to a series of obstacles to the restructuring process.

Because of the unclear property rights and non-standard financial management, there are many problems in the process of restructuring, such as paying taxes or making high profits. These "compensation costs" tend to be very high, and some enterprises increase their tax costs by up to about 40000000 yuan.

Once the enterprise is finally unable to get to the market, there will be a subsequent increase in tax costs and the risk of being traced back.

The new labor contract law stipulates that enterprises should pay insurance on time and in full, and delay in time or amount is insufficient.

This is also a big expenditure for some labor-intensive enterprises to be listed in our city.

The restructuring and listing of enterprises is a highly professional job. It requires a lot of professionals who are familiar with the operation of the capital market, especially the professional executives of financial controller and secretaries.