Shang Fulin: Research On Refinancing And Delisting System Of Gem

Shang Fulin said that the launch of GEM has not only enriched our country's multi-level market system, but also better adapted to the internal demand of China's economic development.

More than a year after the launch of the gem, the market rules system and regulatory mechanism have been improving, and the endogenous functions of promoting the implementation of independent innovation strategy and the pformation of service economy have become increasingly apparent.

First of all, the gem has strengthened market orientation, and guided sponsors to focus on enterprises that are in line with the development direction of the national strategic emerging industries, especially those in nine key areas, such as new energy, new materials, information, biology and new medicine, so as to play an active role in economic services.

Secondly, the gem rules system is constantly improving, according to the principle of mutual convergence and mutual checks and balances, we have established the audit mechanism for gem issuance, and strive to improve the pparency of the trial issuance of gem, and continuously strengthen the information regulation of the use of fund-raising funds and the reduction of executives.

Furthermore, the risk warning of GEM has been increased, requiring the issuer to hint at gem's unique risks in the prospectus, fully disclose the industry risks and the company's operational risks, and establish an investor's appropriateness management system, which effectively improves the investors' awareness and prevention ability of the risk of gem.

In addition, we should strengthen the on-going supervision of gem, increase on-site inspections, standardize and improve the directors and supervisors of gem, promote standardized operation, set up a supervision system for mutual coordination of SFC, exchanges and intermediaries, comprehensively standardize the rational use of fund-raising funds, maintain the normal order of the GEM market, and protect the legitimate rights and interests of investors.

Shang Fulin said that as of the end of December 2010, a total of 153 companies listed on the gem, raising a total of 116 billion 750 million yuan, the total market capitalization of listed companies was 736 billion 500 million yuan, the total paction amount of 1 trillion and 750 billion yuan; 17 million 790 thousand investors have opened a gem account, institutional investors holding gem market value reached 33.07%.

Over the past year, gem has supported the development of strategic emerging industries and growth start-ups, improving the mechanism of financial support for technological development, and promoting social investment.

By the end of December last year, there were 139 high tech industries listed on GEM, accounting for over 90%. In the first three quarters of 2010, the operating income of GEM companies increased by 36.49% on average, and their profits increased by 26.93% over the same period last year.

Shang Fulin stressed that we should constantly deepen our understanding of the major role of the gem and solve the problem in the future with reform methods.

In particular, promoting the construction of gem is a major innovation in China's capital market. In China's new and pitional market environment, the establishment of GEM has no ready mode to copy.

At the same time, we promoted the construction of gem, improved the institutional mechanism of financial support for scientific and technological innovation, provided a risk sharing and benefit sharing entry and exit mechanism for all kinds of investment technology enterprises, and gradually strengthened the market oriented resource allocation, price discovery and capital constraint mechanism, and promoted the virtuous circle of enterprise investment. Private capital such as venture capital and equity fund gradually accumulated to the high-tech enterprises due to the stable and stable operation of the gem, which promoted social entrepreneurship and employment, and the benign interaction pattern between venture capital and capital market was taking shape.

In addition, promoting the construction of gem is in line with China's economic and social development strategy.

China's launch of the growth enterprise market is an important measure to fully adapt to the changes in the market situation and market development requirements, fully develop the capital market's booster and incubator function for high-tech and high growth enterprises, and promote the construction of an innovative country.

For the current and future efforts to promote stable and healthy development of the gem, Shang Fulin pointed out that it will intensify reform and innovation, and actively explore regulatory mechanisms suitable for the characteristics of the gem, and constantly improve the gem's institutional mechanisms to support technological innovation.

First, we should strengthen the positioning of the growth enterprise market and support the development of independent innovation and strategic emerging industries with greater efforts.

We should focus on supporting the development of industrial enterprises such as energy conservation, environmental protection, information technology, biotechnology, high-end equipment manufacturing, new energy and new materials. We should give full play to the role of the expert advisory committee of gem, further implement the focus orientation of the GEM market, promote the growth of innovative enterprises, accelerate the cultivation and development of strategic emerging industries, and actively play the role of gem in promoting economic structural adjustment and pformation of development mode.

Two, we should improve the system rules of GEM market and promote the sustainable development of GEM companies.

We should improve the auditing mechanism of gem issuance, improve the quality and efficiency of audit, and steadily expand the market scale.

We should make full use of China's main board market and international experience to study and formulate refinancing methods for listed companies on GEM, establish a financing mechanism that is suitable for the growth enterprise market, and explore efficient and efficient financing mechanisms. We should actively explore the delisting system of GEM companies and give full play to the market's survival of the fittest.

Three, we should improve the internal restraint mechanism and further promote the agency's responsibility.

We should strengthen the daily supervision of sponsor institutions, intensify on-site inspections, and urge intermediary organizations such as sponsors and law firms to work diligently and conscientiously, and constantly improve their quality and level.

At the same time, we should promote the function of professional institutions, make prudent and reasonable pricing, and rationally guide market expectations.

Four, we should continue to increase supervision and protect the legitimate rights and interests of investors.