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The benefits that listing on a regulated capital market can bring to a company are:
1. A new direct financing channel has been opened, although in a regulated market, the cost of equity financing is generally higher than that of debt financing.
2. After the company is listed, it becomes a public, which has a certain role in enhancing the company's brand.
3. After listing, a set of standardized management system and financial system must be established in accordance with the regulations. It has a certain role in promoting the management level of the company.
Therefore, in mature markets, not all companies want to become publicly traded because they are more heavily regulated and more costly.
Listed companies: Most companies have a shareholding system, of course, if the company is not listed, these shares are only in the hands of a small number of people. When the company grows to a certain extent, it needs capital due to development.
Listing is a good way to absorb funds, the company pushes a part of its own shares to the market, sets a certain **, and allows these shares to be traded in the market. The proceeds from the sale of the shares can be used to continue development. Shares represent a part of the company, for example, if a company has 1 million shares, the chairman holds 510,000 shares, and the remaining 490,000 shares are sold on the market, which is equivalent to selling 49 companies to the public.
Of course, the chairman can also sell more shares to the public, but there is a certain risk that if a malicious buyer holds more shares than the chairman, the ownership of the company will change. Overall, there are pros and cons to going public.
Benefits: 1Get funded.
2.The owner of the company sells a part of the company to Volkswagen, which is equivalent to asking Volkswagen to take the risk with him, such as 100 holding, losing 100, 50 holding, losing only 50.
3.Increase the liquidity of shareholders' assets.
4.Escaping the control of the bank, there is no need to take a bank loan again.
5.Increase company transparency and increase public confidence in the company.
6.Increase the visibility of the company.
7.If a certain amount of shares are transferred to the manager, the agency problem between the manager and the company owner can be increased.
There are also disadvantages:1Going public costs money.
2.The increased transparency also exposes a lot of secrets.
3.The shareholders of the company's information must be notified to the shareholders every period after listing.
4.There is a possibility of being maliciously controlled.
5.At the time of listing, if the ** of the shares is too low, it is a loss to the company. In fact, this is a common practice, and almost all companies will set **** lower when they go public.
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Of course, it's better to go public. If in the future, the company formulates an option incentive mechanism for employees. There will be certain advantages to joining the company before listing.
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The listing of the company has nothing to do with you.
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After being listed, the company is equivalent to "selling" its own company to the majority of shareholders, in fact, the shareholders will not get anything, to put it simply, the listed company seems to be issuing the rights of their own company to the majority of shareholders, and who can manage the company? The company is still his own, but after going public, he can get rich instantly by selling worthless waste paper** (there is no entity ** now, it is all virtual wealth)! And the people don't buy ** to participate in the company's management, but only to earn the difference in price.
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First of all, the company's listing will greatly improve the company's brand image, enhance its popularity, and increase its brand value; Second, after the company is listed, it is of great help to the means of financing, and the company can use many means such as fixed increase, bond issuance, and pledge to finance expansion; Third, after the company is listed, it is more convenient for shareholders to advance and retreat, and it is easy to attract more investors. Fourth, the listing of a company can increase the liquidity of the company's share transfer, making it easier for small and medium-sized shareholders to enter and exit.
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The listing of a company, in layman's terms, is to divide the ownership of the company into a number of small parts, put them in the market for circulation, and if institutional or individual investors are optimistic about the company's industry or prospects, they can go to the open market to ** the company's. Non-listing means not putting the equity in the open market for circulation, and if there is a demand, it will be transferred in a non-public way. The biggest difference between a company's listing and non-listing is:
A company that is not listed is a company whose boss makes a fortune in silence; To go public is to make a fortune with all investors. Given the above reasons, listed companies will bear more than non-listed companies.
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Changes and differences: one is to hold regular shareholders' meetings, and the other is to change the company's management structure and increase the board of supervisors. Third, it is necessary to set up an investment department to receive and deal with related matters, and fourth, to disclose the company's financial statements on a regular basis.
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From the perspective of first-class enterprises, the overall listing will be conducive to the leapfrog development of the company's business, enhance the core competitiveness of the company, and make the breadth and depth of the company's business play a synergistic effect, which can effectively solve the competition in the same industry and straighten out the upstream and downstream industries of listed companies, and achieve a favorable pattern of controlling shareholders, listed companies and secondary market investors.
It is self-evident that the overall listing behavior of central enterprises with both internal and external power has a positive impact on the macro economy, and the central enterprises listed as a whole play a unique advantageous role in key areas, which will optimize the allocation of market resources and continuously release economic vitality. The overall listing of central enterprises is also of great significance to the long-term development of the capital market. There are still many obstacles to the overall listing of the company, and the performance:
1. The asset quality and profitability of the enterprise are not satisfactory;
2. Less than 10% of the total number of ** enterprises that meet the overall listing standards;
3. It is still difficult to comprehensively promote the shareholding reform of enterprise groups for a long period of time, and a large number of enterprise groups are still facing many problems that need to be solved;
4. It is still difficult to put in place the transformation of the management system and operating mechanism of the enterprise group, and many relationships still need to be further coordinated and sorted out; The integration of the internal business and the main business of the enterprise are not ideal;
5. The relationship between the listed company and the surviving enterprise needs to be properly handled, and the social stability problems caused by related party transactions and the surviving enterprise need to be fully resolved;
6. The positioning and function of the state-owned assets regulatory agency need to be clarified. It is undeniable that the capacity of the domestic capital market is the most critical factor for the overall listing of ** enterprises. The expansion pressure caused by the overall listing will directly lead to the lack of blood again in the already weak market.
As far as the current domestic capital market is concerned, it is necessary to broaden the channels of funds to enter the market as soon as possible and enhance the vitality of the market.
The overall listing of central enterprises not only expands the scale of the capital market, improves China's asset rate, but also more effectively improves its market value and improves the overall asset quality, providing a guarantee for the long-term prosperity of China's capital market. From the perspective of the stage of capital market development, any real bull market always goes through four important stages: value discovery, value injection, value bubble, and value return, and with the acceleration of the overall listing of central enterprises, it promotes the rapid development stage of value injection and becomes a booster for the next wave of the market.
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