Practical Issues Of The Disposed Of Collective Shares In The IPO Process Of City Commercial Banks

The banking industry is an important part of the financial sector in China, andnow the city commercial banks have become an indispensable part of China’s bankingindustry. Financial deregulation, city commercial banks to improve the traditionalcredit settlement business at the same time, the scope of the business to expand tohandle receipts, financial intermediary business and off-balance sheet business andsecurities, investment, insurance and other new areas.Since the emergence of citycommercial banks, their asset size, profitability, and other aspects have received aconsiderable development. With its own development, urban commercial banks thedemand for capital is constantly increasing, visit the capital market to raise capitaladequacy ratio, city commercial banks a convenient way to expand the scale.Thesuccessful listing of Bank of Nanjing, Ningbo Bank and Bank of Beijing opened thecurtain of the city commercial bank IPO. IPO provides a useful reference but also forother city commercial banks. Up to now, there are many city commercial banks tosubmit their IPO application to the SEC.In the IPO process of city commercial banks, there are many problems to besolved. This paper selects a problem to be solved in the city commercial banks in theIPO process-disposal of collective shares as a research object. The first section ofchapter highlights the concept of city commercial banks and its development in recentyears, but also the formation of urban credit cooperatives and city commercial bankswere introduced. Section II is the collective shares are defined, and a detailed list of the relevant provisions of existing laws and regulations and collective shares. Thesecond chapter discusses the core of this article. City commercial banks in theprocess of listing on the collective shares to be disposed of according to the law andlegal procedures. Therefore, the collective disposal of shares after the internaldecision-making process of city commercial banks and to obtain relevant regulatoryapprovals of city commercial banks agreed to. The disposal of shares of the collectiveinterests of shareholders of the city commercial banks, the workers ’interests, thereare state-owned assets, the second chapter, Section II assessment of the collectiveshare of the detailed description, and workers’ interests protection were demonstrated.The third chapter is written as a collective share disposal to explore the practicaloperation of the city commercial bank IPO. The third section of chapter a detaileddescription of the collective share of the relevant legislation identified as state-ownedshares, the risk issues and how to deal with the problem of the disposal; Section II isa detailed description of the collective shares to quantify the disposal of risk andimplementation steps situation.