GEM IPO In The Context Of Registration Reform A Study On The Rejection Of Financial Problems

Since the 21 st century,with the transformation of economic development and the continuous improvement of the capital market economic system,the development of China's securities market has become increasingly mature.In October 2009,28 first GEM companies were officially listed on Shenzhen Stock Exchange.After ten years,nearly 750 companies had successfully listed on gem by April 2019.Therefore,IPO,as an important financing and development way for the development of enterprises,has become a hot topic in the capital market.How to improve the pass rate of IPO has become the focus of all walks of life.Since the implementation of the new regulations by the IPO in early 2016 in China,the issuance rate of new shares has accelerated sharply in the context of gradually tightening the registration system for stock issuance.One of the characteristics of the registration system is that the listing threshold will be lowered.Compared with the previous strict approval system examination,the opportunities for issuing and listing will become more and more common.Therefore,a large number of private or small and medium enterprises that are temporarily unable to list on the main board will also enter the IPO distribution market to participate in the competition of listed assets,so as to obtain social financing.According to the data in recent years,about 60 enterprises have been vetoed by the CSRC due to various financial problems and failed to go public successfully.This article takes China's vigorous promotion of the registration system reform as the research background,and combines the registration system with the GEM IPO case study for the first time.According to the literature data,and using statistical descriptive analysis and case analysis methods,statistical analysis of the 2011-2017 CSRC's analysis of the issuance review of the IPO of the GEM listed companies,the reasons for the failure of the IPO listing of the GEM under the background of the registration system reform Conduct research and analysis to sort out the common financial problems of the listed companies on the GEM,including continuous profitability,formal disclosure of information,irregular accounting,and related party transactions.This article introduced Xintai Electric's first meeting and was rejected by the China Securities Regulatory Commission.Shortly after the second successful listing,it became the “delisting first stock” because of financial problems.It has a strong explanatory power and is ready to be listed.During the period,we should focus on the financial issues and provide feasible suggestions to help small and medium investors identify financial problems and investment risks more effectively,improve the company's financial quality and efficiency of listing,improve the path of China's registration system reform and improve the IPO of GEM companies.Success rate provides some reference and guidance.