Research On The Reasons And Countermeasures Of IPO Failure Of Enterprises Applying For STAR Market

Trade meticulous from nuclear and delicate to nature competition between countries.In order to meet the challenge and ensure its own strategic position,it is imperative to build a group of local technology innovation enterprises belonging to China.November 5,2018 is a very important time for China’s stock market development.On this day,General Secretary Xi Jinping announced the Shanghai Securities Citation Institute was established by the Science and Technology Innovation Committee,and the registration system was introduced.Since then,my country’s securities market has entered a major stage.The transitional stage of the reform era.In a relatively short period of time since the establishment of the Science and Technology Innovation Committee,the laws and regulations related to the registration system of the Science and Technology Innovation Committee were not sound enough.so that the determination of the "scientific and technological innovation" attribute of high-tech enterprises and the form of IPO information review have changed from substantive to formal.In the process,problems and challenges cannot be avoided.As of December31 st,2021,a total of 146 companies that have applied for the STAR Market have terminated their listing,including companies that voluntarily withdraw their materials in the face of doubts from the Shanghai Stock Exchange,companies that have been reviewed and rejected by the Listing Committee,and companies that have been reviewed by the Listing Committee but are not listed in the registration process.For companies that have been denied registration by the China Securities Regulatory Commission,by summarizing the reasons for their denials,it is found that there is a certain degree of similarity in the reasons for the failure of these companies in their IPOs.This article starts with the actual situation of the rejected companies,summarizes the problems of IPO rejected companies since the launch of the Sci-tech Innovation Board,analyzes the reasons for the problems,and explores which aspects companies should make improvements to meet the requirements for listing on the Sci-tech Innovation Board and improve The success rate of companies applying for IPOs on the Sci-Tech Innovation Board in the securities market.This paper takes the IPO of the Scientific and Technological Innovation Committee as a breakthrough,and Fujian Huichuan Iot Technology Co.Ltd.,Ltd.as the research object to explore the reasons behind its IPO rejection.First of all,through the use of literature review method to summarize the domestic and foreign scholars on IPO issuance review system,IPO rejected reasons;The origin,characteristics,issuing system and process of the science and innovation board market are introduced respectively.Secondly,the review of IPO issuance since the establishment of China’s science and technology Innovation Board market is sorted out and analyzed,as well as the reasons for the widespread existence of IPO rejected companies in the past two years.Thirdly,the case company Huichuan Iot was briefly introduced sorted out the IPO process and results of Huichuan Iot in science and Technology Innovation Board,and clarified the IPO rejection of Huichuan Iot from the beginning to the end.The reasons for the rejection of IPO of Huichuan Iot Company’s science and technology innovation board are analyzed in detail from the three aspects of "science and technology innovation" attribute,sustainable operation ability and information disclosure.Finally,based on applying for kechuang board IPO was ever the reason,from three aspects: regulation,intermediary agencies and companies targeted strategy is put forward,in order to follow-up in kechuang board IPO of enterprises from inovance al IPO was no lessons,from kechuang properties,continuous operation ability,information disclosure,accounting and internal control to enterprise itself "practice",Improve the IPO success rate of its science and technology innovation board.