Related companies: ① Ping An Securities ② Zhongtian Guofu ③ Shenwan Hongyuan ④ Chuangchuang Securities ⑤ Western Securities ⑥ UBS Securities ⑦ Industrial Securities ⑧ Haitong Securities ⑨ Bohai Securities ⑩ Debang Securities ⑪ Minsheng Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑳Dongguan Securities
Produced by: Sina Finance Listed Company Research Institute
Author: IPO Refinancing Group/Zhong Wen
Prospectus is the main carrier of IPO information disclosure under the registration system, the basic basis for investors to make value judgments and investment decisions, and the most core and important legal document in the IPO process of a company. The quality of the prospectus determines the information disclosure quality of the company that intends to publish, and information disclosure is the soul of in the registration system. Since the implementation of the
registration system, the content of the prospectus of many companies that intend to IPO has been required to be deleted, modified or rewritten due to shoddy production. Among the 18 IPO projects under review by Great Wall Securities , three were asked to rewrite some chapters of the prospectus, one responded to the inquiry and replied "sorry", and even received a fine for unauthorized deletion of a major issue in the prospectus of a project.
data shows that the withdrawal rate of Great Wall Securities' IPO project is still relatively high, and the information disclosure quality of the sponsored project is poor, so the overall quality of the company's overall practice needs to be improved.
Prospectus for multiple projects is "short-made" and has received fines for major matters without authorization.
wind shows that from January 1, 2021 to September 30, 2022, Great Wall An Securities had 18 IPO projects under review (using the acceptance of the exchange or the China Securities Regulatory Commission as the standard, the same below).
Among the 18 projects under review, three companies' prospectuses were requested by regulatory authorities to delete, modify and rewritten. These three companies are Guangdong Siquan New Materials Co., Ltd. (hereinafter referred to as "Siquan New Materials"), Shenzhen Lianruan Technology Co., Ltd. (hereinafter referred to as " Lianruan Technology "), and Hangzhou Suoyuan Bio-Pharmaceutical Co., Ltd. (hereinafter referred to as "Suoyuan Bio").
Among them, Siquan New Materials has passed the review of GEM Listing Committee, and the next step will be to enter the registration inquiry stage. Liansoft Technology and Suoyuan Biotechnology have withdrawn their IPO applications.
data shows that Siquan New Materials was pointed out by the Shenzhen Stock Exchange that "the length is long and there is a lot of duplicate content. Industry information disclosure contains common information in some industries, lack of targeted information, and insufficient effective information for investor decision-making". Specifically, including but not limited to: "Industry Overview and Development Trends" part is too long and contains a large amount of general information in the industry, and is not analyzed in combination with the issuer's main business; "Terminal Application Market Development Status and Trends" is too long and is not analyzed in combination with the issuer's main products; "Industry Characteristics" are too long and contain a large amount of general information. This part of the "industry competition pattern" does not analyze the market share of the issuer's sub-industry...
Therefore, the Shenzhen Stock Exchange requires Siquan New Materials to comprehensively modify and improve the relevant chapters of the prospectus, and describe the issuer's main business in concise and plain language; delete professional terms that are irrelevant and difficult to understand.
Liansoft Technology was also questioned for its redundant statements and its failure to write in the prescribed format. Shanghai Stock Exchange requires Lianruan Technology to write and streamline the prospectus in accordance with the requirements of the format standards so that the prospectus is concise and concise and easy for investors to read: (1) Disclose risks in a concise and easy way according to the requirements of Article 32 of the format standards, and sort them according to the importance of risk factors, delete redundant statements and risk factors that have not had a significant adverse impact on the issuer and this issuance, and delete the risk countermeasures, issuer competitive advantages and similar statements contained in the risk factors in accordance with the requirements of Article 36; (2) Simplify the "Business and Technology" chapter of the prospectus, "The basic situation of the industry in which the company is located and the company's competitive position", please streamline the relevant situation of the issuer's upstream and downstream industries, and streamline the disclosure of the issuer's competitive advantages; (3) Simplify the disclosure of information on the concept of "zero trust security".
Related companies: ① Ping An Securities ② Zhongtian Guofu ③ Shenwan Hongyuan ④ Chuangchuang Securities ⑤ Western Securities ⑥ UBS Securities ⑦ Industrial Securities ⑧ Haitong Securities ⑨ Bohai Securities ⑩ Debang Securities ⑪ Minsheng Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑫CICC ⑬China Merchants Securities ⑭Dongwu Securities ⑮Xiangcai Securities ⑯Guotai Junan ⑰Donghai Securities ⑱Hua'an Securities ⑲Kaiyuan Securities ⑳Dongguan Securities
Produced by: Sina Finance Listed Company Research Institute
Author: IPO Refinancing Group/Zhong Wen
Prospectus is the main carrier of IPO information disclosure under the registration system, the basic basis for investors to make value judgments and investment decisions, and the most core and important legal document in the IPO process of a company. The quality of the prospectus determines the information disclosure quality of the company that intends to publish, and information disclosure is the soul of in the registration system. Since the implementation of the
registration system, the content of the prospectus of many companies that intend to IPO has been required to be deleted, modified or rewritten due to shoddy production. Among the 18 IPO projects under review by Great Wall Securities , three were asked to rewrite some chapters of the prospectus, one responded to the inquiry and replied "sorry", and even received a fine for unauthorized deletion of a major issue in the prospectus of a project.
data shows that the withdrawal rate of Great Wall Securities' IPO project is still relatively high, and the information disclosure quality of the sponsored project is poor, so the overall quality of the company's overall practice needs to be improved.
Prospectus for multiple projects is "short-made" and has received fines for major matters without authorization.
wind shows that from January 1, 2021 to September 30, 2022, Great Wall An Securities had 18 IPO projects under review (using the acceptance of the exchange or the China Securities Regulatory Commission as the standard, the same below).
Among the 18 projects under review, three companies' prospectuses were requested by regulatory authorities to delete, modify and rewritten. These three companies are Guangdong Siquan New Materials Co., Ltd. (hereinafter referred to as "Siquan New Materials"), Shenzhen Lianruan Technology Co., Ltd. (hereinafter referred to as " Lianruan Technology "), and Hangzhou Suoyuan Bio-Pharmaceutical Co., Ltd. (hereinafter referred to as "Suoyuan Bio").
Among them, Siquan New Materials has passed the review of GEM Listing Committee, and the next step will be to enter the registration inquiry stage. Liansoft Technology and Suoyuan Biotechnology have withdrawn their IPO applications.
data shows that Siquan New Materials was pointed out by the Shenzhen Stock Exchange that "the length is long and there is a lot of duplicate content. Industry information disclosure contains common information in some industries, lack of targeted information, and insufficient effective information for investor decision-making". Specifically, including but not limited to: "Industry Overview and Development Trends" part is too long and contains a large amount of general information in the industry, and is not analyzed in combination with the issuer's main business; "Terminal Application Market Development Status and Trends" is too long and is not analyzed in combination with the issuer's main products; "Industry Characteristics" are too long and contain a large amount of general information. This part of the "industry competition pattern" does not analyze the market share of the issuer's sub-industry...
Therefore, the Shenzhen Stock Exchange requires Siquan New Materials to comprehensively modify and improve the relevant chapters of the prospectus, and describe the issuer's main business in concise and plain language; delete professional terms that are irrelevant and difficult to understand.
Liansoft Technology was also questioned for its redundant statements and its failure to write in the prescribed format. Shanghai Stock Exchange requires Lianruan Technology to write and streamline the prospectus in accordance with the requirements of the format standards so that the prospectus is concise and concise and easy for investors to read: (1) Disclose risks in a concise and easy way according to the requirements of Article 32 of the format standards, and sort them according to the importance of risk factors, delete redundant statements and risk factors that have not had a significant adverse impact on the issuer and this issuance, and delete the risk countermeasures, issuer competitive advantages and similar statements contained in the risk factors in accordance with the requirements of Article 36; (2) Simplify the "Business and Technology" chapter of the prospectus, "The basic situation of the industry in which the company is located and the company's competitive position", please streamline the relevant situation of the issuer's upstream and downstream industries, and streamline the disclosure of the issuer's competitive advantages; (3) Simplify the disclosure of information on the concept of "zero trust security".The problem with
Suoyuan Bio is that the prospectus discloses "major matter tips" and "risk factors", does not highlight targetedness and importance, and does not follow the principle of importance to sort and disclose risk factors.
Therefore, the Shanghai Stock Exchange requires Suoyuan Bio to: (1) In accordance with the provisions of the "Content and Format of Information Disclosure of Companies for Publicly Issued Securities No. 41 - Prospectus for the Science and Technology Innovation Board Company", guided by investors' investment needs, supplement, modify and improve the "Major Matters Tips" and "Risk Factors" chapters; (2) The risks indicated in major matters should be closely related to the company and the industry in which they are located, highlighting the pertinence and importance. Special risk warnings do not need to be listed separately, and the relevant risks are directly reflected in major matter prompts, and there is no need to prompt relevant commitments and other conventional market arrangements; (3) Risk factors should be sorted and disclosed in accordance with the principle of importance. At the same time, Great Wall Securities is required to urge issuers to remind and risk warnings for major matters based on relevant requirements such as format standards.
In a nutshell, the problems existing in Siquan New Materials, Lianruan Technology, and Suoyuan Bio can be summarized as: the prospectus is shoddy and the information disclosure quality is poor. Great Wall Securities has repeatedly "stepped on the mine", which shows its professional attitude.
In addition, Great Wall Securities' attitude was not diligent enough when responding to exchange inquiries, which caused information disclosure to mislead investors, such as the Beijing Jieshizhitong Technology Co., Ltd. (hereinafter referred to as the "Jieshizhitong") project.
According to the first round of inquiry response from Jieshizhitong, several intermediary institutions such as Great Wall Securities used "the issuer has disclosed the fairness of the price and whether there are related matters related to the relationship", but did not express concluding opinions on the relevant matters. There are ambiguous verification conclusions for some matters, and no basis for identification and impact amounts are provided; the verification of capital flows only has verification conclusions and does not explain the verification process; some matters are not fully explained, etc.
not only needs to be improved in the quality of information disclosure of sponsored projects, but Great Wall Securities also deleted major issues in the project prospectus without authorization.
In October 2019, the CSRC decided to take regulatory talks against Great Wall Securities. One reason was that Great Wall Securities arbitrarily deleted the "major contract" content of the prospectus "major contract" announced in the initial public offering in April 2018. Compared with the final paper of the prospectus submitted to the CSRC, the prospectus without authorization deleted the two major sales contracts that were being performed without authorization.
CSRC pointed out that the violations of the Yuebo Power Project reflect the weak links in the internal control of Great Wall Securities, and ordered the company to rectify the problems existing in the internal control of .
The China Securities Regulatory Commission’s "Guiding Opinions on Improving the Quality of Information Disclosure of Prospectus under the Registration System" pointed out that the sponsor shall, in accordance with the business rules and industry norms formulated in accordance with the law, and on the basis of fully understanding the issuer’s operating conditions and risks, conduct prudent verification of the issuer’s registration application documents with the prospectus as the core, and be responsible for the authenticity, accuracy and completeness of the prospectus and its relevant documents issued.
In accordance with the above guidance, the sponsor, like the issuer, bears the main responsibility for the disclosure quality of the prospectus. From this we can see that the frequent problems such as shoddy production of sponsored projects are frequent, and Great Wall Securities is to blame.
IPO project cancellation rate is as high as 38%html
Not only does it frequently have professional quality problems, but the cancellation rate of Great Wall Securities' IPO project is also as high as 38%.
wind shows that there were 18 IPO projects under review from January 1, 2021 to September 30, 2022, and 7 were withdrawn, with the withdrawal rate (number of withdrawals/number of review) as high as 38.89%.
Note: The data comes from wind. The withdrawal rate is calculated based on other calibers
From January 1, 2021 to September 30, 2022, there are 40 securities companies with more than 10 IPO review projects, of which the highest withdrawal rate is Zhongtian Guofu (72.22%), and Great Wall Securities' 38.89% ranks 6th, at a high level.
"Guiding Opinions on Urging Securities Companies to Engage Investment Banking Business under the Registration System" points out that special inspections will be organized at least once a year for securities companies with high withdrawal rates of investment banking projects, high corporate bond default rates, low professional quality evaluations, and many problems reflected in the market.Will Great Wall Securities, which has a high withdrawal rate and poor practice quality, face a special inspection?
Revenue fell sharply in each quarter
Data shows that Great Wall Securities is a medium-sized brokerage registered in Shenzhen. Its revenue in 2021 ranked 28th in the industry and 37th in the first half of 2022.
From the perspective of business structure, Great Wall Securities is a brokerage that relies more on brokerage and proprietary business, and faces fierce and homogeneous industry competition.
Since brokerage, proprietary operations and other businesses are businesses that rely heavily on market conditions, Great Wall Securities' performance fluctuates greatly. In the first three quarters of this year, the company achieved revenue of 2.719 billion yuan, a year-on-year decrease of 53.77%; and achieved net profit attributable to shareholders of 567 million yuan, a year-on-year decrease of 58.14%.
minutes into the quarter, Great Wall Securities' revenue in the first three quarters of this year all fell sharply. In the first, second and third quarters, the company achieved revenue of 624 million yuan, 1.466 billion yuan and 630 million yuan, respectively, a year-on-year decrease of 56%, 34.5% and 71.71%.
Great Wall Securities' performance decline is mainly due to the decrease in the city's proprietary investment business income and the business income of subsidiaries. The decrease in proprietary investment income is mainly affected by the sluggish market conditions.
According to statistics from Wind and Haitong International , in the first three quarters of this year, 43 listed securities companies achieved a total investment bank revenue of 43.2 billion yuan, and increased by 5% year-on-year.
However, Great Wall Securities underperformed the industry, and achieved investment banking revenue of 380 million yuan in the first three quarters, a year-on-year decrease of 12%.
Will Great Wall Securities, which has a high withdrawal rate and poor practice quality, face a special inspection?Revenue fell sharply in each quarter
Data shows that Great Wall Securities is a medium-sized brokerage registered in Shenzhen. Its revenue in 2021 ranked 28th in the industry and 37th in the first half of 2022.
From the perspective of business structure, Great Wall Securities is a brokerage that relies more on brokerage and proprietary business, and faces fierce and homogeneous industry competition.
Since brokerage, proprietary operations and other businesses are businesses that rely heavily on market conditions, Great Wall Securities' performance fluctuates greatly. In the first three quarters of this year, the company achieved revenue of 2.719 billion yuan, a year-on-year decrease of 53.77%; and achieved net profit attributable to shareholders of 567 million yuan, a year-on-year decrease of 58.14%.
minutes into the quarter, Great Wall Securities' revenue in the first three quarters of this year all fell sharply. In the first, second and third quarters, the company achieved revenue of 624 million yuan, 1.466 billion yuan and 630 million yuan, respectively, a year-on-year decrease of 56%, 34.5% and 71.71%.
Great Wall Securities' performance decline is mainly due to the decrease in the city's proprietary investment business income and the business income of subsidiaries. The decrease in proprietary investment income is mainly affected by the sluggish market conditions.
According to statistics from Wind and Haitong International , in the first three quarters of this year, 43 listed securities companies achieved a total investment bank revenue of 43.2 billion yuan, and increased by 5% year-on-year.
However, Great Wall Securities underperformed the industry, and achieved investment banking revenue of 380 million yuan in the first three quarters, a year-on-year decrease of 12%.
