Despise the technology prospectus “invalid” Official response: normal progress, supplementary materials required
Invalidity is not uncommon, but it does not mean that the listing has failed. You can re-apply and “activate” the listing process by updating the information.
Beijing News (Reporter Liang Chen) On February 25, in response to the website of the Hong Kong Stock Exchange showing the disregard of the IPO application of IPO (Initial Public Offering), the company responded to the Beijing News reporter that normal progress requires additional materials.
Regarding “deactivation”, some people in the industry told the Beijing News that it is not uncommon for listing application materials to become invalid during the IPO, but the failure of a listing document does not equal a listing failure. The proposed issuer can re-apply and “activate” the listing by updating the information. program.
On August 25, 2019, Guangshi Technology submitted a listing application to the Hong Kong Stock Exchange. However, there has been no further news from Muangshi Technology after submitting its prospectus. In late November, foreign media reported that it had not passed the Hong Kong Stock Exchange listing hearing. In this regard, the relevant person in charge of contempt technology has replied “the report is not true.”
The so-called listing hearing means that the Hong Kong Stock Exchange conducts a comprehensive evaluation of the company applying for listing before listing, and waits for relevant experts to evaluate whether to pass the listing in person, which is at the end of the entire listing cycle. Often after the hearing, the company can issue a prospectus, pricing and distribution, and eventually go public.
As one of the “four little dragons” in the Chinese artificial intelligence visual recognition market, the listing process of Muangshi Technology, which was established in 2011, has attracted much attention. The prospectus shows that Guangshi Technology has gone through 9 rounds of financing and has raised a total of about 1.351 billion US dollars. Its shareholder system is huge, including Alibaba, Guoxin Holdings, Hon Hai Precision, Sunshine Insurance, SK, Bank of China Group, and Kuwait Investment Authority.
However, performance losses have plagued contempt technology. The prospectus shows that from 2016 to 2018, the revenue of Quen Technology doubled to 1.269 billion yuan, and the annual loss continued to expand to 3.315 billion yuan. In the first six months of 2019, the revenue of Kuangshi Technology increased by 210.3% year-on-year, and its loss expanded more than 6 times compared with the same period last year.
In addition, Evergreen Technology disclosed the final financial data as of June 30, 2019. According to the listing rules of the main board of the Hong Kong Stock Exchange, the settlement date of the last accounting period of the reporting accountant’s report for a new listing applicant must not exceed 6 months from the date of publication of the listing document.
Regarding the impact of the delay, some Hong Kong stock analysts told the Beijing News reporter that the impact is not great, but considering the need to resubmit materials and regular reports, as well as the timing of listing, Quecon Technology may choose to delay the listing plan.
It is worth noting that, Guangxin Technology has submitted the listing application documents before the new crown epidemic. According to the expert’s opinion materials, even as a result, some of the company’s operating data will change significantly in the fourth quarter of 2019 and the first quarter of 2020, which will affect the valuation of the listing. According to the HKEx’s principle of exemption, listing may still be accepted.
Editing Xu Chao Proofreading Wang Xin