Preliminary formulation of the Shanghai Stock Exchange's strategic emerging board plan: benefiting iQiyi, Dianping and other companies

A seminar plan obtained by the reporter today shows that the Strategic Emerging Board will be launched simultaneously with the registration system after the promulgation of the Securities Law. It is expected to be in the first half of next year, and listed companies will be selected first among the companies lined up on the main board. After many rounds of research and discussions, the strategic emerging board is on the verge of being unveiled in the first half of next year, which may benefit companies such as iQiyi.

After many rounds of research and discussions, the strategic emerging board is on the verge of being unveiled in the first half of next year, which may benefit companies such as iQiyi.

In this plan, it is clear that the criteria for listing on the strategic emerging board will be to focus on non-profit indicators, and four sets of evaluation criteria are set:

1. Market value (1 billion)+ cash flow (operating cash flow of 20 million)+ income;

2. Market value (1.5 billion)+ income;

3. Market value + net profit;

4. Market value (30)+ shareholders 'equity (200 million)+ total assets (300 million); the

plan emphasizes that in the short term, the entities landing on the strategic emerging board are still mainly domestic entities.

However, regarding the identification of actual controls caused by the return of red chips and issues related to option incentives, the plan is clear for the first time: the Shanghai Stock Exchange tends to deregulate, but there is currently no clear timetable and standards, and domestic refinancing will be deregulated and gradually synchronized with Hong Kong.

The industrial characteristics of the strategic emerging board are lower than the main board, centered on market value, more diversified, developed misaligned with the main board, and competed appropriately.

Many people in the financial industry confirmed the authenticity of this plan, but emphasized that the plan is preliminary and is still in the discussion stage with the institution.

Once the strategic emerging board plan is determined, it will definitely benefit many technology companies. Previously, there have been many rumors that Shanghai has selected Ant Financial, China Comac, Dianping and iQiyi as the first batch of companies to be listed on the strategic emerging board of the Shanghai Stock Exchange.

The Dazhong Dianping Old A Plan document previously obtained by the reporter also showed that before the merger of Dazhong Dianping and Meituan, what was planned was to complete a new round of financing of 5 to 6 billion yuan before the end of the year, and quickly land on the strategic emerging board after the launch of the strategic emerging board next year.

In July this year, Tencent Technology reported that iQiyi had given up overseas listing, dismantled the VIE structure, and turned to preparing for domestic listing.

At that time, some people in the investment industry pointed out that Baidu CEO Robin Li had long revealed the idea of returning to A-shares. However, since Baidu's market value exceeded US$70 billion, it was difficult for Baidu to find such a large-scale amount of funds to take over, and it was difficult for Baidu to return in a short period of time as a whole.

The above-mentioned person believes that "the safest solution for Baidu is that Baidu is still in the U.S. capital market, but it splits some of its core assets and packages them into the A-share market. Iqiyi is a high-quality asset of Baidu and a compromise choice for Baidu."

As the strategic emerging board policy becomes increasingly clear and the launch time is determined, the certainty of iQiyi's return to the strategic emerging board will increase significantly. According to a person familiar with the matter, senior executives of the Shanghai Stock Exchange have visited a number of technology companies and discussed cooperation possibilities with many companies.

Ant Financial has also frequently introduced strategic supporters this year. The National Social Security Fund has invested in Ant Financial, accounting for 5% of the shares. Other shareholders include PICC, China Life Insurance, China Development Finance and Postal Savings Bank.

Analysts said that the valuation of Ant Financial's first round of financing is most likely between US$30 billion and US$35 billion. Jing Xiandong, president of Ant Financial Services, also recently said,"Ant Financial Services has basically completed its first round of financing and will go public at an appropriate time."

Editor: vian