Category: Money tips Release Date: 2006-07-16
Recently, the Shanghai and Shenzhen exchanges were issued the "Shanghai Stock purchase online distribution of funds to implement measures," "money purchase online pricing public offerings of stock implementation method," so it means the future IPO, public offering issuance of such refinancing will take the cash purchase method. Shanghai and Shenzhen is expected to soon issue new shares will be published a notice can be seen, the cash purchase of new shares eraċ?
For such IPO Initial Public, some medium and small investors do not understand this. A common argument is that the former lock-stock can also be placing new shares worth the potential benefits of "subsidies" some, but now in cash, purchase methods, which means this kind of "subsidy" has ceased to exist. Moreover, since the liberalization of the maximum subscription has kept a number of large funds have priority access to purchase a competitive advantage.
In this regard, I think this "do not understand the" feelings are understandable, after all, I also have friends in Zuogu Piao, and in the course of the market value of the placing of new shares due to receive 1,000 shares of the available risk-free return of several thousand dollars. But precisely because of this, I feel the market value of the cash purchase to replace the placing of the historical trends. Because the future of the IPO is to be achieved in the context of full circulation, corresponding to the inquiry in the IPO process, the final issue price has been determined largely reflected the institutional investors recognized the value of the business degree. In other words, the issue price and the secondary market opening price spreads will greatly reduce the past due to the split share structure and determine the issue price-earnings ratio of 20 times the upper limit will be canceled, which means that the myth will be a result of tradable shares unbeaten background new shares under the IPO inquiry mechanism was broken.
The reason is simple, if the inquiry after the IPO issue price and the intrinsic value match, then there would be no secondary market opening price premium is too large. Meanwhile, the new shares inquiry, issuing up to listing, in theory, should be half to one month's time period, if in the meantime, the broader market wide shocks occur, then the number of ordinary shares texture is very likely the listed transactions opening price appears below issue price phenomenon. This shows that the abolition of the market value of placing the protection is actually a reflection of the interests of small and medium investors, especially for those who still believe the myth of new shares will continue unbeaten small and medium investors protection.
Moreover, the future market is tradable, after a one-year lock-up period, the part of the sale of corporate shares of the restricted shares will also enter the unrestricted flow of pedestrians. Is also the outstanding shares, if the market value of placement remains the same, then this part of the market value of corporate shares will also participate in the Placing. That being so, the interests of small investors will also be a result of legal person shares account (of course, at this time is the outstanding shares of account) being dispersed and erosion. In other words, the original in order to protect the interests of small investors in the market value of the Placing has actually lost market foundation, so medium and small investors should understand the reasons why the cash purchaseċ?
Because of this, the cash purchase of new shares in the future the process, also need to find a secondary market investor-owned high-quality stocks eye. Because if you do not study new shares texture, while the new shares were each purchase, and very likely "in the ambush," that some texture by the issuance of new shares in general too high a price in the listing below the issue price. At the same time, investors also a stage for the future market trend is to be concerned about, because once the broader market fell some stage in the future, especially the purchase of the IPO listing before or broader market slump, then not only would be greatly diminished rate of return, and there will be new shares opened low and below the issue price may appear.
