2010 Listed Textile Companies Play The Fate Of Overseas Variations

"China

Overseas capital market has been favored by many domestic companies because of its short time to market and low access conditions.

Statistics show that the financing of overseas listing and the increase in the amount of QFII under last year's domestic enterprises led to a rapid increase in securities investment.

According to incomplete statistics, domestic enterprises listed overseas listing more than doubled in the first 11 months of last year compared with 2008.

There are also active participants in the textile industry: in September 2009, Huagang Polyester Industrial Co., Ltd. was listed on the Singapore Stock Exchange. In March 2008, Changle Liheng nylon Technology Co., Ltd. was listed on the main board of Singapore. In November 2007, Huafeng Textile was listed on the main board of the Korean stock market.

But this year, overseas capital

According to the preliminary judgment of relevant information, the key words of their fate are almost the same: blind expansion, poor management, and capital fragmentation.

The news came in succession, which brought a lot of doubts to the hot overseas listing tide and the "China concept stock".

Risk and

Experts point out that there are several obvious advantages for Chinese enterprises to raise funds overseas. First, the process of overseas IPO can be controlled. As long as it is in line with relevant regulations, the time for listing is expected, without much consideration of macroeconomic environment and other factors; two, overseas refinancing is relatively easy, and it is very attractive to domestic enterprises; three, investors constitute differences, and more institutional investors can easily introduce strategic investors abroad, while domestic investment is mainly retail investors.

"There is no relationship between company failure and the choice of what kind of capital market to go public. Only in those groups who choose overseas listing, some enterprises simply make use of the characteristics of overseas market, such as low threshold cost, relatively low regulation, or because some historical problems do not conform to the listing conditions in the domestic A share market and choose to go overseas for listing, and their enterprises themselves have problems."

Huatai Securities analyst said.

Zhong Dajun, director of the Beijing economic observation and Research Center, further told reporters that the success or failure cases in the selection of overseas listed enterprises were related to the quality of the enterprises to a large extent. If we only entered the mature overseas capital market with the purpose and means of money collection, we were doomed to be eliminated.

A large number of overseas venture capital (VC) capital are very interested in emerging enterprises and growth enterprises, and their enthusiasm is very high. However, their selective investment is closely related to their own quality.

Internal management determines value persistence.

"The fundamental reason for part of the textile industry's failure in the overseas capital market is the internal management of the company."

China and Thailand joint securities textile industry analyst pointed out.

"Enterprise financing, business development, and company performance" are closely related to each other, such as high financing targets, and the actual results are not up to expectations, following the business plan can not be carried out smoothly, the company's performance report will certainly not look good. Three.

Correspondingly, if the enterprise is not well managed after financing, the performance will be damaged, and any problem may make the investor 'vote by foot'.

Zhong Dajun said that enterprises must have good internal management when they have enough space for development.

Relevant data show that Tang long needle spinning and Chinese printing and dyeing problems, and even out of the game is due to internal control failures.

The fate of China's printing and dyeing is a thorough and high-profile relay of capital. With the method of west wall supplementing the east wall, it hopes to go to the United States again with listing money dream and conduct a series of investment behaviors without scientific proof, which leads to the doubling of the risk of enterprises. Finally, under the dual function of domestic macro policy regulation and international financial crisis, the capital chain is broken.

Some enterprises often tend to neglect sustainable development after successful IPO. After the listing, the new management team should continue to develop the company, such as Zhong Da Jun's emphasis on how to go further and better. Only the companies in the benign operation system have the value of continuous financing and the continuous refinancing capability.

40% of the companies listed in Singapore come from overseas. During the boom period, Chinese enterprises accounted for a very high proportion of IPO. They were called "China concept stocks" and were keen on investors. However, after the events of China's printing and dyeing companies, China's concept stocks were quietly away from investors' vision.

The analysis points out that if the image deteriorates and investor confidence is impaired, China's small and medium-sized enterprises will lose their refinancing function.

Precautions must be taken to measure details.

"The perfect listing of an enterprise can be summarized as" heaven, earth, and people ".

Zhong Da Jun admonition said that in addition to good internal operation mechanism and suitable listing place, we must seize the opportunity. The domestic stock market has suffered a heavy setback. Even if the IPO of the better quality enterprises is listed, it may also experience "doomed" doom. Whether it is domestic listing or overseas listing, the textile enterprises in the process of IPO should take full account of the financial market status, stock market trend and economic cycle, and step on the "rhythm" of listing.

At present, there are several families.

For those textile and garment enterprises who are hesitant to list abroad or listed in China, Zhou Jun Sheng, a financial expert, suggests that the most important thing is to see where the business direction is and where to raise funds.

For now, as China is more dynamic in its liquidity as an emerging market, especially for overseas hot money, it may raise more capital at home.

Other experts pointed out that enterprises can conduct relevant tests when selecting the place of listing, such as the location of the customer group, the listing place of similar enterprises, the continuous cost after listing, whether the refinancing is convenient or not.

For those companies that have successfully listed overseas, they should be aware of their responsibilities and pressures. They should not only face the supervision of public investors and institutional investors, follow the regulations of securities supervision at the place where they are listed, but also standardize the development of a relatively complete set of corporate governance mechanisms. Especially after the listing of private enterprises, they will encounter the process of "de familial", and the supervision and control by external force and the development of professional teams can better protect the interests of enterprises.