Pass Xiaomi Alibaba and other eight companies to list the first batch of CDRs

The mainland depository receipts will be issued as soon as June of this year. It is believed that mainland companies including Alibaba, Baidu and Netease, which are listed overseas, are expected to return to A shares in the form of CDRs. Currently, they are promoting initial public offerings in Hong Kong. The (IPO) millet is expected to become the first company to issue CDR.

Xinhua News Agency reported that under the policy promotion and call, there is currently a wave of unicorn enterprises that have been listed overseas. They are eager to run to A shares.

The sources pointed out that the list of unicorn enterprises that have returned to the A-share market has been determined, including Alibaba, Tencent, Baidu, Jingdong, Ctrip, Weibo, Netease and Hong Kong-listed Sunny Optical.

It is understood that the current overseas listed companies, including Baidu, Tencent, Jingdong, Netease, Sogou and other companies, all expressed their willingness to return to the Mainland A-share capital market.

CICC estimates that the market value of overseas land-based companies will be approximately US$4 trillion (approximately NT$120 million), and the four new types of companies will account for approximately 42%. If valuations of unlisted unicorns are added, the market value is expected to reach 2.3 trillion US dollars (about NT $ 69 trillion) of the company is expected to land A shares.

Xiaomi Technology recently submitted a listing application in Hong Kong. This will be the first public offering of the world's largest technology company this year. The market has been continuously listed on the mainland market after Xiaomi was listed in Hong Kong and became the first to use the CDR format.

According to Orient Securities, the main point of the "CDR Opinion" before the mainland's State Council is that red-chip companies return to the mainland securities market, and the instruments of return include IPO and CDR.

Generally speaking, such red chip companies refer to enterprises whose main business is in the mainland, but whose registration place is overseas. Two types of enterprises will be included in the pilot: First, overseas listed companies that meet the requirements; Second, the development is more mature. Unlisted red-chip companies meeting the requirements of the scale may include ant gold clothes, millet, drips, etc.

Analysts believe that the introduction of the CDR will undoubtedly remove barriers to the return of A-shares to leading companies in the new economy, and mainland China A-shares will also emerge as true network leaders.