Xiaomi's postponement of CDR will be a respect for the market

'Millee actively postponed the CDR meeting, which is obviously beneficial for the current 'unicorn hot', 'CDR hot' cooling, allowing the market to calmly face the arrival of unicorns and CDR.

June 19 was originally the day of the Xiaomi Group's CDR issuance meeting. For Xiaomi’s successful meeting, there seemed to be not much suspense in the market. To this end, the market also prepared a 'fastest' for the Xiaomi CDR's meeting. The record will be 'waiting for Xiaomi to pick it up, that is, Xiaomi would only spend 12 days from the release of the CDR prospectus to the CDR.

However, this “fastest record of passing” was finally born. On June 18th, Xiaomi Group submitted the “Application for postponing the convening of the audit committee meeting” to the CSRC. Xiaomi Group stated that after careful investigation, it was decided to implement it step by step. Hong Kong stocks and China Depository Receipts (CDR) listing plan, first issue Hong Kong stocks, and then choose to issue Chinese depositary receipts within China, and apply to the Securities and Futures Commission for deferment of the timing of the trial. Information published on the official website of the China Securities Regulatory Commission on June 19 shows that The China Securities Regulatory Commission respected the selection of the Xiaomi Group and decided to cancel the review of the company’s issuance of the declaration documents by the Issuance Review Committee meeting scheduled for June 17th.

For the current A-share market, this is not the right time for Xiaomi's CDR issuance. In the current A-share market, under the influence of internal and external factors of the market, the stock index has been broken down, and the Shanghai index fell to 3,000 points on June 19. Faced with the recent retreat of the A-share market, if the Xiaomi CDRs are normally issued, they will inevitably bring greater pressure on the market. According to reports, Xiaomi’s financing in the A-share market will exceed 30 billion yuan. A financing amount is even more than 10% higher than the Foxconn fund raising amount previously issued. This will undoubtedly bring greater financing pressure to the current tight A-share market. After all, the current A-share market is facing financial problems. A kind of objective existence, the stock market is mainly a game of stock funds, and the pace of incremental capital entry is always 'slow,' only heard thunder and no rain. Therefore, Xiaomi delayed the CDR meeting, will help ease the current market Financial pressure. This is also a respect for the current market.

Of course, Xiaomi postponed the CDR meeting, but also hoped to make preparations more fully. Although the market generally believes that Xiaomi is very likely to succeed in the meeting, but CDR, whether it is for Xiaomi, or for the A-share market, All of these are new things. Everyone is trying to cross the river by touching the stones. In this context, it is necessary for Xiaomi to do a full job of preparation. It is not a matter of preparation. On the evening of June 14, one week after accepting the Xiaomi Group's application for public issuance of depositary receipts, the China Securities Regulatory Commission made the first feedback on Xiaomi’s CDR issuance application of more than 20,000 words. There were 84 questions in total. There are still many small questions in each big question. Markets are concerned about issues such as gambling on preferred stocks, valuation pricing, industry attributes, and different rights in the same stocks. These are the focus of the feedback from the Securities Regulatory Commission. The preparation and the reply, for Xiaomi, it takes a certain amount of time. Do not rule out this is one of the reasons Xiaomi postponed the CDR meeting.

In addition, Xiaomi's postponement of the CDR meeting will also help cool the "unicorn fever" and "CDR fever" of the current A-share market, allowing the market to calmly usher in the unicorn A-share market, calmly facing the arrival of the CDR. • The unicorn company's A-share listing and unicorn enterprises listed overseas returned to the A-share market by CDR, which is of positive significance for improving the structure of A-share listed companies and improving the quality of A-share listed companies. Things. But if the market is too fanatical, and even took the opportunity to fantasize about the unicorns and the CDRs, this would make unicorns and CDRs a risky business. And that’s why public opinion is also rational. Investors are calling for caution against unicorns becoming poisonous beasts, including the People’s Daily, which also thinks about the heat of unicorns. The article states that unicorn companies should not be less prudent, indicating that they are unicorns. The valuation has irrational valuation phenomenon. Therefore, Xiaomi actively postpones the CDR meeting, which is obviously beneficial for the current 'unicorn hot', 'CDR hot' cooling, allowing the market to calmly face the unicorns and CDRs. arrival.

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