Galaxy Technology Empire

If we say that starting from February 2019, holographic devices are sweeping the world.

Then February 2019 was also the beginning of the delisting of a Dongtang company from the MiLijia stock market.

A large number of domestic Internet companies have taken the initiative to apply for delisting from the three major stock markets.

At present, there are 223 companies listed in Dongtang in the United States (excluding companies that have been delisted), and a total of 227 stocks have been issued.

So how many listed companies are there in Milijia?

There are nearly 3,000 listed companies on the New York Stock Exchange. Generally, companies listed on the New York Stock Exchange can be considered relatively good listed companies.

As for the Nasdaq we often hear about, this stock market is equivalent to the domestic small and medium-sized board and GEM, with nearly 4,000 companies on it.

However, new companies are listed every day and some are delisted every day, so the number is not very accurate.

Therefore, there are about 7,000 listed companies in MiLijia.

Among domestic companies listed on MiLijia, Internet companies account for the largest share.

Alibaba, Qiandu, Sina, 360, NetEase, Sogou, Shanda, and Jingdong are all listed on Milijia.

So why are domestic companies keen to list on the Milijia stock market?

When a company is listed in China, its valuation is several times that of a company listed on MiLijia. Of course, the funds it can raise are several times that of foreign companies. Isn’t the purpose of listing a company to raise funds?

With so much capital raised domestically, why are there no foreign companies listed in the country, but many domestic companies have come to MiLijia to go public?

It’s really not that foreign companies don’t want to come, but that they can’t meet the requirements, and even if they do, they can’t afford the time, which is a bit heartbreaking to say!

The difference between listing on the Mi stock market and domestic listing:

The first time cost is above.

MiLijia's listing is based on a registration system. It takes less than 10 months to complete a set of procedures, and it can be completed in about 4 months as quickly as possible.

In China, the average was basically 30 months in the past. If you are not lucky, it is possible to wait three to five years.

You must know that a company is in a period of rapid development only a few years ago. At this time, the company's financial data may change drastically every year.

If a company is listed in China, if it takes two or three years, it is likely that the listing data will have to be revised, which will take time to find an audit. Whether to slow down the development speed to cater to the data, or to find an audit to modify the data, both are detrimental to the enterprise.

In addition, a company needs financial support most during its period of rapid development. Obviously, in this regard, the MiLijia stock market is doing much better than the domestic market.

The second is the listing threshold.

MiLijia's stock market listing focuses on the future, while in China it focuses on the past.

This is a very important point that restricts many domestic companies from going public in MiLijia. Domestic listings require sustained profits in the past three years. However, MiLijia does not have this requirement, as long as it can make profits in the future.

This is the case for Qiandu, Jingdong, Penguin, iQiyi, etc. In the early stage, they only focused on occupying the market and did not care about profitability. This stuck outside the door of the big A, and during this period, the companies that often need the most funds are support.

The third is the stock market system.

MiLiJia allows the same shares to have different rights (Alibaba went public with MiLiJia because of this, and Wheat went listed in Hong Kong after the Hong Kong stock system changed). There is no legal provision for the lock-up period, it is just a stipulation similar to an agreement, which is usually half a year.

Unlike China, which has express regulations, it is generally three years, and the proportion of tradable shares issued in the listing is also expressly stipulated.

There are many more regulations of this type, which impose great restrictions on enterprises, but Mi Lijia is relatively loose.

The fourth is the regulatory system.

Compared with China, MiLijia's supervisors only perform supervisory responsibilities, and foreign shareholders can play a role in inspection. As long as the company has problems, a small shareholder can sue the listed company.

And many lawyers like to take on this type of lawsuits for free. The greater the reputation of the company, the more lawyers like it, provided you have evidence.

If you win the case, you will be rewarded and have a reputation, which objectively serves as a supervisor.

Fifth, the investor structure and trading system are different.

The MiLijia stock market has a history of 200 years. The investor structure is more reasonable. More than 70% of the shares are operated by institutions. It pays more attention to fundamental research and focuses on value investment.

Even retail investors mainly invest in long-term investments and very few engage in short-term speculative transactions.

In terms of trading system, everyone knows that rice stocks are a long and short two-way mechanism, and T+0 has no price limit.

In this environment, the stock price can quickly find a reasonable valuation range, which is conducive to the stable development of the company.

The sixth aspect is openness and influence.

The MiLijia stock market is an international market where companies from all over the world can be listed and free funds can be invested.

After MiLijia is launched, it will gain higher visibility than domestically.

Moreover, due to its large size, complete system, stable economy and relatively stable stock market environment, the MiLijia stock market can maintain a bull market pattern for a long time, which is undoubtedly a fatal benefit for the financing of listed companies.

This is also the reason why many domestic Internet companies choose to go public on Milijia, regardless of the problems with domestic A-shares.

But this time Dongtang Internet Company chose to delist, not for A-share listing, but for privatization.

In fact, some domestic companies listed on the Mi Stock Exchange have reached the point where they have to delist.

For example, in Alibaba Group, Tianhan Group's shareholding ratio has risen to 33.7%. Adding the shares held by other major shareholders, the shareholding ratio of major shareholders has almost triggered the delisting mechanism of rice stocks.

Alibaba, Sanxin, and Taiji Electric announced their privatization and delisting from the US stock market at the end of February.

Although the management of Mi Stocks repeatedly tried to persuade them to stay, the three companies still took the weight and announced their delisting plans.

This incident immediately became a trigger, and a large number of companies closely related to the Galaxy Consortium chose to privatize and delist.

The main reason for triggering a chain reaction is that rice stocks have been booming in the past two years. Among rice stocks, Amazon, Microsoft, Google, Intel and other technology stocks with a market value of more than 100 billion have almost halved their market value.

Except for the acquisition of Sydney, which has come back to life, other stocks are now plummeting, with semiconductors and the Internet being the most serious.

Currently, Amazon ranks first in market value in the US market, followed by Sydney in second place. The stocks of some other technology companies are half-dead.

Taking into account the future situation, the MiLijia stock market is likely to remain depressed for some time. Many domestic companies listed on the Mi stock market have chosen to buy back shares or privatize and delist.

It can only be said that the delisting of Alibaba, Sanxin, and Taiji Electric has strengthened the minds of many people.

…

Hangzhou West Lake, Alibaba headquarters.

"Jack, the management of the A-share Securities Regulatory Commission met with me yesterday to test whether we have the idea of ​​listing on the A-share market." Zhang Xiaoyao said with a wry smile.

Majek raised his eyebrows: "We are not considering listing on A-shares for the time being."

After all, Alibaba’s shareholding structure is destined to be difficult to list in A-shares. After all, A-shares require the same shares to have the same rights. Once listed in China, Alibaba’s management may lose control of Alibaba Group. This is unacceptable to them.

Although Tianhan Group controls more than one-third of Alibaba's shares, Tianhan Group does not have the ability to control Alibaba and only has financial supervision rights.

Even if it is re-listed, Ali may choose the Xiangjiang stock market. However, due to the recent turmoil in Hong Kong, Ali is not considering re-listing for the time being.