Foreign Companies In China Capital Market Ipo Audit

At present, many domestic and foreign companies in the capital market to becomelisted companies, public offerings of stock. Chinese mainland capital market (China’sCapital Market) in the world capital market, the pace of development is obvious, resultingin an increasing number of mainland China companies to become listed companies. Alsoattracted a number of companies listed overseas (Overseas Listed to Companies), theypropose to convert the capital markets, seeking to raise funds on capital markets inmainland China for the development of the company to become the outside to be listed onthe capital markets in mainland China listed companies (Overseas listed to companies, inChina’s Capital Market, referred to as "the OIC"). Such offshore companies in mainlandChina capital market, has gone through the acquisition of reorganization, restructuring,listed declared a placement stage. Certified Public Accountant of the Chinese mainland tohelp its listing, plays an important role, and at different stages in the listing, according tothe Chinese mainland "Enterprise Accounting Standards" and the provisions of relevantlaws and regulations to carry out audit work, and issue a due diligence to adjust the report,the acquisition of the audit report of the net assets of the reorganization, restructuring andcapital verification report, listed on the declaration of the audit report, a placementverification report and other legal documents.As a result of such an offshore company, has just begun to enter the Chinese mainlandcapital market, and certified public accountants for such offshore company to carry out theaudit work and the operation of the domestic company listed in the past, so it would be abig challenge and also opportunity for certified public accountant to achieve a sound auditreport. Based on the survey analysis, comparative analysis, experience summary and othermethods; the paper has taken the lead in research of IPO audit for the overseas listedcompanies in the China capital market.The mainland China adopted by the Institute of Certified Public Accountants toprovide audit services to companies of OIC, both to make such outside companies toachieve the goal of conversion of the capital market, but also make their own accumulatedexperience in related business, increase awareness, and ultimately achieve a win-winsituation.