Research On Risk Prevention Of Backdoor Listing Of Enterprises In Education Industry

On October 18,2019,the CSRC issued the "Decision on Amending the"Administrative Measures for the Restructuring of Major Assets of Listed Companies ",which simplified the recognition criteria for reorganization and listing,allowed the reorganization and listing of high-tech assets on the GEM,and restored the restructuring and listing package Financing.The implementation of the new "Administrative Measures on the Major Asset Reorganization of Listed Companies" has improved the diversified exit channels and clearing methods of the capital market in line with China’s national conditions,which is conducive to improving the quality of listed companies.The number of backdoor listings will definitely increase in the next few years.In November 2016,the "Law of the People’s Republic of China on the Promotion of Private Education" was revised,marking that the profitability issue will no longer be a restriction for educational enterprises to access the capital market.The state’s encouraging attitude towards the listing of private education companies has become obvious,but as related supporting regulations and measures have not yet been implemented,the compliance issue of education companies’ access to the capital market has not yet been completely resolved.In this context,the requirements are relatively loose,and the backdoor listing with a fast listing process has become the best choice for China’s education companies to list A shares.Therefore,in this critical period of institutional reform,it is of great practical significance to provide rational recommendations for backdoor listing of educational private enterprises and optimize listing strategies.This article selects two leading companies in the same industry,Huatu Education and Zhonggong Education.By analyzing the motivation and case history of the two companies’ A-share backdoor listing,the main risks and risk prevention measures of Huatu Education and Zhonggong Education backdoor listing Origin-oriented,detailed classification and analysis.Then,through a comparative analysis of the qualifications and main decisions of these two companies,this article summarizes the main risks and corresponding risk prevention measures of education companies in the process of backdoor listing.Finally,this article puts forward some suggestions for the backdoor listing of educational companies,thinking that education companies should first improve their own governance mechanisms,carefully select companies and backdoor solutions during the backdoor listing process,strictly abide by relevant national laws and regulations,and perform detailed and detailed information Disclosure,can successfully achieve the goal of backdoor listing.