Case Study On The Listing And Effect Evaluation Of Red-chip Enterprises On The SSE STAR Market ——Take SMIC Listing SSE STAR Market As An Example

Compared with the overseas capital market,domestic capital market started late,early domestic capital market had a high market access conditions and strict auditing system.Many Chinese companies were difficult to meet the domestic listing requirements at that time,so they chose overseas capital markets in order to get listed as soon as possible to meet the financing needs of enterprises.In recent years,China introduced a number of policies to optimize listing system,improve the financing structure and refine regulatory policy,the domestic capital market is becoming more and more perfect.And at the same time,the shortcomings of overseas capital markets are becoming more apparent,such as the cost of maintaining the listed is high and the professional short seller malicious short more and more frequently.With the establishment of the SSE STAR Market in 2019,many technology innovative red chip enterprises are more eager to return to the domestic capital market.In this paper,the red-chip companies SMIC listed STAR market as an example,which is the first STAR market A + H shares company.On the basis of systematic review of domestic and foreign literature on the motivation,path and impact of red-chip enterprises' return to Chinese capital market,by understanding the relevant background and listing conditions of SMIC's SSE STAR Market listing,analyzing the regression motivation and listing process of SMIC in detail,making a comprehensive and detailed analysis and evaluating from the three aspects of market value,market competitiveness and financial capacity on the effect of SMIC's return to listing,and draws the following conclusions:The main reason for SMIC to return to the SSE STAR Market listing is that the Sino-US technology war has entered a decisive period,China implements a technology innovation strategy and the SSE STAR Market implements new policies;SMIC intends to improve liquidity,meet the financing needs,improve market valuation,strenthen market value management,improve the quality of the company and promote the development of enterprises through the returning to the SSE STAR Market listing.After SMIC returned to the domestic capital market successfully,its valuation has significantly increased,and its PE ratio was higher than comparable.Its investment in research and development was increasing,its research and development capabilities has continued to grow,its brand awareness and brand value went up,its market share has risen steadily.The company has successfully turned losses into profits,improved the efficiency of asset management,and developed fast,showed strong development ability.With the further reformation and improvement of the domestic capital market,it is an inevitable trend for red-chip enterprises to return to the domestic market.In the future,more and more red-chip enterprises will return to domestic capital market.SMIC's successful experience in returning to the domestic capital market and listing on the SSE STAR Market not only enriched the research on the return of red-chip enterprises,but also provided practical experience for other red-chip enterprises.