Research On The Motivation And Effect Of Red-chip Enterprises To Return To A-Share Science And Technology Innovation Board

In recent years,the domestic and foreign capital markets have undergone great changes,and the overseas market environment has gradually deteriorated.However,at the same time,China has introduced a series of favorable policies,which makes the domestic capital market increasingly perfect,and the problem of the return of red-chip enterprises has therefore become more and more hot.Before 2018,red-chip companies could only afford to return to China’s capital market by dismantling the red-chip structure and using an IPO or backdoor listing.However,in 2018,The State Council issued the Notice on Several Opinions on the Pilot Program of Domestic Issuance of Shares or Depositary Receipts by Innovative Enterprises,which agreed that red-chip enterprises would return by retaining the red-chip structure,which widened the way for more red-chip enterprises to return.In 2019,the Shanghai Stock Exchange successfully set up the Science and Technology Innovation Board,which has further strengthened the determination of many red-chip enterprises to return to the domestic capital market.With the continuous improvement of China’s capital market,some red-chip enterprises are trying to return to the domestic capital market.It is expected that more red-chip enterprises will embark on the journey of return in the future,which is the general trend in the current environment.However,the return process is not smooth sailing,and there are still many obstacles for red-chip enterprises to overcome.Therefore,it is of great theoretical significance to study the regression problems of red chip enterprises to improve the regression system of red chip enterprises.As the first red-chip enterprise to return to the A-share science and technology innovation board,its successful return experience not only enriches the theoretical research on the return of red-chip enterprises,but also provides reference experience for high-quality red-chip enterprises seeking to return to the domestic market.In view of this,this paper takes China Resources Micro as the research object,and analyzes the motivation and effect of its regression based on the market timing theory,signal transmission theory,optimal order financing theory and investor cognition hypothesis.First,this paper sorts out the research results on the motivation,path and influence of red chip enterprises.Secondly,the case analysis of China Resources Micro,the first IPO listed on the Science and Technology Innovation Board,briefly expounds the current situation of the semiconductor industry and the return of red-chip enterprises where China Resources Micro is in,so as to have a more clear and comprehensive understanding of the return events of China Resources Micro.Subsequently,the process of China Resources Micro’s return to science and innovation Board and the characteristics of A-share science and innovation Board were sorted out,and the drivers of China Resources Micro’s return to A-share science and innovation Board were analyzed from the perspectives of internal and external motivation.Then analyze the effect of China Resources Micro-regression to science and technology innovation Board from the perspectives of market effect,financing effect,operation effect,innovation effect and comprehensive effect;Finally,summarize the conclusion of China Resources Micro-regression and provide some enlightenment to the red chip enterprises,investors and regulators to return.According to the research conclusion,based on the return to A-share innovation board of valuation premium,internal financing demand,own development needs,reduce listing cost,support of domestic favorable policies and cold of Chinese enterprises listed overseas,the short-term market response is not active,but in the long run,the market response is enthusiastic;the financing effect,operation innovation effect and comprehensive effect are significantly improved.Through studying the motivation and effect of China Resources micro-regression,this paper provides practical and reference significance for the red-chip enterprises and regulators seeking for regression.