New Rules For Delisting: Cancel The Suspension Of Listing And Resume Listing, And Add Quantitative Indicators Of Financial Fraud Delisting

After the implementation of the registration system reform, another important reform, delisting system reform, which has attracted the attention of the capital market, has finally been implemented.

On the evening of December 14, the Shanghai and Shenzhen Stock Exchange revised a number of supporting rules, such as the Listing Rules of Shanghai Stock Exchange, the Listing Rules of Shenzhen Stock Exchange (hereinafter referred to as the "Listing Rules"), the Listing Rules of Shanghai Stock Exchange's science and technology innovation board, and the Listing Rules of Shenzhen Stock Exchange's venture board (hereinafter referred to as "new delisting rules") And solicit public opinions.

The reporter of 21st century economic report noted that according to the delisting situation, this revision can be divided into four types: transaction, finance, regulation and major illegal delisting, as well as active delisting. According to each delisting situation, the corresponding delisting situation and complete delisting implementation procedures are specified in sections, and the indicators for the four categories of compulsory delisting are improved.

Drive out shell companies and zombie Enterprises

So, what are the changes in the new delisting rules compared with those before?

In terms of financial delisting indicators, the Shanghai and Shenzhen Stock Exchange cancelled the single index of negative net profit and operating income of less than 10 million yuan, added a combined financial index of "net profit is negative before and after deduction and operating income is less than 100 million yuan", and cross applies to the financial indicators of the next year after the implementation of delisting risk warning. At the same time, it also makes further strict requirements on the recognition of business income. When calculating the "operating income", it is necessary to deduct the income unrelated to the main business and the income from related transactions that do not have commercial substance.

In addition, the Shanghai and Shenzhen stock exchanges also include audit opinion delisting indicators into the financial delisting type, and cross apply with other financial indicators to further strictly implement delisting.

Dong Dengxin, director of the Institute of Finance and securities of Wuhan University of science and technology, said, "the Shanghai and Shenzhen exchanges have abolished the old system of taking single profit index as the delisting standard. This new delisting system should be tailored for the registration system and the new economy, and its main purpose is to drive out shell companies, leather companies and zombie enterprises without main business from the market.".

In terms of trading delisting indicators, Shanghai and Shenzhen stock exchanges revised the original par value delisting index to "1 yuan delisting" index, and added a market value index that "the daily closing market value of stocks for 20 consecutive trading days is less than 300 million yuan".

Dong Dengxin said that at present, the total market value of A-share listed companies is basically no less than 500 million yuan, and it is difficult to achieve the target of "the total closing market value of 20 consecutive trading days is less than 300 million yuan". "In order to play an important supplementary role in the" 1 yuan delisting "standard, it is proposed to change 300 million yuan to 500 million yuan."

In terms of standardized delisting indicators, two types of situations were added: "information disclosure and standardized operation have major defects and refuse to correct, and more than half of the directors do not guarantee the authenticity of the semi annual report or annual report", and detailed the specific standards.

Cancellation of suspension and resumption of listing

The delisting of major illegal activities has always attracted the attention of the market. In terms of delisting, the quantitative index of the amount of fraud plus the proportion of counterfeiting has been added. Dong Dengxin said, "the compulsory delisting of major illegal categories, from the past vague concept to a clear quantitative standard, is more conducive to judge the severity of financial fraud, and will help to improve the enforcement of compulsory delisting of major illegal categories."

Specifically, the revised quantitative indicators are as follows: "the amount of virtual increase in net profit of listed companies for three consecutive years has exceeded 100% of the amount of net profit disclosed in the annual report of the current year, and the total amount of virtual increased net profit for three consecutive years has reached more than 1 billion yuan; or the total amount of false increase for three consecutive years has exceeded 100% of the total amount of profits disclosed in the annual report of the current year, and the total amount of the three years is total The total amount of falsely increased profits reaches more than 1 billion yuan; or the total amount of false records in each subject of the balance sheet for three consecutive years exceeds 50% of the net assets disclosed in the annual report of the current year, and the total amount of false records in the three years has reached more than 1 billion yuan (if the data involved in the above indicators is negative, the absolute value shall be calculated) ".

In addition, Shanghai and Shenzhen stock exchanges made adjustments in the withdrawal process. First, the suspension of listing and the resumption of listing should be cancelled, and the listing should be terminated if the financial indicators are touched for two consecutive years. The second is to cancel the setting of delisting consolidation period for trading delisting. There is no price limit on the first day of delisting consolidation period, and the trading time limit of delisting consolidation period is shortened from 30 trading days to 15 trading days. The third is to postpone the continuous delisting time point of major illegal categories from the date of receiving the prior notification of administrative penalty or court judgment to the date of receiving the decision of administrative penalty or the effective judgment of the court.

It is worth mentioning that the Shanghai and Shenzhen stock exchanges also set up risk warning boards, including risk warning stocks and delisting stocks, to "reveal the risk warning stocks on another board". The indicators and procedures for delisting of the science and technology innovation board and the gem were optimized simultaneously.

In general, Chen Li, chief economist of Sichuan financial securities, said, "the new rules clearly adjust and supplement the delisting rules, and it is obvious to increase the delisting intensity. In the future A-share market, under the important premise of requiring high-quality development of listed companies, the assessment of sustainable profitability and growth will be more strict, and zero tolerance will be adopted for fraud or insider trading. On the basis of face value delisting, in addition to adding new market value delisting requirements, especially for St type enterprises and enterprises with continuous losses, the delisting pressure is undoubtedly increased. The new regulations further strengthen the delisting requirements and the attribute of market survival of the fittest. "