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Why do well-known enterprises like Arowana issue shares so late?
1. Whether a company is well-known is not necessarily related to whether or not it goes public and when. Among the well-known domestic enterprises, many founders have chosen the option of not listing for the time being, such as Huawei, DJI, Laoganma and other well-known enterprises. If a company chooses to go public, although it is objectively more capable of financing from the capital market, it may not be a good thing for the original controlling shareholder of the company from the perspective of equity income.

Similarly, the time when a company goes public is not necessarily positively related to its reputation. For example, as a leading enterprise in the chip industry, SMIC only landed in the A-share market in 2020, while in the chip industry, there were at least 100 companies listed before SMIC. But this fact does not prove that SMIC is an unknown enterprise in the industry. The time for a company to go public depends on its important shareholders' consideration of listing financing, and it is also related to the overall capital market environment. Relatively speaking, in the bull market environment, the IPO work in the whole market is progressing smoothly and the issuance speed is relatively fast. In the weak environment of relative bear market, the IPO work in the whole market is relatively slow, and the number of listed companies is relatively small. After all, after a company starts to go public, it has to go through many steps, which may take months or years.

3. In addition, for listed company Arowana, one of the factors leading to its relatively late listing time is its special status. In the A-share market, listed companies with domestic background occupy the mainstream, and the A-share market is mainly a place for China enterprises to raise funds. Arowana Company is not a local company in China. Under the background of domestic reform and opening up, it entered the domestic grain and oil market from Singapore to expand its corresponding business. Therefore, under the same conditions, the regulatory authorities need to make a balanced consideration between it and other China companies.

4. In addition, Arowana Company has no plan to directly list on A-shares at the initial stage of expanding its business in China. And its final choice of A-share listing declaration is mainly a comprehensive factor in the process of gradual expansion of domestic business. Therefore, it is reasonable for it to issue shares late.