The core of the registration system is as long as the materials provided by the securities issuer are not false, misleading or omitted. The representatives of this distribution system are the United States and Japan. This system has the highest degree of marketization.
When applying for issuing shares, the issuer of the stock issuance registration system must declare all kinds of public information to the securities regulatory agency completely and accurately according to law. The duty of the securities regulatory agency is to formally review the comprehensiveness, accuracy, authenticity and timeliness of the declaration documents, leaving the quality of the issued company's shares to the market to decide, without substantive review and value judgment of the issuer's qualifications.
Extended data:
Principles and significance of stock issuance registration system;
Principle: Stock issuance does not need approval, but it must be publicly issued and registered in accordance with the requirements of the Securities Law and the Listing Rules.
Significance: under the registration system, stock issuance is carried out through inquiry system.
1. Issuers and sponsors need to determine the price-earnings ratio range of stock issuance before starting stock issuance.
This is equivalent to handing over the risk of stock underwriting to the market and handing over the market game of enterprise valuation to sponsors and issuers, so there will be no problem of high P/E ratio of new share issuance.
In overseas markets, the P/E ratio used by IPOs is generally 8 to 12 times. If the issuer and the underwriter reach an agreement on this scope, they can start issuing shares and conduct roadshows.
2. The market demand for stock issuance is determined by the results of roadshows. Roadshow is actually the promotion process of stock issuance. Under the guidance of the sponsor, the issuer meets with potential institutional investors one by one to introduce the contents of the prospectus, mainly introducing the financial status and risks of the enterprise, the pricing of new shares and the future growth space of the enterprise.
Institutional investors bid for stock subscription according to the situation of roadshows. The bidding process is also the process of opening positions for new share issuance and subscription, and the number of stock subscriptions under different P/E ratios can be summarized. Therefore, some people translated the stock issuance inquiry system into the stock issuance opening system.
3. The issuer and the sponsor negotiate to determine the final price of the new share issuance according to the results of the roadshow, so as to ensure that all shares can be placed and there will be no failure in the issuance; It also meets the requirements of issuer financing.
Baidu Encyclopedia-Stock Issuance Registration System