IPO inquiry system will make major adjustments.

<P> China Securities Regulatory Commission announced yesterday a "securities issuance and underwriting management approach," the draft shows, IPO Inquiry program from four major adjustments in the mechanism for further inquiry on the basis of norms, the securities issuance process .shortened significantly. .</ P> <P> "management approach" focuses on the IPO of the inquiry, and other aspects of pricing and placement were standardized, four aspects will be a material adjustment to the existing inquiry process. .</ P> <P> First, the SME board in Shenzhen Stock Exchange listed company, the initial inquiry through direct pricing, the issue of small and medium enterprises will be reduced 4 days. .In the Main Board listed company must go through a preliminary inquiry and accumulated bidding price inquiry in two stages, no longer mandatory for all companies go through two stages of inquiry. .</ P> <P> Second, under the net total of the current bidding mechanism with the online purchase step by step adjustment, the provisions of the offline subscription simultaneously with the online purchase. .The institutional arrangements with the Hong Kong market, the same public offering process, distribution process than the current procedure can be shortened two days, the A shares, H shares issued by companies with simultaneous set prices, while listing is very important. .</ P> <P> inquiry is to require all three objects can choose whether to participate in the initial inquiry, consignee may not refuse to participate in the initial inquiry inquiry objects; not involved in the initial inquiry and the inquiry objects offer an effective, .shall not participate in the tender inquiry and accumulated under the placement. .After the initial inquiry, the inquiry objects to provide an effective offer less than 20 (the number of public offering of 4 million shares of stock over the inquiry objects to provide an effective offer less than 50), the issuer and the underwriter shall determine the issue .price, and distribution should be discontinued. .</ P> <P> which is conducive to enhancing representation of price, the market will help strengthen the constraints on the issuer. .</ P> <P> Fourth, the provisions of the company IPO issue size of more than 4 million shares, the stock can be rationed to strategic investors, subject to holding lock for 12 months or more, no holding period after release .limit the number of shares shall not be less than the number of shares outstanding by 25%. .This is conducive to attracting long-term incremental funding into the stock market, investors will help to improve the structure, and help alleviate the financial pressure on the market, stability, investors expect a smooth distribution of large capitalization stocks listed on an important role. .Also, you can use "over-allotment option (green shoe)" mechanism. .Prior to the Commission with reference to the specific implementation of the release of "over-allotment option pilot views." .</ P> <P> "management approach", the lead underwriter's own business may not participate in the inquiry in this issue of shares, offline and online issue of the Placing; lead underwriter collective asset management, securities and other investment products management plan .can participate in the online issue, but shall not participate in inquiry and rationing. .Existence of the issuer or underwriter with the actual control object relations inquiry shall not participate in this inquiry issued shares, offline placement, you can participate in online distribution. .</ P> <P> "management approach" also defined the relevant inquiry objects proportion of the stock placement, public offering of 4 million shares the number below, placing the number should not exceed 20% of the total issued; on 4 million shares .above (with 4 million shares), the placement should not exceed the number of placements to strategic investors, the number remaining after the release of 50%. .</ P> <P> "management approach" from now on till 15th of this month to the public for comments. .</ P>.