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www.LegiEX.com: What information can be seen from the first merger and reorganization of Science and Technology Board

www.LegiEX.com: What information can be seen from the first merger and reorganization of the science and technology board, the title of "the first merger and reorganization of the science and technology board" has brought two daily price limits for Huaxing Yuanchuang ’s stock price, and four transactions The stock price rose more than 50% on the day, breaking through 50 yuan / share, which reversed the decline of the stock price in the previous period. On the evening of last Friday, Huaxing Yuanchuang disclosed the merger and reorganization plan, and planned to purchase 100% equity of Oriton at a transaction price of 1.15 billion yuan, of which 70% was paid by issuing shares, and the remaining 30% was paid in cash.

After winning the title of "Technology Board First Share", Huaxing Yuanchuang once again became the first "crab-eating" company. The underlying assets of Eurocom, as well as two net worths with a return on net assets of up to 128% and a net profit of more than 70 million yuan, as well as the popularity of the wearable device market, are to allow investors to re-imagine the future prospects of Huaxing Yuanchuang. , The main reason for chasing the company's stock price.

However, the stock price trend of Huaxing Yuanchuang in the short term is mainly affected by market sentiment, and it is not a complete reflection of the company's fundamentals. Whether this merger can help the company improve the success of science and technology is the key to determining the company's future trend.

The merger and acquisition will become a shortcut to improve performance, but whether this shortcut leads to the improvement of the quality of listed companies, it still needs time to test.

On November 29, 2019, the Shanghai Stock Exchange officially issued the "Shanghai Stock Exchange Science and Technology Board Listed Companies Major Asset Reorganization Review Rules".

The M & A and restructuring rules of the Science and Technology Board have relaxed the listed company ’s competitiveness and expanded its scale in many ways. However, it has raised higher requirements for the quality of the science and technology attributes of the underlying assets. In other words, can it cooperate with the science and technology company ’s main business? The synergy effect of the business has become a major factor in the recognition of the underlying assets.

The hard technological strength of the underlying assets can determine whether the listed company can achieve transformation and upgrade through mergers and acquisitions. Only one week later, the first M & A project of a listed company on the Science and Technology Board was officially released. As the first M & A and reorganization of the Science and Technology Board, the market inevitably paid too much attention to this, and raised various doubts for the company to answer one by one.

At the core of the problem is how much of the technology technology of Oricom, as Huaxing Yuanchuang said, can reflect the synergy effect and promote the two parties to jointly develop a new future of intelligent equipment in the integration.

According to regulations, the review time for issuing shares to purchase assets is limited to 45 days. Soon after, the Shanghai Stock Exchange will send an inquiry letter to the company, asking it to make a reasonable explanation of the possible problems in the project.

The company has a total of two months for answering questions, and has strived for the approval of the Shanghai Stock Exchange. Only after it is approved can it be reported to the China Securities Regulatory Commission to perform the registration procedure. With the first, there will naturally be the second and third, the merger and reorganization of the science and technology board will gradually appear in the future. However, since the Science and Technology Board allows the company to go public without profit, it shows that the market has sufficient tolerance for the company ’s current performance. Investors are optimistic about the company ’s future development prospects and the ability of the Science and Technology Board company to In the core areas of their own technology to achieve the ultimate confidence.

Mergers and acquisitions can be used as a tool for companies to break through technical bottlenecks and lay a competitive advantage. However, science and technology startups also aim to improve performance and maintain market value as the main purpose of mergers and acquisitions, in order to relax the practice of core technology, that is the end of the book.

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