On December 4, 2013, the Shanghai Stock Exchange (SSE) holds a symposium themed with “Implementing Requirements of 3rd Plenary Session of the 18th CPC Central Committee (the 3rd Plenary Session for short), Reforming the New Share Issuance System”, in order to implement the requirements put forward at the 3rd Plenary Session and those for the reform of the new share issuance system, as well as better serve the real economy. Attending the symposium are to-be-listed companies (from Shanghai, Zhejiang Province, and Jiangsu Province) in the industries of biomedicine, online media, information service, as well as emerging and traditional manufacture, which compare notes on the opportunities and challenges brought about by the 3rd Plenary Session and the reform of the new share issuance system for companies’ listing.
The to-be-listed companies say that the 3rd Plenary Session, a proclamation of propelling the all-round reform and a strategy for Chinese nation's great rejuvenation, will exert profound influence on the growth of China’s economy and bring about unprecedented opportunities for enterprises. First, the country will attach more importance to adjusting industrial structure and propel the tertiary industry, which will contribute to providing more opportunities for the growth of emerging industries such as the online media industry and the information service industry. Enterprises’ growth should conform to the orientation of the country’s industrial development, and the space for emerging industries’ development will be broadened in the future; second, diversified ownership structure will be more conducive to drawing on each other's strength and reaching a win-win situation for the capital forms with diversified ownerships, and it will contribute to maintenance and appreciation of values as well as improvement of competitiveness for state-owned assets. The state-controlled enterprises with traditional and undiversified property-right structure should conform to the reform, explore diversified ownership structure, and vitalize themselves; third, systems should be used to protect environment, which will boost the development of the new energy industry. The 3rd Plenary Session stressed environmental protection, put forward the requirement of “Speeding up the construction of eco-civilization system and building a complete eco-civilization system” and that of accelerating technical innovation and industrial upgrading in the new energy field, so new energy companies and environmental protection enterprises will have great potentials in the future; fourth, traditional industries’ sustainable growth depends on innovation in technology and management. Besides, a broad space will be provided for enterprises’ reforms in the process of industrial upgrading, and they should be further vitalized for the development of the country’s pillar industries.
All the participating enterprises hold that innovation is of great significance for all industries’ growth, while it is driven by capital, especially the multi-tiered capital market. The reform of the new share issuance system has been further fueled since the 3rd Plenary Session. Noticeably, the promotion of the reform of the registration system of share issuance will considerably contribute to increasing the proportion of enterprises’ direct financing, and the capital market’s role in supporting the real economy will be more apparent and urgent. Enterprises’ further learning and understanding the requirements of the 3rd Plenary Session is to seize the chances brought about by the reform, recognize the rules of the market development and the special functions of the capital market, take reinforced rationalization of enterprises and their returns to the society and investors as ultimate goals in relevant industries.
The SSE said that enterprises’ growth is closely associated with reforms, and the reform and innovation of the capital market will contribute to the growth of the real economy. To-be-listed companies have got valuable chances with the convention of the 3rd Plenary Session and the promotion of the market-oriented reform of new share issuance. The promotion of the reform, and the simplified administration, as well as the decentralization of authorities put forward at the 3rd Plenary Session will thoroughly specify the relation between the government and the market. The capital market will have great potentials in the future as markets should play decisive roles in allocation of resources. Under the backdrop of the new round of reform and development, the reform of the registration system of share issuance put forward by the China Securities Regulatory Commission (CSRC) has given a general goal for the new share issuance reform, and issuance and listing of companies will further adhere to marketization and legal construction. Moreover, the SSE will vigorously implement all the requirements of the CSRC for relevant reforms, make full preparations for the issuance reform, and provide supporting services for issuance, listing, and information disclosure, in a bid to boost the new round of reform.
