[Text / Gaogong LED Zhao Hui] The A-share IPO that has been suspended for more than 4 months is finally expected to restart. 28 companies that have started the IPO release process but have been suspended will resume IPO within the year. Among the 28 companies, LED power companies can be included.

On November 6, the China Securities Regulatory Commission announced that it will restart the issuance of new shares and further improve the new share issuance system. In the eyes of the industry, this means that the A-share market has stabilized and its normal financing function is recovering.

The spokesman of the China Securities Regulatory Commission, Deng Wei, said that at the beginning of July, due to abnormal fluctuations in the market, 28 companies that had initiated the issuance process of new shares were suspended, and the first-instance meeting and the review meeting of the first-time enterprises were suspended. At present, the stock market has entered a stage of self-repair and self-regulation, restoring and maintaining a reasonable and moderate supply of new shares, which is conducive to increasing market vitality, enhancing market functions, actively stabilizing, repairing and building markets, and promoting sustainable and healthy development of the market.

Since the relevant rules revision and technical system transformation work require certain preparation time, the CSRC decided to first resume the issuance of 10 new companies that have entered the payment procedures in the 28 companies that were temporarily suspended due to the current system. It has been more than three months since the suspension of the issuance. Before the publication of the prospectus, it is necessary to perform legal procedures such as post-meeting matters and supplementary financial information. It is estimated that it takes about two weeks to prepare. The remaining 18 companies will be distributed to the wholesale bank before the end of the year. At the same time, the CSRC will resume the IPO review meeting and arrange the review progress reasonably.

The most noteworthy thing is that this time, the new share issuance system has been further improved from five aspects. The relevant person in charge of the China Securities Regulatory Commission said that in order to solve the outstanding problems in the current underwriting of new shares, this round-up of the new share issuance underwriting system has made targeted arrangements, mainly including the following five aspects: First, targeting new problems with huge amounts of funds. The new share issuance process will be adjusted. On the basis of the current online market value purchase and offline market value threshold, the provisions for full prepayment of subscription funds at the time of subscription will be cancelled, and the amount of the placement will be determined before the payment is made. Second, in order to simplify the procedures, shorten the issuance cycle, improve the issuance efficiency, reduce the issuance costs of SMEs, and stipulate that the number of publicly issued shares is less than 20 million shares (including) and there is no transfer plan for the old shares, the issue price should be determined by direct pricing. All issued to online investors, no online inquiry and placement. Third, in order to facilitate the underwriters to manage the underwriting risks, it is stipulated that the total number of shares subscribed by online and offline investors can be suspended when the total number of shares subscribed for is less than 70% of the number of public offerings. Fourth, in order to encourage investors to participate in new stock investment cautiously, it is emphasized that the subscription of new shares should be an independent decision-making, risk-taking, and self-financing behavior of investors, and further clarify that online investors should express their intention to purchase independently, and may not entrust securities companies to purchase new shares. The fifth is to establish an online investor subscription and restraint mechanism, which stipulates that online investors will not participate in the subscription of new shares within 6 months when there are 3 consecutive cases of insufficient payment after winning the bid.

On July 4, 2015, in order to maintain market stability, the CSRC announced the suspension of the IPO. 28 new shares originally scheduled to be issued on July 3, 6, 7, 8, 10 were discontinued, of which 10 were issued on July 3. The new shares will be returned to the subscription funds after July 6.

Galaxy Securities believes that the main function of the capital market is to allocate capital elements for economic development through capital flow, of which financing is one of the key functions. At the same time, the issuance of new shares is also an important channel for the improvement of the structure of listed companies in the stock market, which is conducive to the advancement of the structure of listed companies towards the industrial structure in line with social development. The long-term suspension of new share issuance is not only conducive to the improvement of the structure of listed companies, but also weakens the basic financing functions of the market.

Li Huiyong, chief macro analyst of Shen Wan Hongyuan, also said in an interview with the media that such reforms can increase the support of the capital market for the real economy and benefit the long-term healthy development of the capital market.

According to the data, as early as April 2012, Shenzhen Kelik Technology Co., Ltd. (hereinafter referred to as “Kelik”) has already embarked on the IPO road and disclosed the public prospectus, which was disclosed in September of that year. The draft - supplemental pre-disclosure, but not in the same year, in October of that year, A shares began the eighth IPO suspension in history.

After the restart of the A-share IPO in January 2014, Kelik also reopened the listing route, and submitted the initial public offering prospectus to the Securities Regulatory Commission on June 23 of that year.

Kelik is mainly engaged in the development, production and sales of magnetic components such as electronic transformers and inductors, as well as power adapters, power battery chargers and custom power supplies. The main products are magnetic components and switching power supplies.

According to the report, the revenues of Kelik in 2012, 2013 and 2014 were 693 million yuan, 655 million yuan and 743 million yuan respectively; the net profit was 67 million yuan, 53 million yuan and 59 million yuan respectively.

The use of funds raised by Kelik is to invest 178 million yuan in transformer production and construction projects, followed by power supply construction projects with an investment of 132 million yuan and R&D center projects with an investment of 21.1 million yuan.

According to the incomplete statistics of Gaogong LED, there are currently 7 LEDs and related companies including Op Lighting, Xiamen Guangyi, Shanghai Mingzhi, Overclocking III, Sichuan Huati Lighting, Shenzhen Mingjiahui and Huayang Group. .

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