What does backdoor listing mean? Acquisition of shares of listed companies for indirect listing.

Backdoor listing refers to the process in which an unlisted company indirectly goes public by acquiring the equity of another listed company. The acquired companies are usually listed companies with poor management. After being acquired, it will be transformed and renamed. Usually, the review process of backdoor listing is relatively simple and the review time is not long, so some companies will go public by backdoor in order to go public as soon as possible. What does the backdoor listing mean? Related content.

What should I pay attention to when listing on the backdoor?

1. market value: the market value of shell companies is the first choice to evaluate shell quality, and it is also the focus of backdoor listing;

2. Scale of share capital: The smaller the share capital, the higher the share price, the better, provided that the market value of shell companies is clear. Small share capital means high earnings per share after reorganization, which is easy to be recognized by shareholders and regulators;

3. Is the shell clean? Whether the shell is clean or not has two meanings, the first is whether there are liabilities or hidden dangers, and the second is whether the separation can be achieved smoothly. Generally speaking, shell companies intend to give up control and accept restructuring, mostly because of their own operational difficulties and need to borrow money from others to save the crisis. We should also pay attention to whether shell companies have hidden debts, so it is very important to pay attention to the risks of shell companies themselves.

4. Relocation: Backdoor parties pay special attention to backdoor transactions, which is very important for enterprises or local governments. Many backdoor companies are supported by local governments, and they will make a guarantee to move to the local area after listing on the backdoor;

5. Understand the pros and cons of the shell objectively: Backdoor trading is very important to identify the pros and cons of the shell, but we still have to consider our own conditions. The best deal is not to find the best shell, but the shell that suits you best, so choosing a shell is also an extremely important consideration for backdoor listing;

6. Other factors: there are also transaction factors to evaluate the quality of the shell, that is, the trading demands of listed companies or original shareholders. For example, whether the original shareholders have the intention to leave, whether they need to pay the shell fee, and whether they are willing to undertake the asset business of listed companies.

How to operate backdoor listing

1, define the backdoor object and make evaluation and judgment. Among them, evaluation and judgment are the most important parts in the acquisition. It is necessary to evaluate and analyze the various situations of the shell company from all angles and work out a restructuring plan, and then apply for approval after the two parties sign the contract through consultation;

2. Enterprises need to carry out corresponding publicity and public relations activities, and need to carry out corresponding public relations activities with relevant departments (including China Securities Regulatory Commission, stock exchange, local government, state-owned assets management department) and company shareholders or management, formulate a multi-faceted publicity and public relations relationship plan, and conduct publicity in front of the media;

3. Reorganize the board of directors: use the appointment of new directors to gain the actual control of the target company and formulate anti-merger plans to control the target company;

4. Inject high-quality assets into the target company to realize asset realization.

What is the significance of backdoor listing? Relevant knowledge points are for reference only.