First of all, listing in the United States can get a higher valuation. In one of the largest capital markets in the world, American investors are full of confidence in the development prospects and potential of China enterprises and are willing to pay a higher premium for them. Secondly, overseas listing can enhance the visibility and reputation of enterprises. As one of the global financial centers, the United States has authoritative financial institutions and media, which can bring greater exposure to China enterprises and enhance their competitiveness and influence in the international market. In addition, overseas listing can also get more capital support. American investors are keen on high-growth enterprises and are willing to provide them with more financial support and adequate capital guarantee for their future development. Finally, overseas listing can improve corporate governance. The United States has a strict securities supervision system and standardized market operation mechanism, which enables China enterprises to accept stricter and standardized supervision, improve corporate governance and transparency, and lay a solid foundation for future development.
To sum up, China enterprises choose overseas listing, with the United States as the first choice, not only to gain more capital support, but also to enhance their popularity and reputation, obtain higher valuation and improve corporate governance.
Companies suitable for overseas listing?
Some companies face obstacles in listing in China, because the domestic listing threshold is high and they can only choose to list abroad. This is because there are so many listed companies in China that some companies can't wait in line. If these companies need to continue to go public for financing, they can choose to issue shares overseas.
In addition, some companies' businesses are mainly concentrated in foreign countries, and choosing to go public abroad can improve the influence of the company and contribute to the growth of performance. In addition, some companies need to develop overseas due to the influence of the country's going global policy, and it is more appropriate to choose overseas listing.