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the review of mergers and acquisitions and restructuring is accelerating.

on september 2, two mergers and acquisitions and restructuring projects obtained registration approval from the china securities regulatory commission. they were china media's issuance of shares and payment of cash to acquire 100% of the equity of jiangjiao media and 51% of the equity of university press; and huaya intelligence's issuance of shares and payment of cash to purchase 51% of the equity of guanhong intelligence.

with the new "nine national policies" emphasizing "increasing the intensity of m&a and restructuring reforms, and taking multiple measures to activate the m&a and restructuring market", the enthusiasm for market-oriented mergers and acquisitions has increased, and more and more m&a projects have emerged.

from a practical perspective, many investment bankers have previously made policy suggestions to securities china reporters, all of whom mentioned that they hope regulators will improve review efficiency to improve the efficiency of resource allocation in the capital market.

according to the reporter's statistics on the review of newly accepted m&a projects by the shanghai stock exchange this year, the average time from "acceptance to review" was 64.3 days, which was significantly shorter than the average of 123 days last year; at the same time, the registration process of the china securities regulatory commission was also faster.

two more merger and reorganization approvals were issued

on september 2, the shanghai and shenzhen stock exchanges each had one m&a and restructuring project approved for registration, namely china media and huaya intelligence. so far, the shanghai stock exchange has approved five m&a projects this year, and the shenzhen stock exchange has approved four.

it is reported that chinese media intends to acquire the 100% equity of jiangjiao media and 51% equity of university press held by the publishing group by issuing shares and paying cash, with the transaction price of 2.271 billion yuan. when talking about the purpose of this acquisition, chinese media said that it aims to solve the problem of competition among peers and reduce related transactions.

in terms of review speed, the chinese media m&a project was accepted by the shanghai stock exchange on june 7 this year, and after a round of inquiries, it was approved on august 9, which means that it took 63 days from acceptance to approval. the project entered the registration process on august 20, and it has taken 13 days so far.

another approved m&a and restructuring project is that huaya intelligent intends to issue shares and pay cash to purchase 51% of guanhong intelligent's equity, while raising 284 million yuan. the overall transaction price of the target company is 796 million yuan. huaya intelligent said that this acquisition will help the listed company to expand its intelligent equipment system in the field of semiconductor equipment.

compared with the time taken by the chinese media project, huaya intelligence took longer. public data shows that huaya intelligence's m&a and restructuring project was accepted by the shenzhen stock exchange on december 30 last year. after one round of inquiries, it was approved on august 2 this year. it took 216 days from acceptance to the meeting. the reporter noticed that it took a long time for listed companies to respond to regulatory inquiries, which lasted half a year. the company's project entered the registration process on august 23, and it has taken 10 days so far.

merger and acquisition restructuring review is accelerating

china securities journal reporters previously learned from interviews that "speeding up the pace of m&a and restructuring review" is the call within the investment banking circle.

an investment banker from a small and medium-sized securities firm in north china once said that they hope to simplify the approval process for mergers and acquisitions, improve approval efficiency, and reduce the time cost and uncertainty of enterprises. an investment banker from a small and medium-sized securities firm in the inland area also mentioned that the review cycle for administrative licensing mergers and acquisitions in the past was generally longer than the market expected, and hoped that the review efficiency could be further improved.

reporters found that the review speed of new mergers and acquisitions and restructuring projects accepted by the exchange this year has indeed accelerated compared with previous years.take the shanghai stock exchange as an example. this year, the shanghai stock exchange has accepted four new m&a projects, of which three projects took an average of 64.3 days from acceptance to meeting. in comparison, the average time from acceptance to meeting for the nine new projects accepted by the shanghai stock exchange last year was 123 days.

some listed companies take a long time to respond to regulatory inquiries, which may cause certain observation bias. if we look at it more closely, from the time a listed company submits the last round of responses to the time it is scheduled to go to the meeting, the average time for the three projects of the shanghai stock exchange this year is about 15 days, while the average time last year was 37 days.

in terms of registration procedures, the two new projects approved by the shanghai stock exchange this year took an average of 9.5 days from submission to registration to registration results, while last year the average was 14.3 days.

the accelerated review speed reflects the regulatory support for mergers and acquisitions. since the beginning of this year, regulatory authorities have frequently voiced their plans to promote market-oriented reforms in mergers and acquisitions and reorganizations to stimulate market vitality.

on march 15, the china securities regulatory commission issued the opinions on strengthening supervision of listed companies (trial implementation), which proposed supporting listed companies to enhance investment value through mergers and acquisitions. multiple measures were taken to activate the merger and acquisition market, and listed companies were encouraged to use a combination of tools such as shares, cash, and directional convertible bonds to implement mergers and acquisitions, and inject high-quality assets.

on june 19, the china securities regulatory commission issued the "eight measures on deepening the reform of the science and technology innovation board to serve technological innovation and the development of new productivity", proposing greater support for mergers and acquisitions and restructuring. supporting science and technology innovation board listed companies to carry out mergers and acquisitions of upstream and downstream of the industrial chain to enhance industrial synergy effects.

some securities investment bank personnel said that the current policy framework surrounding mergers and acquisitions and restructuring is relatively complete. under the existing policy framework, it is necessary to further clarify the responsibilities of regulatory agencies and service agencies, give market players more inclusiveness and greater autonomy, and enable the policies and rules that have been issued and implemented to better serve market players.