The IPO review was restarted, and Marco Polo passed

Since February 5 this year, there has been no IPO company in the IPO market, and the IPO review has pressed the "pause button". Now, after 3 months, the first company has arrived. According to the official website of the Shenzhen Stock Exchange, the 9th review meeting of the Listing Review Committee in 2024 is scheduled to be held on May 16 to review the initial offering of Marco Polo Holdings Co., Ltd. (hereinafter referred to as "Marco Polo"), which is also the first IPO company to be listed after the year.

The first IPO company to be listed after the year

After more than a year of queuing for IPOs, Marco Polo will usher in the big test on May 16, and the company is also the first IPO company to be listed after the year.

According to the official website of the Shenzhen Stock Exchange, Marco Polo's IPO was accepted on March 2, 2023, and entered the state of inquiry on April 17 of the same year, and the company's main board IPO plans to raise 3.158 billion yuan to invest in Jiangxi Jiamei Ceramics Co., Ltd. Intelligent Ceramic Home Furnishing Industrial Park (Phase I) Construction Project, Guangdong Dongwei New Materials Co., Ltd. Special high-performance ceramic plate project with an annual output of 5.4 million square meters, Jiangxi Weimei Ceramics Co., Ltd. Ceramic Production Line Green Intelligent Manufacturing Upgrading Project and other 6 fund-raising projects.

It is understood that Marco Polo focuses on the research and development, production and sales of architectural ceramics, is one of the largest manufacturers and sellers of architectural ceramics in China, mainly has "Marco Polo tiles" and "beautiful L D ceramics" two own brands, the company in Dongguan, Guangdong, Qingyuan, Jiangxi, Fengcheng, Chongqing and Tennessee in the United States have five production bases, the main products are glazed bricks and unglazed tiles, glazed bricks mainly include glazed bricks, antique bricks, rock slabs, porcelain tiles and cultural ceramics, unglazed bricks mainly include polished tiles.

According to the prospectus updated by Marco Polo, the company's operating income in 2023 will be about 8.925 billion yuan, the corresponding attributable net profit will be about 1.353 billion yuan, and the corresponding attributable net profit after deducting non-profits will be about 1.24 billion yuan. In response to related questions, a reporter from Beijing Business Daily called Marco Polo for an interview, but no one answered the phone.

As of the signing date of the prospectus, Meiying Industrial held 64.36% of the shares of Marco Polo and was the controlling shareholder of the company, and Huang Jianping held 64.01% of the shares of Meiying Industrial and directly and indirectly held 42.12% of the shares of Marco Polo, and was the actual controller of Marco Polo.

According to the resume, Huang Jianping was born in 1963, has a bachelor's degree in inorganic non-metals from South China University of Technology, is a senior engineer, and is currently the chairman of Marco Polo.

In addition, the refinancing review has also been resumed. On May 10, according to the official website of the Shanghai Stock Exchange, the 13th review meeting of the Listing Review Committee in 2024 is scheduled to be held on May 16 to review the refinancing of Baolong Technology.

There is a mortgage on the debt

Because of the industry, Marco Polo also has to look at the real estate industry. From the top five customers in 2023, it can be seen that the company's top four customers are all real estate companies, and Evergrande Real Estate is still the second largest customer. The top five customers accounted for 20.96% of the sales revenue.

For example, accounts receivable, the book value of the company's accounts receivable in 2023 will be 1.599 billion yuan, accounting for 20.45% of current assets. Marco Polo said that the company's receivables mainly come from real estate and other engineering customers, and the company's engineering customers are mainly large real estate enterprises, in fact, during the reporting period, some of the company's real estate customers had credit defaults or overdue, which affected the company's cash flow and operating performance to a certain extent. By the way, the book value of the company's inventory is also 1.876 billion yuan, accounting for 23.98% of current assets.

In terms of accounts receivable provision, it can be seen from the provision for bad debts in 2023 that most real estate companies that have made provisions due to "high expected recovery risk" have the largest single bad debt provision from Sunac Real Estate.

Marco Polo also has real estate customers who use their houses to pay off their debts. According to Marco Polo's description, during the reporting period, the amount of debt assets to offset debts was 174.8948 million yuan, although the company actively handled the online signature filing or related real estate registration procedures for the debt-bonded real estate, as of the signing date of the prospectus, Marco Polo has completed the online signing and filing procedures for 13 sets of debt-bonded real estate, 2 sets have been delivered, and 2 sets have been resold, accounting for 38.07% of the total amount. However, Marco Polo has not yet obtained all the ownership of the mortgaged property, that is, the company cannot obtain the ownership of the mortgaged property before the company signs the commercial housing sales contract with the real estate customer and goes through the real estate transfer registration, and the company's debtor's real estate has the risk of being unfinished due to the developer's shortage of funds or debt problems, being listed as the developer's bankruptcy estate and being seized by other creditors with priority rights to apply for court seizure, resulting in the company's expected property rights being unable to be realized.

Marco Polo said that if the above situation occurs, although the company can continue to appeal or sue to the court, there is still a risk that it will not be able to be compensated in full. At the same time, due to the fluctuation of the second-hand housing market and the existence of sales restrictions in the cities where some of the bonded properties are located, there is uncertainty in the time and value of real estate realization, and it faces certain asset impairment risks and asset realization risks.

During the year, only 23 companies made their debut at the meeting

Before Marco Polo, the latest IPO company was Beijing Jingyi Micro Technology Co., Ltd., which was approved on February 5, 2024.

According to the statistics of Flush iFinD, the number of companies on the IPO meeting during the year is low, and only 23 companies will attend the meeting from January 1 to February 5, 2024, including Wuhan Gangdi Technology Co., Ltd., Yuxing Fastener (Jiaxing) Co., Ltd., Suzhou Saifen Technology Co., Ltd., Guangdong Bawei Biotechnology Co., Ltd., etc., of which Zhejiang Shenghuabo Electric Co., Ltd.'s initial application was not approved, and the remaining 22 companies were approved for the initial offering.

In addition, in addition to the above 23 companies, Baoding Weisai New Material Technology Co., Ltd. and Shenzhen Ketong Technology Co., Ltd. were also scheduled to attend the meeting this year, but they were ultimately cancelled for review.

From the perspective of plate distribution, the main board, the growth enterprise board, the science and technology innovation board, and the Beijing Stock Exchange have 7, 4, 3, and 9 companies respectively.

Since February 5, there has been no company meeting in the IPO market.

It is understood that on April 30, the new regulations on issuance and listing were released, and the Shanghai and Shenzhen Stock Exchanges officially disclosed the revised "Stock Listing Rules" and "Stock Issuance and Listing Review Rules" and other business rules.

Compared with the same period last year, the number of companies that have made their first meetings has dropped sharply since the beginning of this year. According to the statistics of Flush iFinD, between January 1 and May 16, 2023, a total of 125 companies attended the meeting, of which 108 companies were approved, 9 companies were suspended from voting, and 8 companies were not approved. In terms of plate distribution, there are 61 companies on the Growth Enterprise Market, 26 on the Beijing Stock Exchange, 19 on the Science and Technology Innovation Board, and 19 on the Main Board.

According to calculations, compared with the same period last year, the number of IPO companies has dropped by more than 80% since the beginning of this year. Xu Xiaoheng, an investment and financing expert, said that with the Marco Polo meeting, the IPO review was officially restarted, but whether it will be normalized in the future depends on the arrangement of the next listing committee meeting.

Beijing Business Daily reporter Ma Changchang