What are the ways to issue stocks?

Stock issuance methods can be divided into the following two categories:

1, publicly and indirectly issued. Refers to the public offering of shares to the public through intermediaries. When China's joint stock limited company publicly issues new shares to the public by way of offering, it must be underwritten by a securities operation institution, which is an indirect public offering.

This issuance method has a wide range of issues and many targets, and it is easy to raise capital in full; The stock has strong liquidity and good liquidity; Public offering of shares also helps to raise the visibility of the issuing company and expand its influence. However, this distribution method also has some shortcomings, mainly due to complicated procedures and high distribution cost.

2. Private direct distribution. Refers to the non-public offering of shares, which is only issued directly to a few specific objects, so it does not need to be underwritten through intermediaries. China's joint stock limited companies initiate the establishment and issuance of new shares in a private way, that is, they directly issue shares by private placement. This distribution method has great flexibility and low distribution cost; However, the issue scope is small and the stock liquidity is poor.

Extended data

There are two situations when issuing stocks:

(1) The new company was established and issued shares for the first time; ?

(2) A company has been established to increase capital and issue new shares. The two are different in publishing steps and methods.

Creating a new company's initial public offering requires a series of procedures. That is, the articles of association of the company are drafted by the promoters, reviewed by lawyers and accountants, published in newspapers, reported to the competent authorities for approval and registration after passing the examination, and issued to the public only after obtaining the registration certificate.

A stock issuer must be a joint stock limited company with the qualification to issue shares, and a joint stock limited company must meet certain conditions for issuing shares.

China's "Interim Regulations on the Administration of Stock Issuance and Trading" has made specific provisions on the conditions for the public offering of shares by newly established joint stock limited companies, the reorganization of the original enterprises and the establishment of joint stock limited companies, the issuance of shares by increasing capital and the public offering of shares by directional issuing companies.

Baidu Encyclopedia-Stock Issuance Mode

Baidu encyclopedia-stock issuance