China'S Stock Market Has Been Delisted &Nbsp For A Long Time; Investors Have Difficulty In Making Claims.

Some Chinese enterprises caused Wall Street to China because of financial fraud.

According to statistics, since this year, 16 stocks have been delisted in the US, and many enterprises have been suspended for a long time.

In recent years, a number of enterprises have been unsuccessful in the subscription of investors. Many enterprises have postponed the IPO process in the US because of their worries about valuations and stock prices.

Shandong Yuhe, which is listed on the reverse takeover, has been pferred from Nasdaq to the powder market.

According to the statistics, 16 Chinese stocks have been delisted in the United States this year, and many companies have been suspended for a long time. If they fail to disclose financial and audit information in accordance with the relevant rules, they will be delisted.

On the other hand, as the market has not yet seen a marked improvement, the recent Chinese enterprises listed in the US have been unable to reproduce the high price earnings ratio and valuation when "Youku is ringing."

Because of worries about valuation and stock price, many enterprises have postponed the process of IPO going to the US.

Most Chinese companies are powerless to resist.

In 2007, Jiang Po announced that it had received a letter from the NASDAQ asking for its delisting, which was formally withdrawn from the market in August 4th.

The reason is that Jiang Bo pharmaceutical and its chairman obstructed the internal independent investigation authorized by the audit committee, and did not follow the relevant laws and regulations to form an audit committee.

In this regard, some enterprises through repo

It is understood that some enterprises for publicity purposes, financing purposes, or driven by venture capital, in order to whitewash performance after listing, "sell a good price" departure.

Reporters in a number of delisting enterprises on the official website to see, a lot of information update time still in 2010.

Investor

The recovery of delisting companies has been a rare success.

The way of delisting is still different from domestic capital market, and hundreds of enterprises are delisting every year in the US capital market.

And in the tide of China's stock market delisting, what is more critical is that some enterprises have lost their money because of financial fraud and delisting.

Liang Jian, a US stock analyst, told reporters that foreign delisting is divided into active delisting and passive delisting.

Active delisting is mostly due to the fact that the company's current market value and share price are undervalued and realized through the privatization of share repurchases, which will stimulate stock prices to rise.

After the passive delisting, investors still hold shares in the company, and the stock market can still be traded to the powder market, but the value of investment has shrunk.

It is understood that the powder market has very low financial requirements for enterprises, and does not require the company to issue regular information disclosure. Some companies that lack investment value have been listed here for a long time, claiming that they are still "listing in the US" to gain eyeballs.

However, due to lack of information, the investment risk is even greater.

Liang Jian believes that for delisting a company because of corporate fraud or scandal, investors can recover claims in class action, but there are few cases of successful compensation.

"Many companies can only list their fictitious businesses and profits, and whether they can be compensated depends on the actual value of the company."

Moreover, many business markets are not in the United States, but also increased investors.