Since the beginning of this year, there have been frequent reports of domestic companies going overseas for initial public offerings (IPOs), including consecutive digital, Cha Bai Dao, and Mai Fu Shi listings on the Hong Kong Stock Exchange, Lotus Technologies and Mingteng International listings on the Nasdaq, and Jike listings on the New York Stock Exchange. Experts say that the rise in overseas listings reflects the support of regulatory authorities for domestic enterprises to go global, which is conducive to further expanding financing channels for domestic enterprises and providing more opportunities for global investors to share the dividends of China's economic development. According to incomplete statistics, as of now, 7 domestic companies have landed on the US stock market this year, supporting policies continue to increase; Thirteen domestic companies have landed on the Hong Kong Stock Exchange. Enterprises that have submitted their listing filing materials are even more enthusiastic, and currently, 136 companies have received overseas listing filing notices. From an industry perspective, registered enterprises are widely distributed, involving fields such as biomedicine, autonomous driving, and artificial intelligence. From the perspective of listing methods, the main ones are direct overseas listing, SPAC shell listing, and building a protocol control (VIE) structure. Among them, the highly anticipated VIE architecture enterprises have shown smooth performance in listing and filing. Recently, multiple VIE architecture enterprises such as Cloud Works, Guanglian Technology, Jinxin Technology, and Microbus have received registration notices from the China Securities Regulatory Commission. Why has the overseas listing of enterprises rebounded? Industry insiders believe that this is mainly due to the continuous improvement of the institutional environment and strong policy support. On March 31 last year, the "Trial Measures for the Administration of Overseas Issuance and Listing of Securities by Domestic Enterprises" and supporting guidance documents were implemented, and the overseas listing of domestic enterprises officially shifted to the filing system. KPMG China Capital Market Partner Wen Zhaoji stated that since the second half of last year, the review and approval of filing have significantly accelerated, and the filing work has become increasingly normalized, effective, and clear, and has achieved smooth connection with overseas regulatory processes. Since the beginning of this year, regulatory authorities have issued intensive support signals. On April 19th, the China Securities Regulatory Commission (CSRC) issued the "Sixteen Measures for Capital Market Service to High level Development of Technology Enterprises", proposing to support technology enterprises to go public overseas in accordance with laws and regulations, implement the overseas listing filing management system, and better support the development of technology enterprises' overseas listing financing. The Ministry of Commerce and 10 other departments recently jointly issued several policy measures to further support overseas institutions in investing in domestic technology-based enterprises, proposing to continuously improve the quality and efficiency of overseas listing filing management and accelerate the progress of filing procedures. "Going public overseas is one of the important ways for domestic enterprises to achieve internationalization and standardized development, which is beneficial for enterprises to utilize foreign investment for development, optimize their modern governance level, and better integrate into the global economy." Tian Lihui, Vice President of Guangxi University, stated that a series of supportive policy measures have been introduced, clarifying regulatory directions, improving institutional systems, and enhancing the transparency and predictability of enterprises going public overseas. The channels for domestic enterprises to go public overseas are still being continuously opened up. At present, the China Securities Regulatory Commission has jointly established a cross departmental regulatory coordination mechanism for overseas listings with multiple departments to support domestic enterprises in going global and better utilizing two markets and resources. The reporter found that the authenticity of business, compliance with equity structure, compliance with industry regulation, and use of fundraising are key issues that regulatory authorities are paying attention to in order to clarify enterprise expectations. For example, a certain enterprise is required to provide additional explanations on the reasonableness of dividends during the reporting period, the compliance of internal decision-making procedures, and whether the shares held by shareholders who plan to participate in the "full circulation" have been pledged, frozen, or other disputed situations. "The regulatory authorities' disclosure of enterprises' filing progress and supplementary material requirements helps to further clarify enterprises' expectations and reduce their detours." Tian Lihui stated that the supplementary explanation not only reflects the regulatory authorities' emphasis on the compliance of domestic enterprises, but also points out the compliance risks that enterprises need to pay attention to during their overseas listing process. Wen Zhaoji stated that whether applying for listing on the Hong Kong Stock Exchange or the US Stock Exchange, the feedback from the China Securities Regulatory Commission did not differ significantly due to the different listing locations of the applicants. This is also consistent with the public statement made by the China Securities Regulatory Commission when the new regulations for filing were introduced. As long as enterprises comply with the law, no matter which market they go to for listing, they will not be affected. Regulatory authorities will respect the independent choices of enterprises and provide support. The "going abroad" team is expected to grow. With the increasing normalization, standardization, and transparency of overseas listing and issuance filing work, the overseas listing team may further expand in the future. The overseas listing of enterprises involves multiple applications of domestic and foreign laws and regulatory policies, and the challenges it faces are also more complex. The compliance and tax costs after going public are relatively high, and there are differences in regulatory systems among different countries and regions. There are different requirements for the listing conditions, information disclosure, financial statements, etc. of enterprises, which may lead to cross-border legal disputes. Enterprises need to comprehensively consider their own needs and choose a more suitable capital market for listing. Tian Lihui stated that for companies to go public overseas, it requires them to improve their internal skills, demonstrate stronger business and profitability, and win the favor of overseas capital markets; Enterprises are also required to be familiar with and comply with domestic and foreign laws, hold onto the bottom line of risks, and better seize the opportunity of global capital favoring Chinese assets. "For enterprises determined to excel in overseas capital markets, they should adhere to compliance as the foundation, maintain flexibility in the changing environment, timely understand regulatory trends, seize market opportunities, and plan the most suitable business arrangements and listing plans based on their actual situation and development goals." Wen Zhaoji said. In the long run, supporting companies to go public overseas is the trend. The new "National Ninth Article" clearly states that we must adhere to the coordination of high-level institutional openness and security in the capital market. Expand and optimize the cross-border connectivity mechanism of the capital market. Expand financing channels for overseas listing of enterprises and improve the quality and efficiency of overseas listing filing management. Tian Xuan, Vice Dean of the School of Finance at Wudaokou, Tsinghua University, stated that this further consolidates the institutional expectation of seeking development through openness and promoting development through standardization. It is expected that the overseas listing and filing of enterprises will be further accelerated, the listing channels will be further expanded, the listing process will be further standardized, and the types of enterprises and listing models involved will also be more diversified. (Lai Xin She)