Sinovel Wind Power is unlikely to IPO in 2021 because Sinovel Wind Power has already released a report for the first half of 2021. In terms of profitability, in the first half of 2021, the operating profit of Sinovel Wind Power amounted to 242 million yuan, an increase of 10.73% year-on-year and a decrease of 29.78 percentage points compared with the same period last year. The entire company is currently operating at a loss, which is better than last year, but still negative.
1. Conditions for listing a company
For a company to be listed, it must first be a joint stock company and have been in operation for more than 3 years. . During these three years, the management has not changed. Profitable for two consecutive years in the past three years, the cumulative profit is not less than 10 million yuan, or the most recent year's profit is notnot less than 50 million yuan. In addition, the company complies with national laws and regulations, and there is no false capital in terms of capital. Once these basic requirements are met, the decision to go public requires a fairly complicated preparation process. The process lasts two years and it takes two years to get approval. In terms of cost, going public is also very expensive.
Second, the advantages of IPO
IPO will help improve the long-term competitiveness of companies in many aspects. After going public, companies can raise the long-term development funds they need without facing a shortage of funds. And the credit of the entire company will also be improved. By cooperating with its patient companies, it is possible to reach agreements and to some extent reduce thes transaction costs, thus gaining competitiveness. In fact, competition between enterprises is essentially a competition for talents, and employees' sense of belonging and honor will also be enhanced. It is helpful in establishing the company’s image and improving public relations. And the most important point is that after listing, the company's value will be determined by the market. After the listing, the profits of general companies will increase by 5-30 times and those of private companies by 1-2 times. In short, the company value will increase significantly after the listing improves.
Third, at the end of the day, many companies grow to go public, but many of them do it to make money and play with capital, while some do it to serve society. In short, it is normal for companies to want to go public, because there are manybenefits after an IPO. This is also the real reason why companies go public.
There are a number of powerful companies in China's wind energy sector. At present, if we compare the performance of new orders that year (taking 2009 and 2010 as examples), five companies including Dalian Huarui, Dongfang Electric, Xinjiang Goldwind, Guangdong Mingyang and United Power are basically on the front line, and other Manufacturers such as Zhejiang Yunda, CSR Zhuzhou, Zhejiang Huayi, Jiangsu Vision, Sany Electric, Shenyang Huachuang and other manufacturers also made profits. The main models mentioned above are domestic manufacturers with a single wind turbine capacity of 1.5 MW, and the rest are domestic. small businesses Because the production capacity is too small or orders cannot be obtained at all, they are not pas included in the comparison range. Among the major domestic manufacturers whose main models are wind turbines with a single capacity of 2.0 MW are Xiangdian Wind Energy, Shanghai Electric, Chongqing Haizhuang and Beijing Beizhong. Although foreign companies such as VESTAS, GE, GAMESA, SUZLON, NORDEX and other manufacturers have advanced technologies and services, due to their price disadvantages, they have begun to compete in the Chinese market. or seek other solutions, such as cooperation with Chinese companies. Currently, only Vestas is still visible on the national wind energy market.