Chapter 316: Publicity
In addition to the conditions mentioned by Ichiro Watanabe earlier, there are many procedural issues in listing in Japan.
Not to mention the three years of operation, the first step to going public is to choose an accounting firm to audit the company's financial situation.
This accounting firm must be a third-party, authoritative accounting firm approved by the Financial Services Agency.
It will conduct a comprehensive audit of the company's assets, operating conditions, salary system, financial statements, etc.
The purpose of the audit
If there are no issues with the final audit, the third-party accounting firm will issue an external audit report.
With this report, you can proceed to the next step of the listing process.
In fact, such audits are ultimately intended to protect the interests of shareholders. After all, after a company goes public, there will be many retail investors buying its shares.
Since retail investors do not participate in the daily operations of the company, how can their interests be guaranteed?
The annual audit report is the best way for the outside world to understand the company's operations.
The same applies to newly listed companies. Only with a third-party audit report will the Financial Services Agency and the Tokyo Stock Exchange officially recognize their listing qualifications.
After discussions between Shirakawa Kaede and Watanabe Ichiro, it was finally decided that the external audit of Shirakawa Electric would be handed over to Deloitte and KPMG.
They are a world-renowned accounting firm with branches in major countries around the world, and the same is true in Neon.
The audit reports they issue will naturally be recognized by the Financial Services Agency and the Tokyo Stock Exchange.
After all, in the accounting firm industry, the most valuable thing is reputation.
As long as you issue a false report for any company, the accounting firm will lose all its credibility and its business will face a devastating blow.
Therefore, everyone will feel more at ease when handing the audit work over to them, whether it is Shirakawa Electric or the Financial Services Agency.
This work is usually completed within one to two weeks. After receiving the audit report, Shirakawa Electric's next step will be to select a major securities firm.
Is there any need to explain the selection of securities firms? Here are the three of you.
After the securities firm is determined, it will also conduct another review of Shirakawa Electric's finances.
Baichuan Feng was not worried at all about this part of the work.
Not to mention that they are still shareholders of Shirakawa Electric, and now all the unissued shares have been divided up. Are they still worried about the audit?
Of course, since they were willing to invest in Shirakawa Electric, they must have audited the company's finances.
Otherwise, who would joke with their own hard-earned money? If nothing unexpected happens, this part of the audit work may be faster than that of a third-party accounting firm.
After both parties’ reviews are passed and made public.
Only then will Shirakawa Electric prepare the materials and formally submit its listing application to the Financial Services Agency and the Tokyo Stock Exchange.
After the Financial Services Agency's approval, the Tokyo Stock Exchange will also conduct a "substantive standard" review of Shirakawa Electric.
The so-called substantive standard review refers to the previously mentioned listing requirements, including market capitalization, outstanding shares, shareholder structure and other hard conditions.
If Shirakawa Electric meets all the requirements, the Tokyo Stock Exchange will arrange a first interview and document review with Shirakawa Electric.
This was followed by a second interview and an on-site inspection of Shirakawa Electric.
If everything goes well, the TSE will conduct the third and final interview and document review.
The subjects of this interview were the chairman, supervisor and auditor of Shirakawa Electric.
If all of the above are correct, the product will be approved for listing and an announcement will be made.
This is the entire process that Shirakawa Electric will go through for its listing, the most common of which are various reviews and interviews.
After reading the listing plan in his hand, Baichuan Feng sighed deeply.
It is not easy to get your company listed.
"Watanabe-san, if everything goes well, how long will it take for Shirakawa Electric to be approved for listing?"
“The entire process will take about three months, starting from entrusting a third-party accounting firm.
Of course, since we are the securities firm, we can simplify the process and get a response from the Tokyo Stock Exchange in about two months."
Ichiro Watanabe understood all the details clearly. If he said more than two months, then it was more than two months.
Don't forget that he represents Dai-ichi Kangyo Bank, which has many connections with the Financial Services Agency.
In his opinion, the listing of Shirakawa Electric is a foregone conclusion.
Even if there are any minor flaws with Shirakawa Electric, Dai-ichi Kangyoin will help him fix it.
After getting the answer from Watanabe Ichiro, Shirakawa Feng thought about it carefully and felt that more than two months was not too long.
Starting from July, the marketing authorization will be obtained in September or October.
Neon is not like China in later times. Even if it gets approval for listing, it may take several years just to wait in line.
As for the reason, it is because there are too many listed companies in China.
Everyone in government departments is as fast as lightning, how can they be fast?
But Japan's scale is so small that there are very few companies that can meet the requirements for listing, let alone a main board like the Tokyo Stock Exchange's first section.
Therefore, with the approval of the Tokyo Stock Exchange, Shirakawa Electric will be able to go public soon.
Although the process only took two months, there was a lot of things to do.
There are various reviews and materials to collect, so I guess I will be busy later.
After going through all the matters concerning the listing of Shirakawa Electric, Shirakawa Feng had a rough idea of what was going on.
He knocked on the table, then stood up and looked at everyone present.
"In that case, then let's prepare separately. Gentlemen, may your military fortunes flourish!"
"May your military fortune flourish!"
This sentence instantly aroused everyone's enthusiasm. Going public is a good opportunity to make a fortune.
This is true not only for their respective companies, but also for them personally.
Not to mention the bonus they can get after completing the transaction, they will make a lot of profit just from the internal IPO before Shirakawa Electric goes public.
Of course, as the founder of Shirakawa Electric, Shirakawa Feng will also prepare some personal shares for himself.
After all, Shirakawa Electric no longer belongs to him personally, and the annual profits need to be distributed as dividends according to proportion.
Then it is reasonable to take this opportunity to arrange some personal shares for yourself, not too much, one or two percent is enough.
Even if these shares have passed the lock-up period after listing, Baichuan Feng will not cash them out, as they will be kept for future use.
At the end of May, after sitting down with Dai-ichi Kangyo Bank and others to confirm many matters concerning the listing of Shirakawa Electric, Shirakawa Holdings became busy again.
Shortly after entering June, Shirakawa Electric began to express its intention to go public to the Financial Services Agency.
This is a customary process, but it is not a formal written application.
After receiving a positive response from the Financial Services Agency, Shirakawa Electric formally commissioned Deloitte and KPMG to conduct an external audit on itself.
After finishing all this, it was already late June, the third anniversary of Shirakawa Electric's official establishment.
On this day, all TV stations in Japan broadcast the same advertisement at a fixed time during the prime time in the evening.
In the picture, first a retro vinyl record player is spinning quietly, and melodious music is slowly coming from the background.
Soon a hand holding a pen appeared, and after some modifications, the record player was greatly slimmed down, and finally only a small machine was left, which was the Walkman player.
The "KITA" logo on the metallic and textured body flashed a bright light as the light shifted.
At this time, the background music becomes more dynamic, full of fashion and liveliness.
Since then, various types of headphones and handheld game consoles have appeared one after another, and the only unchanged thing is the "KITA" logo engraved on various parts.
At the end of the picture, there are silhouettes of several unknown products. They are the audio and CD players that Shirakawa Electric is preparing to launch this year.
However, because it is a silhouette, no one knows what the specific product is, but curiosity is fully aroused.
Just when everyone thought this special advertisement was about to end, the scene suddenly changed.
An aerial photo appeared on the TV screen, yes, an aerial photo.
Looking down from the blue sky , one can see a large area of modern production plants neatly arranged beside the Tama River on the vast land.
Because of its large scale, the area of more than a thousand acres is densely packed with factories.
Visually, it brought a very strong impact to the audience in front of the TV. This is Shirakawa Electric's super factory in Kawasaki.
This was followed by two factory sites in Akita and the collective appearance of thousands of foreigners outside the factory in California.
All of these scenes were shot using fast-cut techniques, with the images on the TV flashing one by one.
Finally, a bell rang, and the building of the Tokyo Stock Exchange froze on the screen.
Baichuan Feng pressed the remote control in his hand, and the bedroom returned to peace again.
And he heaved a sigh of satisfaction. This super long advertising documentary took more than a minute.
The show has already aired on all Japanese TV stations tonight, including Tokyo's five major commercial TV stations and the local TV stations in the 43 prefectures. They will all be airing simultaneously during prime time.
If NHK didn't accept advertisements, Shirakawa Kaede would have wanted to include them as well.
Such advertisements will be broadcast continuously for a week, and they will still be broadcast at fixed locations.
I believe that with such publicity, all of Japan will know that Shirakawa Electric is going to be listed.
However, the advertising was very enjoyable and the money was spent happily. The total cost of this large-scale nationwide advertising campaign exceeded 5 billion yen.
With Dai-ichi Kangyo Bank taking over 70% of the circulating shares in the planned listing, Shirakawa Electric now has no shortage of money.
This is normal marketing expense for the company and is completely reasonable.
"Is it going to be listed?" Tanaka Yuko's sweet voice came to his ears.
"Yeah." Baichuan Feng nodded complacently. He was very proud at the moment.
"That's amazing." Although she didn't understand what would happen after Shirakawa Electric went public.
But as more and more of my friends started investing in stocks, I realized that this should be a big deal.
"Hehe, the more exciting things are still to come." After saying that, Baichuan Feng turned over and began to relax the muscles and joints for the senior sister.
Ever since she was severely "beaten" last time, Yuko Tanaka often returned to Chiyoda District to stay overnight.
As expected, you can't be soft in bed, otherwise you will have wild thoughts all day long.
After Shirakawa Kaede turned off the lights, more people in other parts of Tokyo also saw the advertisement.
For example, those old friends who have always been paying attention to Shirakawa Electric.
