◆ Inquiry

Before issuing shares, the issuer should inquire about the price of the shares from the investors of a specific institution, that is, the object of inquiry, to determine the issue price of the shares. After the publication of the letter of intent and the issuance announcement of the initial public offering of shares, the issuer and the lead underwriter shall take the initiative to inquire and recommend to the inquiring object, and promote it to the public investors through the Internet platform or channel.

There are two ways to ask for quotation, one is preliminary inquiry, and the other is cumulative bidding inquiry. The issuer and the lead underwriter shall determine the approximate range of the issue price of the shares through preliminary inquiry, and then determine the final issue price of the shares through cumulative bidding inquiry. If the issuer wants to be listed on the SME board, the issuer and the lead underwriter can determine the issue price of the shares according to the preliminary inquiry results, and there is no need to conduct a cumulative bidding inquiry.

After the end of the inquiry, if the number of shares issued by the issuer to the public is less than 400 million shares, and there are no more than 20 inquiry objects that provide valid quotations, or the number of shares issued to the public exceeds 400 shares, and there are no more than 50 inquiry objects that provide valid quotations, the issuer and the lead underwriter shall suspend the issuance of shares, and the issue price of the shares cannot be determined.

◆ Roadshow promotion

When the issuer has basically completed the preparation for the issuance and the issuance review has been approved in principle, the lead underwriter or global coordinator shall organize the international promotion and inquiry work to ensure the successful issuance and underwriting of the shares. At this stage, the issuer and the lead underwriter should do the following work.

(1) Pre-roadshow

Pre-roadshow means that the lead underwriter organizes its own sales staff and analysts to visit investors of some large professional institutions, conduct market research on them, understand the opinions and suggestions of these investors on the stock issue price, make basic judgments on market demand, and determine a price range accordingly. In order to ensure the effect of the pre-roadshow, the lead underwriter should ensure the diversity and extensiveness of the sampling when selecting the survey subjects (investors of large professional institutions), so as not to draw conclusions that are not objective enough to accurately and objectively reflect the market supply and demand.

(2) Formal roadshow

A formal roadshow refers to the promotion activities conducted by the issuer to institutional investors with the help of the lead underwriter, the main purpose of which is to enhance investors' understanding of themselves and make subscription decisions through face-to-face contact with investors. Generally speaking, after the roadshow is over, the issuer and the lead underwriter can make a rough judgment on the market demand.

(3) Bookkeeping pricing

Bookkeeping pricing refers to dividing the issue price of stocks into different ranges, and collecting statistics on investors' order demand in different price ranges to understand the impact of stock prices on investors' demand, and providing an important basis for the main underwriter or global coordinator to study the price range, underwriting results, and basic performance of the stock after listing.

After the completion of the above steps, the lead underwriter or global coordinator signs an agreement with the issuer, and the syndicate members sign the syndicate agreement to prepare for the disclosure of the public offering documents.