With the aim of making the area into a globally recognized center of innovation, the Beijing municipal government recently released guidelines for building a technology financing center inside the nationa's technology model area Zhongguancun
The city joined nine national ministries and commissions, such as the National Development and Reform Commission, to release the Opinions on the Establishment of the National Sci-Tech Finance Innovation Center in Zhongguancun Science Park.
The document details the guiding ideology, principles, goals and construction of the innovation center. In service of that goal, Zhongguancun plans to enhance its development environment for science and technology investment, increase its scope of resources, optimize procurement mechanisms between technology and finance, and improve capital market services.
The guidelines propose seven requirements for the Zhongguancun Science Park.
The park will participate in the construction of a nationally governed outside equity market that broadens direct financing channels for scientific and technological enterprises and enlarges the direct financing scope.
It will aid listing efforts for excellent scientific and technological enterprises and set up a joint-action mechanism for these companies.
The thriving zone will encourage scientific and technological enterprises to merge and reorganize in the capital market with help from merger and acquisition tools, such as loan and buyout funds.
The park will also improve the debt financing market for small and medium-sized scientific and technological enterprises, and it will allow such enterprises to issue financing tools, enterprise bonds, corporate bonds, short-term financing bonds, medium-term notes and other innovative debt financing tools. At the same time, the science park will simplify approval procedures of these financing tools.
In addition, it vows to promote the development of equity investment funds and support the establishment of equity investment funds in Zhongguancun.
The plan also prioritizes the improvement of the equity trading market for unlisted scientific and technological companies and stock transfer channels as well as stock-concentrated custody, transfer, market supervision and other supporting systems.
The guideline also creates a pilot strategic emerging industry incubation trust investment fund and establishes a professional financing management platform. Zhongguancun will invest to develop long-term technological property and realize an effective connection among scientific progress, intellectual property and financial innovation.
Zhongguancun will put forward more science and technology financing innovation pilot programs, including the first pilot for real estate investment trusts in the area.
It will also set up an intellectual property financing system and construct an investment and financing service system for intellectual property assessment, finance, trade and deal execution.
(Source: China Daily)
