(2) More than 200 people have issued securities to specific objects, but the number of employees who have implemented the employee stock ownership plan according to law is not included;

(3) Other issuance acts as stipulated by laws and administrative regulations.

Government, financial institutions, industrial and commercial enterprises, etc. When issuing securities, different investors can be selected as the issuing targets, so securities issuance can be divided into two forms: public offering and private offering.

Public offering, also known as public offering, refers to the business model in which the issuer widely sells securities to an unspecified public through intermediaries and raises funds from objects without specific restrictions through public marketing. In order to meet the needs of more investors, the number of contracts and the initial amount of public offering are not limited. As the interests of many small and medium-sized investors are involved, the regulatory authorities have very high requirements on the use direction, information disclosure content and risk prevention of Public Offering of Fund. Private placement is a way to raise funds from a few specific investors. Participants should generally have certain economic strength, risk identification and risk-taking ability.

In the case of public offering, all legal social investors can participate in the subscription. In order to protect the interests of investors, all countries have strict requirements for public offering. For example, the issuer must have a high credit and meet the various issuance conditions stipulated by the securities authorities before it can be issued.

The carriers of public offering include stocks, bonds and funds.

The advantages of issuing securities through public offering are:

(1) Public offering is open to a large number of investors, which has great fund-raising potential and is suitable for issuers with a large number of securities issues and a large amount of fund-raising;

(2) A wide range of investors in public offering can avoid hoarding securities or being manipulated by a few people;

Only publicly issued securities can apply for listing on the exchange, so this issuance method can enhance the liquidity of securities and help improve the issuer's social reputation.

However, there are also some shortcomings in the way of public offering, such as complicated issuance process, long registration and approval time and high issuance cost.

legal ground

People's Republic of China (PRC) Securities Law

Article 9 The public offering of securities must meet the conditions stipulated by laws and administrative regulations, and shall be reported to the securities regulatory authority of the State Council or the department authorized by the State Council for registration according to law. Without legal registration, no unit or individual may publicly issue securities. The specific scope and implementation steps of the securities issuance registration system shall be stipulated by the State Council.

In any of the following circumstances, it is a public offering of shares:

(1) Issuing securities to unspecified objects;

(2) More than 200 people have issued securities to specific objects, but the number of employees who have implemented the employee stock ownership plan according to law is not included;

(3) Other issuance acts as stipulated by laws and administrative regulations.

Non-public issuance of securities shall not be carried out by advertising, public persuasion or disguised publicity.