今年2月，股票发行注册制在A股市场全面实施，叠加中国放开疫情管控措施，市场原本对A股抱以充沛信心。然而进入8月，市场信心可谓跌至冰点，虽然监管部门接连发布刺激政策，沪深两市成交额却逐渐下探，新股申请量也接近为零。资本市场律师指出，注册制下，监管及市场主体仍处于磨合之中，中介机构面对更高的“看门人”责任，也在加紧做好执业风险防控。
2023年经济复苏的预期之下，A股市场成绩并不算理想。7月，政治局会议特别提出“要活跃资本市场，提振投资者信心”，随后监管部门抛出一系列刺激措施，力图挽救A股的低迷表现，但收效不算强劲。
今年前七个月，A股IPO部分数据甚至弱于备受疫情因素影响的2022年。国枫律师事务所首席合伙人张利国律师告诉ALB：“2023年1月1日至7月31日，A股IPO共计审核226次，其中通过197家，通过数量较去年同期降低29.13%；过会率87.17%，较去年降低3.38%。”
据财新报道，今年7月至8月22日，沪深交易所甚至出现了“零IPO申报”现象。“7月申报数量通常会减少，但零申报极为罕见。更意外的是，未盈利公司IPO全面停滞。2023年至今，没有一家未盈利发行人的IPO被沪深交易所受理。”财新写道。
“不过，在审IPO进度一直正常推进，未全线停摆。”财新补充道。
这与德恒律师事务所合伙人、证券专委会负责人徐建军律师的观察相同。“上半年IPO的申请和受理数量稳健，总体上大家对于全面注册制的反应比较积极，这是市场的一个基本判断。”他说。
在数量上，“截至7月，北京、深圳、上海三大交易所约有210家企业实现IPO，比去年同期还多了7家，但募资金额有较大下滑，与去年同期相比下降了约30%。主要的原因是北交所上市数量比去年多了一倍，但单笔募资额较低，所以深沪交易所的 IPO数量实际有所下降”，徐律师说。
“全面注册制下市场主体和监管多方磨合仍在继续，应理性看待部分现象，给予市场更多耐心和信心。”
徐建军，德恒律师事务所
在活跃板块和产业方面，张利国律师继而分享了一些数据：“今年截至7月底，A股IPO审核通过公司数量最多的交易所为深圳证券交易所，最活跃的是创业板。同一时期， IPO审核通过公司数量最多的行业为计算机、通信和其他电子设备制造业，共35家。”
徐建军律师也观察到，由于创业板包容性较高，更具市场吸引力，因此拥有更高的上市成功纪录。“实际上，最活跃的还是‘双创’，即创业板和科创板。以上半年为例，科创板募资总额达到市场总量的70%，前10大IPO中就有5宗都发生在科创板。”
“从产业来讲，总体上还是高端制造、5G、新能源汽车、集成电路、半导体、高端材料、生物医药等领域占据着 IPO的主要市场。传统制造业里，也是转型升级的高端制造、化工原料加工等板块融资规模比较大。”徐律师介绍道。
仍处磨合阶段
如上所述，由于A股IPO出现罕见的“零申请”现象，导致市场出现众多猜测，加之监管刺激政策效果不佳，市场信心再度动摇。面对近期A股市场较为剧烈的政策变化，徐建军律师坦言，这背后实际上反映了全面注册制下市场主体和监管多方磨合仍在继续，应理性看待部分现象，给予市场更多耐心和信心。
“证券市场中的供给和输出总存在博弈过程。”徐律师分析道，“在年初的‘窗口期’，市场对全面注册制有更高的预期，或者说理解有所偏差，部分发行人认为所谓注册制就是更容易上市了，以至于更多的中国企业想在资本市场获得上市地位，供给明显加大。”
与此同时，“实际上监管在踩刹车，希望摸索出符合现阶段中国资本市场的最佳实践，双方的磨合远没有结束。从监管角度讲，一方面它希望满足企业的融资需要，另一方面也要求不出差错，尤其科创板紫晶存储、泽达易盛的财务造假事件给了监管部门很大提醒，在这么严格的市场环境和发行要求下依然存在造假现象，监管必然会收紧。此外，交易所和证监会也在磨合，注册制制度的落地也需要一个摸索的过程”。
此外，徐律师认为近期市场所认为的“IPO审核收紧”实际上也存在一定的客观背景。“因为疫情，加之经济回暖力度不及预期，导致一些企业相较于 IPO申请书里的陈述和业绩披露，实际表现是在下滑，以至于没有达到、或者踩线达到新的上市标准，这类企业肯定不会被放行。”
“过去几年A股市场活跃度很高，每年都有500宗左右的IPO，其实从优秀企业的供给角度看，市场也有天花板，不可能每年都产生这么多的优秀企业，所以未来几年，降低预期是很有必要的。”徐律师坦言。
对律师工作的影响
如果说市场与新注册制的磨合仍在继续，今年在新制度向下，律师工作的内容和挑战程度也发生了较大变化。
“2月17日证监会发布全面实行注册制相关制度规则，证券交易所、全国股转公司、中国结算、中证金融、证券业协会配套制度规则也同步发布实施，内容涵盖发行条件、注册程序、保荐承销、重大资产重组、监管执法、投资者保护等各个方面，自然会对IPO律师工作产生影响。”张利国律师告诉ALB。
“全面注册制改革把选择权交给市场，对IPO律师的业务水平和执业质量提出更高要求，执业风险也相应扩大。”
张利国，国枫律师事务所
他指出，其中影响较为突出的，包括“发行上市条件精简优化；审核注册程序完善；上市公司重大资产重组制度完善；监管执法和投资者保护进一步强化”等规则。
此外，从本质上看，“全面注册制改革是把选择权交给市场，强化市场约束和法治约束。监管部门与此同时也在压实发行人的信息披露第一责任和中介机构的‘看门人’责任”，张律师解读道。“在此背景下，全面注册制的实施对于IPO律师工作最大的影响在于对业务水平和执业质量提出了更高要求，执业风险也相应扩大。”
徐建军律师也告诉ALB，在新制度理念及细则下，他感受到律师工作的不少变化。“首先是工作节奏更紧张了。全面注册制相较于核准制，排队时间、发行周期都明显缩短，对律师的工作节奏和响应速度提出了更高挑战，很多项目过去可以慢慢打磨，现在则以结果为导向。此外，注册制强调信息披露及其完整、真实、准确性，意味着要用有限的时间和精力应对更高的要求。”
另一点感受也关乎律师责任的加强。“证监会公布了《律师事务所从事首次公开发行股票并上市法律业务执业细则》，明确了职责范围、勤勉尽责要求等，也对证券律师事务所内控制度的合规化、完善化提出了更高要求。”
“总的来说，上半年虽然成功的IPO项目数量有所下降，但证券律师依然非常忙碌，压力也比原来更大了。”徐律师总结道。
投入更多资源
IPO律师责任和压力倍增的情况下，徐建军律师指出，从事证券业务的律师事务所上半年投入了更多实打实的资源和精力来“加强风险控制，面对监管部门的事前检查及事后追责等等，包括IT、人力等资源投入都是很大的”。
他具体解释道：“我们做了几方面工作。第一，律师所有的工作成果，包括信息披露文件、工作底稿，都需要更完善、做好更强的内部整理，律师事务所要强化这方面的电子化和智能化；第二，规模较大的证券律所普遍在和头部IT公司接触，探索AI工具和证券法律服务的对接，希望借用强大的工具完成部分工作，提升效率、节省人手。”
“第三，我们也在和一些头部的保险公司探索制度创新的可能性，例如近期一家保险公司可能会推出一款针对IPO发行人的产品，由发行人投保，如果项目因为特定原因导致发行人及中介机构背负民事赔偿，保险公司可以作为理赔事项，这将非常有利于生态的发展。”
此外，包括律师行业协会在内的市场主体也在紧锣密鼓推进标准化建设，让证券律师的法律服务更加透明，更加市场化，一旦出现风险事件，有可以援引的市场标准作为参考”。
全面注册制下，尤其上半年几宗中介机构承担连带责任的证券纠纷引发市场极大关注，张利国律师也认为证券律师应进一步布局风险防范措施。
“一是注重业务筛选，全程把控项目质量。在业务承接之前即开展前期摸底调查及风险分析。在业务承做过程中，根据业务特征和行业属性设计工作流程，对项目运行进行持续跟踪、管理和服务。在业务完成时，应对工作成果进行审核把关，确保不存在质量问题。”
“二是完善内控合规建设。三是注重专业能力培养，全面提升执业质量，在资本市场新事物、新业务、新业态层出不穷的背景下，证券律师应快速应对执业环境的变化，并对密集发布的监管新规开展学习。四是加强职业道德建设，强化证券律师独立性，在尽职调查中，证券律师应当严格按照法律法规，在项目执行中勤勉尽责、诚实守信，严格把关基础工作，做到真正的尽职。”
张律师告诉ALB，国枫一直将资本市场作为核心业务，在执业管理、利益冲突、项目管理、档案管理等方面均制定了明确的管理制度，尤其针对证券法律业务，在90年代就建立了几近“苛刻”的内核机制。
面对注册制的强监管新情况，国枫也在“通过持续强化内部自查自纠制度、细化工作准则、规范法律文件格式文本等优化机制，进一步提高证券法律业务的工作质量和效率，防范和控制证券法律业务风险”。
应对行业焦虑感
面对今年以来资本市场业务的快速变化，徐建军律师还观察到另一个现象。“过去几年资本市场领域很受年轻律师欢迎；但伴随监管要求提高、执业挑战加剧，我们感受到了一定的行业焦虑感。”
“例如我们最近收到的简历，很多法学院毕业生直接在简历上标注‘不考虑资本市场业务领域’，因为他们在法学院里口口相传，说证券业务很苦，天天出差，没完没了的书面工作，监管压力也比较大，对于年轻律师来说不是最佳选择。”
是否担心年轻人的“鱼贯而出”导致证券业务后力不足？徐律师坦言其实这都是正常现象。“资本市场近年发展比较活跃，例如券商的投行部门，过去可能就一两百人，现在迅速发展到一两千人。伴随IPO市场变化，一定会有个调整的过程，不适应环境变化的人可能会被淘汰，或者主动离开，这都很正常。”
在近期的交流中，徐律师也反复向年轻律师传递几个观点。“第一，证券法律服务永远是个大赛道，是‘星辰大海’，因为对接资本市场是一家优秀企业发展过程中的必由之路，对律师来讲，就意味着这个市场永远有想象空间。而且证券服务对于律师的要求比较苛刻，能帮助律师实现发展、越做越好。”
“第二，在目前的市场状态下更应该修炼内功，寻找行业新的业务爆发点，服务于上市公司的全生命周期。如果年轻律师有非常好的行业素养，依然可以给客户提供有价值的服务。”
“所以年轻人需要调整心态，修炼更好的法律服务能力，不能只会‘锦上添花’，不会‘雪中送炭’。资本市场法律服务需要匹配企业的全生命周期，应该是多样的、全面的、综合的。他们听完后，觉得还是有信心的。”徐律师说。
以多元化应对市场变化
近年经济的波动也让律所、律师，尤其证券业务从业者意识到，“过于单一的业务类型对于律所稳定创收和长远发展有着不利影响，未来业务多元化肯定是潮流”，张利国律师说。
不过，多元化并不意味着律所规模的一味扩大。“业务多元化核心是基于客户需求变化诞生，必须从律所实际出发，形成‘量身定制’的‘优势领域业务多元化’，方为寻求更长远发展的战略方向。”
以国枫为例，张律师告诉ALB，“历经多年服务与口碑沉淀，国枫与几百家上市公司客户建立了高度信任，客户黏性不断提升，客户也需要更全方位、多层次的专业法律服务。以客户需求为导向，国枫在资本市场相关领域，引进和培育了争议解决、知识产权、房地产和建设工程、合规、税务等成熟专业化的律师和团队”。
业务领域更为多元的同时，客户对不同团队间的协作要求也在提升。“资本市场是支持民营企业融资的重要平台，资本市场法律服务的含义和内容也在持续拓展，客户对企业上市的前端、中端、后端业务，包括合规、争议解决、知识产权、涉外业务、破产重整业务等均有强烈的需求，客户需求的综合性自然成了资本市场与其他相关多元业务领域的专业分工与合作的驱动。”
张律师介绍道，2023年上半年，国枫继续整合优质的专业力量与资源，成立了五大业务专业组与三大行业研究委员会，“分工合作、相互协调，在一体化组织下有效促进多元业务领域和资本市场领域的联动”。
在徐建军律师看来，包括德恒在内，许多中国较大规模律师事务所虽然以证券业务起家，但经过30年发展，“专业设置、服务能力已经是全方位的，不存在短板，所以也没有特别强的焦虑感”。
不过，若更仔细观察律所内部，“确实有不同业务领域的此起彼伏……我们会密切关注相关变化，也在不断展开讨论，以更具弹性的内部制度，应对市场变化的需求”，徐律师说。
A CRISIS OF CONFIDENCE
In February, the A-share market kicked off its registration-based IPO system. That, coupled with China’s relaxation of pandemic control measures, was meant to inspire full confidence in the market. However, well into the second half of the year, market confidence can be described as falling off a cliff. Capital markets lawyers point out that under the new IPO system, regulators and market players are still finding their way, while intermediaries, faced with higher "gatekeeper" responsibilities, are also intensifying their efforts to prevent and control practice risks.
Despite the expectation of a strong economic recovery in 2023, the A-share market is underperforming. In July, the Politburo meeting specifically mentioned the need “to revitalise the capital markets and boost investor confidence.” Regulators responded by introducing a series of stimulus measures to salvage the sluggish performance of A-shares, but results have not been as good as hoped.
In fact, some A-share IPO data in the first seven months of the year is even weaker than in 2022, a year badly impacted by the pandemic. Zhang Liguo, chief partner of Grandway Law Offices, tells ALB that: “From January 1 to July 31, 2023, a total of 226 A-share IPO applications were reviewed, of which 197 were approved, a year-on-year decrease of 29.13 percent. The approval rate stands at 87.17 percent, down 3.38 percent compared to the same period of last year.”
According to Caixin, between July and August 22 this year, Shanghai and Shenzhen stock exchanges received zero IPO applications. “Although IPO applications will usually slow down in July, zero applications are extremely rare. Even more surprising is the complete halt of IPOs by unprofitable companies. Since the beginning of 2023, no IPO application from such an issuer has been accepted by Shanghai and Shenzhen stock exchanges,” the publication said. “However, IPOs already under review are progressing normally, and there has not been any across-the-board suspension.”
Xu Jianjun, partner of DeHeng Law Offices and head of its securities practice committee, says market fundamentals remain strong despite the low numbers. “The number of IPO applications and the number of accepted applications remain stable in the first half of this year, and overall response to the registration-based IPO system has been relatively positive. This is a basic judgment of the market.”
In terms of quantity, “as of July, about 210 companies from the three major exchanges in Beijing, Shenzhen and Shanghai have completed IPOs, a year-on-year increase of seven. However, the amount of funds raised has dropped significantly, down approximately 30 percent compared to the same period last year. This is mainly because the number of listings on the Beijing Stock Exchange has doubled compared to last year. The amount of funds raised there per IPO is rather low,” says Xu.
“Regulators and other parties are still finding their feet under the registration-based IPO system, and therefore, one should view some of the happenings on the market rationally and have more patience and confidence in the market.”
Xu Jianjun, DeHeng Law Offices
As of the end of July, the Shenzhen Stock Exchange has had the highest number of approved A-share IPOs, with ChiNext being the most active board. Computer, communications and other electronic equipment manufacturers have seen the most approved IPOs during the same period, totalling 35.
Xu also observes that ChiNext has a better record of successful listings thanks to its higher inclusiveness and market attractiveness. “In fact, the most active listing boards are still ChiNext and STAR Market. For example, in the first half of this year, the total amount raised on the STAR Market has reached 70 percent of the market total, with five out of the top ten IPOs all taking place on the STAR Market.”
“In terms of industries, overall, high-end manufacturing, 5G, new energy vehicles, integrated circuits, semiconductors, high-end materials and biopharmaceuticals still occupy the main market for IPOs. Even within traditional manufacturing, sectors undergoing transformation and upgrading, such as high-end manufacturing and chemical raw materials processing, are the ones that have raised relatively large amounts of money," says Xu.
STILL ADAPTING
The rare occurrence of zero IPO applications mentioned above has stirred plenty of market speculation, which, coupled with subdued results of regulatory stimuli, have again shaken market confidence. Faced with recent drastic policy changes in the A-share market, Xu says that this is, in fact, a reflection that market players, regulators and other parties are still finding their feet under the registration-based IPO system. Therefore, one should view some of the happenings on the market rationally and have more patience and confidence in the market.
“Supply and output in the securities market are always dynamic,” says Xu. “During the ‘window of opportunity’ at the beginning of the year, the market had higher expectations for, or rather some misunderstanding of, the registration-based IPO system. Some issuers thought that the registration-based IPO system would simply make it easier for them to go public. As a result, more Chinese companies wanted to get listed on the capital markets, significantly increasing supply.”
At the same time, “regulators are stepping on the brakes, hoping to find out what best suits the Chinese capital markets in the present stage. The alignment between the two sides is far from over and has, in fact, entered a stage of ‘tussle.’ For regulators, they hope to meet the financing needs of enterprises, but also demand no mistake. Incidents of financial fraud by STAR Market-listed Amethystum and Sino-Essence have given regulators a serious reminder – if fraud still existed in such a strict market environment and under such stringent issuance requirements, regulation will inevitably need to be tightened. In addition, stock exchanges and the China Securities Regulatory Commission (CSRC) are also adapting to the new system, and the implementation of the registration-based IPO system also requires trial and error.”
Further, Xu believes that the recent perceived "tightening of IPO review" is also attributable to objective reasons. “Due to the pandemic and the weaker-than-expected economic recovery, the actual performance of some companies has fallen below what is disclosed in the statements and performance sections in their IPO applications to the point where they could not meet, or only barely meet, the new listing standards. Such companies will definitely not see their IPO applications approved.”
“The A-share market has been extremely active in the past few years, with around 500 IPOs each year. In fact, there is a ceiling to the supply of top enterprises on the market. In other words, generating so many quality enterprises every year is impossible. Therefore, it is very necessary for us to lower expectations for the next few years," admits Xu.
LEGAL WORK
As the market and the new registration-based IPO system continue to align, there have also been significant changes in lawyers’ work and the challenges lawyers face this year.
“On February 17, the CSRC promulgated relevant rules to fully implement the registration-based IPO system. At the same time, stock exchanges and other relevant agencies issued supporting rules for implementation, covering aspects such as issuance conditions, registration procedures, sponsorship and underwriting, major asset restructuring, regulatory law enforcement and investor protection. All of these developments will naturally have an impact on the work of IPO lawyers,” shares Zhang.
“The registration-based IPO reform is to hand over the right of choice to the market. Therefore, the new system has raised higher requirements on the professional competency and practice quality of IPO lawyers.”
Zhang Liguo, Grandway Law Offices
According to him, the rules with the biggest impact include those on "streamlining and optimising the conditions for issuance and listing,” “improving review and registration procedures,” “improving the system for major asset restructuring of listed companies,” and “further reinforcing regulatory law enforcement and investor protection.”
In addition, at its core, “the registration-based IPO reform is to hand over the right of choice to the market. At the same time, regulators are tightening the role of issuers as the parties primary responsible for information disclosure and the responsibilities of intermediaries as gatekeepers," explains Zhang. “Against this backdrop, the new system has raised higher requirements on the professional competency and practice quality of IPO lawyers. Accordingly, the practice risks of IPO lawyers have also increased.”
Xu has also noticed changes in lawyers' work given the new concept of the registration-based IPO system and its detailed rules. “First, the pace of work has become more intense. The new IPO system has significantly shortened the approval queue and issuance cycle, posing bigger challenges to lawyers' work pace and response speed. In the past, lawyers could spend time slowly polishing many projects, but now work is results-oriented. In addition, the registration-based IPO system emphasises information disclosure and its completeness, authenticity and accuracy, which means that lawyers must rely on limited time and energy to meet higher requirements.”
He also sensed the strengthening of lawyers’ responsibilities. “The CSRC has released the Detailed Rules on the Practice of Law Firms for Engaging in Services of the Initial Public Offering and Listing of Shares, which not only clarify the scope of responsibilities, due diligence requirements, etc. but also put forward higher requirements on the compliance and improvement of the internal control systems of securities law firms.”
“On the whole, although the number of successful IPOs has decreased in the first half of the year, securities lawyers have been kept busy and are, in fact, under greater pressure than before,” concludes Xu.
MORE RESOURCES
With the increasing responsibility and pressure of IPO lawyers, Xu says that firms practicing securities law have invested more tangible resources and energy to “strengthen risk control, including significant investment in IT and human resources in the face of prior inspection and post-accountability by regulators.”
Specifically, “we have done work on several fronts. First, all the work outputs of lawyers, including information disclosure documents and working papers, need to be better and more comprehensively organised internally. Second, most larger securities law firms are in contact with top IT companies to explore the integration of AI tools and securities legal services, hoping to leverage powerful tools to complete some of the work to improve efficiency and save manpower.”
“Third, we are also exploring the possibility of institutional innovation with some leading insurance companies. For example, one insurance company may soon launch a product that targets IPO issuers. If an IPO project causes the issuer and intermediaries to bear liabilities for civil compensation due to specific reasons, this event may be claimable by the insurance company.”
In addition, non-governmental associations and organisations, including securities and lawyers’ industry associations, “are also working around the clock to formulate standards.”
Under the registration-based IPO system, several securities disputes involving intermediaries bearing joint and several liabilities in the first half of the year have triggered keen market concern. Zhang believes that securities lawyers should put more risk prevention measures in place.
“First is to focus on business screening and control project quality throughout. Before accepting a project, lawyers should already conduct preliminary investigation and risk analysis. During a project, lawyers should design work processes based on the project’s characteristics and industry attributes, and continuously track, manage, and serve project operations. Upon project completion, lawyers should review work outputs to ensure no quality issue.”
“Second is to improve the construction of internal control and compliance. Third is to focus on building up professional competency and comprehensively improve the quality of practice. Fourth is to strengthen professional ethics and reinforce the independence of securities lawyers.”
Zhang tells ALB that Grandway has always focused on capital markets as its core practice and has established clear management systems in areas such as practice management, conflict of interest, project management and archives management. For securities legal services in particular, the firm established a nearly "ruthless" internal review mechanism as early as in the 1990s.
Given the new trend of tightening regulations, Grandway is also “working to continuously reinforce internal self-inspection and self-correction, refine work guidelines, standardise legal documentation templates, and improve other optimisation mechanisms to further raise the quality and efficiency of securities legal services, and prevent and control risks of such services.”
DEALING WITH ANXIETY
Amid rapid changes in capital markets services since the beginning of this year, Xu has also observed something else. “In the past few years, the capital markets practice has been very popular among young lawyers. With increasing regulatory requirements and intensifying practice challenges, we have felt a certain degree of anxiety among the profession.”
“For example, in the resumes we have recently received, many law school graduates state straightaway that they are not interested in capital market practice. This is because news has been spreading in law schools that securities practice is hard, with very frequent business trips, endless paperwork and higher regulatory pressure, making it unattractive among young lawyers.”
Xu thinks this is all very normal. “In recent years, the securities industry has enjoyed extremely rapid and booming development. As a result, investment banks and law firms have attracted a large number of young people. For example, the investment banking department of a securities firm, which used to have one or two hundred people, has now expanded to one or two thousand people. Changes in the IPO market will definitely lead to a process of adjustment, and those who are unable to adapt to the changes may voluntarily exit the market. All of these are normal.”
During recent exchanges, Xu has repeatedly relayed several key thoughts to young lawyers. “First, securities legal practice will always be a major practice area with long-term prospect. This is because turning to the capital market is inevitable during the growth of a top enterprise. For lawyers, this means there will always be room for imagination in this securities market. Moreover, securities legal services impose higher requirements on lawyers, which can help them achieve personal development and become better and better.”
“Second, in the current market climate, it is all the more important for lawyers to build up capacity, search for new business highlights in the industry, and serve the entire lifecycle of listed companies. Young lawyers with very good industry competency can still provide valuable services for clients.”
“Therefore, young people should change their mindset to build up better legal services capabilities. They cannot just work to ‘put icing on the cake’ while being unable to ‘send in the calvary’. Capital markets legal services need to match the entire lifecycle of enterprises and should be diverse, comprehensive and integrated. Our young lawyers still feel confident after listening to these thoughts," says Xu.
DIVERSIFICATION CRITICAL
Recent economic fluctuations have also made firms and lawyers, especially securities practitioners, realise that "merely focusing on a single practice area has a negative impact on a firm’s stable revenue generation and long-term development, so business diversification will definitely be the future trend," says Zhang.
However, diversification does not necessarily mean blindly expanding the size of the firm. “The core of business diversification is based on changes in client needs. It is necessary to start from the actual situations of the firm and form 'tailored diversification of leading practice areas'. Only by doing so can the firm have a strategic direction for longer-term growth.”
According to Zhang, “after years of service and word-of-mouth reputation, Grandway has earned a high degree of trust from hundreds of listed company clients. Clients also need more comprehensive and multi-level professional legal services. Guided by client needs, we have introduced and nurtured mature and specialised lawyers and teams in dispute resolution, intellectual property, real estate and construction engineering, compliance, taxation, and other capital markets-related fields.”
Zhang shares that in the first half of 2023, Grandway continued to integrate quality professional strength and resources, and established five major practice groups and three major industry research committees, so that "we divide work while cooperating and coordinating with each other, to effectively promote synergy between diversified practice areas and the capital markets practice.”
To Xu, although many larger firms in China, including DeHeng, started in the securities practice, they have, after three decades, "developed comprehensive practice area set-up and service capabilities without any visible weak area, so there is no particular sense of anxiety.”
On a closer look, however, "there are indeed ups and downs in different practice areas... We will closely monitor relevant changes and have ongoing discussions to respond to market changes with more flexible internal systems," says Xu.
