Strictly control IPO entry; Yushu Technology and China Aerospace will undergo on-site inspections

Log in to the Sina Finance app and search for 【information disclosure】 to view more assessment tiers

Reporter Cheng Dan, Securities Times

Recently, the China Securities Industry Association released the list of companies randomly selected for on-site inspections in the second batch of 2026. Two companies were randomly selected: Unitree Technology Co., Ltd. (hereinafter “Unitree Technology”) and CASC Aerospace Technology Co., Ltd. (hereinafter “CASC Aerospace”). They are, respectively, the hot companies aiming to become A-share “the first humanoid robot company” and vying to become “the first commercial space company.”

Unitree Technology focuses on the research, development, production, and sales of high-performance general-purpose humanoid robots, quadruped robots, robot components, and embodied intelligence models. It was among the first worldwide to achieve the public sale of high-performance quadruped robots and their industry deployment. CASC Aerospace Technology is the first domestic mixed-ownership commercial rocket enterprise. Relying on the comprehensive advantages of its Lijian series launch vehicles in areas such as high reliability and larger payload capacity, it successfully completed 11 launch missions, delivering 86 satellites and 1 spacecraft into their planned orbits, with a total launch payload mass of nearly 16 tons.

“On-site inspection is one of the main forms of prior regulation under the new IPO issuance system. In principle, the regulatory authorities organize the random selection work once every three months. For newly accepted enterprises, inspection targets are randomly selected at a 20% proportion to verify the quality of filings, but those that were already listed as problem-oriented inspection targets before the selection are excluded.” A person from a broker’s investment banking team said that on-site inspections mainly focus on aspects such as the authenticity of companies’ financials, the standardization of internal controls, the quality of information disclosure, and the professional practice quality of intermediary institutions. Strengthening gatekeeping regulation such as on-site IPO inspections can enhance compliance deterrence for companies planning to go public and intermediary institutions, encourage more cautious and compliant application for issuance and listing, and reduce the risk of “filing while being impaired.”

Previously, there had been situations of “withdrawal after one inspection.” Some issuers arbitrarily withdrew their issuance applications or passively cooperated with inspection work. Under the regulatory requirement of “being accountable upon filing,” the market’s understanding of on-site inspections has become clearer, and expectations have become more definite. Situations such as “withdrawal after one inspection” have been fundamentally reversed. Of the 13 enterprises selected for on-site inspection in 2026, all are currently in the normal review process. In 2025, 16 IPO enterprises were randomly selected: among them, 1 withdrew its application, 7 have been listed, 2 are waiting for issuance, and 6 are under review.

Previously, the China Securities Regulatory Commission had publicly notified criticism of issuers found to have defects in information disclosure quality during on-site inspections. The CSRC pointed out that some issuers had issues such as paying fees on behalf of them through personal bank cards, inappropriate accounting treatment for material matters, and disclosure omissions by controlling shareholders or significant related parties. It also noted that some enterprises had regulatory compliance shortcomings in information disclosure, including inappropriate definition of the scope for consolidated financial statements and insufficiently prudent estimates of the useful life of asset depreciation, among others. The CSRC has required issuers and intermediary institutions to rectify and standardize their work.

The aforementioned investment banking professional said that for companies with defects in information disclosure quality or compliance shortcomings, once issues are found, the review timeline will be disrupted; only after rectification and standardization can the review process continue.

The CSRC has previously publicly stated that it will further scientifically coordinate the coverage and effectiveness of on-site inspections. It will adhere to a risk-oriented approach, highlight key areas, and handle cases categorized, with a pragmatic and evidence-based attitude. It will strive to achieve strict yet effective, properly strict, and appropriately strict regulation, continuously improve the quality of filings by companies planning to go public, and continuously enhance the market’s sense of gain and the protection level for investors’ rights and interests.

Massive information, precise interpretation—available in the Sina Finance app

By Yang Ci, Chief Editor