By consulting the annual report of * ST Xinwei, we found that as of March 31, 2019, the number of * ST Xinwei shareholders was 155,400. Among them, China Securities and Finance Co., Ltd. had 53.28 million shares, accounting for 2.94% of its total equity. Social Security Fund, Finance and Communications Fund and other well-known institutions were also among the top ten circulating shareholders.
And the most distressing thing is to buy 150,000 shareholders of ST Credit, which has been set for nearly 1000 days. After the reopening, it is expected that they will continue to fall and stop, and they can not sell it if they want to. Todays stop and fall may be the beginning of its diving performance.
* When did ST Credit Start to Stop?
On December 23, 2016, Netease Finance and Economics published the report Xinwei Groups surprising situation: hiding huge debts, mysterious people cash out. Xinwei immediately dropped to a halt and the Shanghai Stock Exchange sent an inquiry letter to Xinwei.
After the report was issued, Xinwei Group responded that the description of the report is seriously inconsistent with the actual situation of the company, the company has reported the above false reports to the relevant departments on the day, and sent a lawyer letter.
As a result, after a weekend, on December 26, 2016, Xinwei suspended its shares and bonds for nearly 1,000 days. Since then, 155,000 shareholders have begun a long wait.
In April 2017, Xinwei Group, which has been suspended for four months, issued another announcement, saying that it would restructure its major assets and continue to apply for suspension.
On February 26, 2018, Xinwei Group issued a major restructuring progress announcement, saying that due to the restructuring involving transnational military industry, the process of obtaining relevant certification information is much more complicated than that of general enterprises or entities. The application for suspension shall not exceed three months.
This suspension has lasted until today.
This is a survey report of three monthsexperience in NetEase, which has traveled through Cambodia, Hong Kong, Beijing and Shanghai. The main body of the survey is Xinwei Group (600485. SH) of domestic A-share listed companies. Xinwei Group is controlled by Wang Jing, a mysterious businessman who brought Cambodian telecommunications business to the bankrupt company in 2010, quickly turned its losses into profits, and successfully backed up in 2014. Since Cambodia, the overseas public network business of Shinwei Group has expanded to Ukraine, Russia, Tanzania, Nicaragua and other countries, with related sales revenue accounting for more than 90% of the companys total annual revenue. However, the financial and economic survey of Netease found that there are many doubts behind the brilliant performance of Xinwei Group. On behalf of Cambodia, the local partner of Sinwei Group, Cambodia Sinwei, is alleged to be an overseas subsidiary of Sinwei Group, which has huge debts due to poor operation. The guarantors of these liabilities, without exception, are Credit Group and its subsidiaries. This has laid a huge risk for Xinwei Group. Behind the risk, Netease Finance found that some of the mysterious shareholders of Xinwei Group have cashed in huge wealth by reducing their holdings.
150,000 shareholders are worried! * ST Credit & Prestige Compound Fund Estimates 18 Stops and Falls
On the evening of July 7, after dozens of suspension announcements were issued, ST Credit finally had a clear date for resumption, and 150,000 shareholders managed to pull through. The announcement said that at present, the company and all parties concerned are actively promoting the major asset reorganization. Based on the latest information of the reorganization, the company fully assesses the progress of the reorganization, comprehensively evaluates various uncertainties and determines the follow-up work arrangements. Considering that it still needs some time to carry out relevant work, in order to ensure the smooth progress of relevant work, the company applies for the companys stock to continue suspension from June 28, 2019. The suspension time does not exceed ten trading days. The company is expected to resume trading on July 12, 2019.
Xinwei Groups market value has shrunk by hundreds of billions: Is there a rat warehouse behind the manipulation?
Credit Group, which was listed by backdoor companies in 2014, had a fairly good time before the crash. Beginning with the announcement of Beijing Xinwei Communications Technology Co., Ltd. (hereinafter referred to as Beijing Xinwei) by Zhongchuang Credit Survey before its renaming in 2013, its share price has risen from around 9 yuan per share. As of June 5 this year, its share price has reached 68 yuan per share. In the past, only less than 1.2 billion yuan of market value of Zhongchuang Credit Survey, gorgeous into the highest market value of nearly 200 billion yuan of credit group.
However, since the lifting of the ban on 1.49 billion restricted shares on September 10, the share price of Xinwei Group has dropped from 32.53 yuan per share at the close of September 9 to 16.72 yuan per share at the lowest level on September 18.
A year ago, a snake swallowing elephant backdoor once pushed Xinwei Group into the ranks of clubs with a market value of 100 billion yuan. However, with the collapse of the A-share market as a whole and the lifting of the ban on Xinwei Groups large-scale low-priced fixed-increase shares, its share price has risen sharply and fallen sharply. During this period, various forces in the capital market You sing me out. The prestige group, nicknamed King of Ban Release in September, also presented a thrilling exploratory drama for investors.
Nail Households * ST Credit 12 Re-traded Fund has cut half of its valuation
More than two and a half years after the suspension, * ST Xinwei (600485) finally disclosed that it would resume trading on Friday, July 12.
Reporters from the Securities Times noted that the total market value of * ST Xinwei reached 42.7 billion yuan before its suspension, but now it has been downgraded by more than 10 fund companies, with a minimum valuation of only 5.76 yuan per share, while the share price before the suspension was 14.59 yuan per share. As of the end of the first quarter of 2019, * ST Credit still has 155,000 shareholders, and the companys actual controller Wang Jing shares have all been pledged.
During the suspension period, * ST Xinweis business performance declined sharply. In 2016, * ST Xinwei also completed business income of 3.088 billion yuan, realizing net profit of 1.529 billion yuan, but in the following year, the companys business income fell sharply to 647 million yuan, net profit from profit to loss, with a total loss of 1.754 billion yuan.
In 2018, * ST Xinwei completed its business income of 499 million yuan, down 22.87% year on year; net profit loss of 2898 million yuan. As a result, * ST prestige triggered two warning conditions for delisting risk: the net profit was negative for two consecutive years, and the audit report issued by the accounting firm could not express its opinion.
In January 2019, affected by the fermentation of default risk of 16 Xinwei 01, the net value of many hedged bond funds was adjusted dramatically in one month. On January 25, China Securities Corporation adjusted the valuation of 16 Xinwei 01 from 99.85 yuan to 73.28 yuan, a reduction of about 26.61%.
In February, Founder Fubong Fund, Penghua Fund, Yinhua Fund, Qianhai Open Source Fund, CITIC Prudential Fund and other companies took collective action to downgrade the valuation of * ST Credit since February 11, 2019. The following day, Haifutong Fund, Huabao Fund, CITIC Prudential Fund and other companies issued announcements to continue to downgrade the valuation of the stock.
Reporters from the Securities Times e Company noted that the relevant fund companies have made substantial discount adjustments to * ST Credit. Most of the funds have been reduced to 6.28 yuan per share, which is only 57% of the price of the stock before the suspension of trading, 14.59 yuan per share. It is worth noting that Xinhua Fund, Huatai Berry, Huitianfu and other fund companies are only willing to give a valuation of 5.76 yuan per share, which is about * ST Xinweis 18 post-stop prices.
Controllers Holding Pledge
* ST Credit mainly deals in monitoring and maintenance systems and testing instruments, intelligent medical care community, data communication services, etc. In the early years, under Wang Jings leadership, * ST prestige, the market value had exceeded 200 billion yuan, and was once included in the MSCI China A-share index.
By the end of the first quarter of 2019, * ST Credit had 155,400 shareholders, and about 60 funds and securities firms held * ST Credit. Among them, more than 20 million shares are held in the Trust Scheme of Credit Creation Testing Increased Project Collective Fund of Xinda Bank of Australia-Everbright Bank-China Airlines Trust-Tianqi 520, and 15.647 million shares are held in the 110 organizations of the National Social Security Fund. In addition, China Securities Finance Co., Ltd. also holds 53.2811 million shares of * ST Credit, with a share ratio of 1.82%.
Back to March 22, 2017, Wang Jing held 1.011 billion shares of * ST Xinwei, accounting for 34.58% of the total equity of the listed company, which was its actual controller. At that time, the cumulative number of shares pledged by * ST Xinwei by Wang Jing was 968 million, accounting for 95.69% of the total stock holdings and 33.09% of the total equity of the company.
On the evening of March 27, 2017, * ST Xinwei issued a notice and received a notice from Jiang Ning, a shareholder of the company, that the shareholder had pledged to Sun Li the circulating shareholders holding 43 million shares of the listed company under the limited selling conditions on March 23, 2017, for the period from March 23 to April 3, 2017. In fact, the purpose of Jiangnings share pledge was to provide guarantee for Wang Jings financing.
According to the 2018 annual report, Wang Jing had 857 million shares of ST Credit by the end of 2018, and all of these shares have been pledged. In addition, Jiang Ning Communist Party holds 165 million shares of * ST Xinwei stock, accounting for 5.63% of the companys total equity, ranking second largest shareholder in the stock. By the end of 2018, Jiangning had pledged 152 million shares of ST Xinwei, accounting for 92.2% of the total shares and 5.19% of the total shares of listed companies.