* ST Opel Holding Shareholders Applying for Bankruptcy and Liquidation

category:Finance
 * ST Opel Holding Shareholders Applying for Bankruptcy and Liquidation


These two years of market can be called rich meat grinder. On September 10th, another company owned by the wealthy filed for bankruptcy. According to the announcement of * ST Opu (formerly referred to as Opu Intelligence Network), its major shareholder, Zhongji Investment, applied to the Peoples Court of Shunde District of Foshan City for bankruptcy liquidation because of its insolvency.

Prior to that, * ST Opels share price had fallen below one dollar. The companys market value has evaporated nearly 97% since its peak, and it is on the verge of delisting.

According to the data, in 2018, the Chen Lihao family, the major shareholder of China-Kyrgyzstan investment, ranked 13th on the Foshan Rich List with 7.1 billion yuan in wealth. Nowadays, Chen Lihao, a member of the family of China-based investment and actual controlling family, has been listed on the list of discredited executors, and China-based investment has also filed for bankruptcy.

According to Tian Eye Check, Shenzhen Hongta Asset Management Co., Ltd. accounts for 19.08% of the shareholders of China-based investment, while the ultimate shareholders of the company are Hongta Securities, Huayuan Group and Shenzhen Innovation Investment.

According to Sohu, Chen Lihao was born in 1968, and Shunde Le was born in Guangdong. After graduating from high school, Chen Lihao first worked as an electrician in a local state-owned enterprise, and later as a salesman for water heaters. In 1993, he invested in a business department of Lecong Township Enterprise Steel Trade Co., Ltd. and took the first step in starting a business. At that time, there were only three people in this business department. Chen Lihao and his brother-in-law were the bosses, while his sister was both an accountant and a cashier. This business department is the predecessor of Shunde Zhiri Iron and Steel Trading Co., Ltd.

Later, Chen Lihaos business grew bigger and bigger. In 1993, he set foot in the iron and steel industry, and successively founded Nanda Steel Pipe Industry Co., Ltd., Shunshan Steel Plate Segmentation Co., Ltd., Pujin Iron and Steel Co., Ltd. and other iron and steel companies. In 2002, Chen Lihao and two other private enterprises engaged in iron and steel trade jointly established Shunde Oupu Iron and Steel Co., Ltd., which mainly focuses on deep processing of iron and steel. In 2003, 400 million yuan was invested in the construction of South China International Iron and Steel Logistics Center and Steel Electronic Trading Platform.

* ST Opel was listed on the SME board of Shenzhen Stock Exchange in 2014. * ST Oupus main business is intelligent logistics, steel, furniture, supply chain finance, etc. The concept is still relatively big, so in June 2015, the company was held hundreds of high-priced shares, the market value once reached 18.7 billion yuan, can be compared with the then Bull Stock Shanghai Steel Lianhe.

In February this year, Dahua Intelligence Controller Cai Xiaoru won two board seats at * ST Opel, which brought some imagination to the market, but there was no voice behind it. At present, the shareholding of China-based investment has been completely frozen. * ST Opels bank accounts were also frozen. The former star company has become a problem-ridden rotten company.

* ST Opus crisis began last year. In the first half of 2018, * ST Opels net cash flow generated by operating activities was - 0.56 billion yuan. At that time, the company said that the main reason was due to the impact of the net return of small loan funds from the wholly-owned subsidiary Opel. Oupu Small Loan mainly provides small liquidity loans, micro-technology transformation loans, micro-technology development loans, micro-entrusted loans, micro-comprehensive credits and micro-long-term or short-term loans for small and medium-sized enterprises and individual businesses. Its main businesses are Quality Customer Loan Scheme, Regular Off-line Loan and Online Loan nationwide.

* STOP goes to the edge of delisting

* ST Oupu announced at the end of April this year that due to the serious impact of irregular guarantees and the companys production and operation activities and is expected to be unable to return to normal within three months, the companys stock touched other risk warnings. The company will be suspended for one day from the opening of the market on April 23 and resume trading from the opening of the market on April 24. The abbreviation of stock will be changed from Opu Intelligence Network to ST Opu, and the increase and decrease of stock will be limited to 5% on the trading day.

According to the announcement, the company has found 1.341 billion yuan of irregular guarantees, exceeding 10% of the companys net assets audited in the latest period, and seriously exceeding the relevant provisions of the Shenzhen Stock Exchange. At the same time, affected by land and property seizures, debt overdue, bank accounts frozen, litigation and other adverse factors, * ST Opel Credit has been affected, the companys business level has been impacted to a certain extent, the companys business has basically stagnated, warehousing and processing business has also been reduced, business activities have been significantly affected.

At present, the companys financial situation is worrying.

If * ST Opel fails to turn around its losses eventually, it will delist. From the current situation, this possibility is increasing. The bankruptcy and liquidation of the major shareholder of China-based investment may change the major shareholder, and may bring some hope. But from the current environment, it is still very difficult.

At the recent Symposium on the Comprehensive Deepening of Capital Market Reform in the Securities Regulatory Commission System, Chairman Yi Huiman of the Securities Regulatory Commission said that the listed companies should be vigorously promoted to improve their quality. We should formulate and implement plans of action to improve the quality of listed companies, effectively control the entry and export barriers, and strive to optimize increments and adjust stocks. Strictly control the quality of IPO audit, give full play to the role of the main channel of capital market merger and acquisition, smooth diversified exit channels, and promote the survival of listed companies. This may mean that some listed companies with incompetent quality may be liquidated into the capital market.

Source: China Responsible Editor of Securities Dealers: Yang Bin_NF4368