Behind the huge amount of fund-raising and high-school signing rate, CICCs A-share listing has attracted much attention. In only eight months, CICC quickly returned to a shares. Outstanding brand image, balanced development of business layout, and outstanding cross-border business capabilities, CICC, the leader of the head securities companies, has attracted market attention. Now open to play new, should shareholders own it?
The winning rate was lower than expected
After the call back mechanism was launched, the final number of shares issued offline was 86759300, including 26025568 shares for the off-line lockless fixed-term part and 60733732 shares for the offline lockup period.
The final number of shares issued online was 234253000. After call back, the proportion of the final number of shares issued online to the number of shares eventually issued on the Internet without lock is about 90%: 10%.
According to the data provided by the Shanghai Stock Exchange, the number of valid subscribers for the online offering of CICC was 14817690, and the number of shares effectively applied for was 274136360000. The total number is 274136360, and the number range is 1000000000-100274136359.
The reporter learned that CICCs IPO price is 28.78 yuan / share. It is worth noting that CICCs P / E ratio of this issue is 33.89 times, higher than the average p / E ratio of secondary market of securities companies, but lower than the average static P / E ratio of the industry released by China Securities Index Co., Ltd.
30% for strategic investors
CICCs return to a shares has been recognized by many institutional investors. In this issuance, the number of shares allocated to strategic investors is 30% of the total amount of shares issued, and the lock-in period of the shares allocated to strategic investors shall not be less than 12 months.
According to tianyancha app, CICC is Chinas first Sino foreign joint venture investment bank and one of the leading domestic securities companies. CICCs revenue growth rate, net profit growth rate and roe level have been at the top level of the industry for a long time. Its institutional business and international business have distinctive characteristics, and the retail business continues to transform and upgrade.
In an interview with the China Times reporter, an analyst of China Securities construction investment, who did not want to be named, said that the introduction of strategic investors by CICC is in line with the relevant policy guidance on further improving the quality of listed companies, which can reduce the risk of the company in the secondary market and protect retail investors, which has long-term significance.
As of June 30, 2020, among the top ten shareholders of CICC, Central Huijin Investment, Hong Kong Central settlement, Haier Group (Qingdao) financial holding, China Investor guarantee, Mingli group investment, construction investment investment, China Construction Bank investment, China investment consulting and Tencent mobility limited were listed.
It is worth noting that in the 14 years since the Securities Regulatory Commission launched the classified supervision of securities companies in 2007, CICC has obtained a-aa rating in 13 years, which is the securities company with the largest number of times of a-aa rating.
After CICC completed the road back to a, all the top ten domestic securities companies landed on a shares. Behind the addition of high-quality securities companies to A-shares, or the strategic intention of building aircraft carrier securities companies.
The reporter learned that the fund raised by CICC after deducting the issuance expenses will be used to increase the companys capital, supplement the companys working capital, and support the companys domestic and foreign business development.
In addition, CICC said frankly that it would make use of the raised funds to further strengthen its investment in financial technology, internationalization and other strategic fields, and timely grasp the opportunities of strategic M & A. Among them, the key application directions are investment banking, stock business, fixed income, investment management, wealth management, financial technology and international development.
What is CICCs business capability to build the strongest investment bank? According to the reporter, as of June 30, 2020, CICC has provided investment banking services to more than 2800 customers. Among the Fortune 500 enterprises in 2020, 120 have established investment banking business relations with the company.
In the past three years, CICC has performed well in terms of asset growth, revenue growth and profitability, and the companys revenue and net profit have maintained a growth trend.
According to the data, from 2017 to 2019, its revenue was 11.21 billion yuan, 12.91 billion yuan and 15.76 billion yuan respectively, and the net profit attributable to the parent company was 2.766 billion yuan, 3.492 billion yuan and 4.239 billion yuan, respectively.
The composition of the above-mentioned medium-term business and medium-term financial report, as well as the average income of the four major businesses in 2020, are listed as follows.
Among them, stock business revenue was 2.57 billion yuan, accounting for 24.49%; investment banking business revenue was 2.242 billion yuan, accounting for 21.37%; wealth management business revenue was 2.348 billion yuan, accounting for 22.38%.
It is worth noting that even the top companies in the head, as securities companies, CICC still can not avoid the curse of relying on heaven. In 2016, the performance of securities companies declined collectively, and CICC could not avoid it. The growth rate of both revenue and net profit decreased. In 2016, the companys revenue decreased by nearly 10% year-on-year.
In addition, as the head of the securities companies, CICCs asset liability ratio is high. In the past six years, from 2014 to 2019, the asset liability ratio of CICC was as high as 80%.