An important signal of the reform of state-owned enterprises! The central enterprise plans to spend 7.66 billion yuan to buy back shares

category:Finance
 An important signal of the reform of state-owned enterprises! The central enterprise plans to spend 7.66 billion yuan to buy back shares


According to the announcement, CSCEC plans to buy back the companys shares by means of centralized bidding. The maximum amount of repurchase funds is 7.660 billion yuan, and the repurchase price is not more than 7.66 yuan per share. The number of shares to be repurchased shall not be less than 500 million shares or more than 1 billion shares, accounting for about 1.19% - 2.38% of the total share capital of the company.

For this buyback, CSCEC said that it is to further improve the corporate governance structure, improve the companys incentive and restraint mechanism, safeguard shareholders rights and interests, bring sustained returns to shareholders, promote the common and sustainable development of the company and individuals, effectively mobilize the enthusiasm of managers and important backbones, attract and retain excellent management talents and business backbones, and take into account the long-term interests of the company and the short-term Interest, more flexible to attract all kinds of talents, promote the development of the company.

In terms of incentive objects, the announcement points out that the number of incentive objects granted with restricted shares in this plan is no more than 2800, mainly for the key employees who have an important impact on the realization of the companys strategic objectives, mainly including the companys directors, senior managers, middle-level managers and key post key employees needed to achieve the companys strategic objectives. The scheme puts forward restrictions on the conditions of the incentive objects. The scope of incentive objects does not include the persons in charge of the central enterprises managed by the Central Committee and the SASAC Party committee, as well as independent directors, supervisors, shareholders or actual controllers holding more than 5% of shares individually or jointly, and their spouses, parents and children. The incentive objects shall not participate in the equity incentive plans of two or more listed companies at the same time.

A market person who did not want to be named told the reporter of securities times u00b7 e company that CSCECs buyback incentive plan, first, the company uses its own funds to buy back, which improves the companys fund utilization efficiency; second, the repurchase sets constraints on Incentive objects, which is equivalent to locking shareholders expectation of future performance development. In addition, stock repurchase has also improved market confidence to a certain extent.

The potential space of follow-up equity incentive is still large

Zhongtai securities research report points out that the scale and coverage of this equity incentive buyback have been greatly increased compared with the previous three periods. According to the companys incentive plan, the total amount of the subject-matter stocks involved in the restricted shares granted within 10 years and the total amount of the companys target stocks involved in other effective equity incentive plans of the company shall not exceed 10% of the total equity of the company, which means the follow-up shares The potential space of right incentive is still large. This equity incentive is expected to form a strong catalyst in the short term, making the market re focus on the core value of CSCEC and opening the road of value return of CSCEC.

According to the data, CSCEC is the worlds largest engineering contractor, with business performance in more than 100 countries and regions at home and abroad. The vast majority of the countrys super high-rise buildings with a height of more than 300 meters are built by CSCEC. In the first half of this year, under the influence of the epidemic situation, CSCEC signed a new contract amount of 1.51 trillion yuan in the first half of this year, with a year-on-year increase of 5.2%; its operating revenue reached 728.2 billion yuan, a year-on-year increase of 6.2%; the total profit of 43.77 billion yuan, a year-on-year increase of 4.3%; and the net profit attributable to shareholders of listed companies was 19.84 billion yuan, a year-on-year decrease of 2.3%. On October 22, CSCEC announced its business performance from January to September 2020: the companys total new contract amount was 2.23 trillion yuan, an increase of 9.3% over the same period of the previous year, of which the construction business achieved a new contract amount of 1.95 trillion yuan, an increase of 10.3% compared with the same period of last year; the real estate business realized contract sales of 277.6 billion yuan, an increase of 2.9% over the same period of last year. The general manager of a private equity fund with a management scale of about 6 billion in Shenzhen said that CSCECs heavy buyback plan is conducive to promoting the market to further tap the companys investment value and stabilize market confidence, which is undoubtedly a positive signal for the A-share market in the adjustment period. What about the secondary school with good extension reading? More than 2000 people have been punished for false publicity of Greenland international city project, but they cant get the real estate certificate. Yantai municipal Party Secretary denounces developers: is the wave of unconscionable and superior education running away spreading to Jinan? Media visits 6 campuses. Source: Securities Times u00b7 e company author: Zhang qianzhen responsible editor: Wang Xiaowu_ NF

According to the data, CSCEC is the worlds largest engineering contractor, with business performance in more than 100 countries and regions at home and abroad. The vast majority of the countrys super high-rise buildings with a height of more than 300 meters are built by CSCEC. In the first half of this year, under the influence of the epidemic situation, CSCEC signed a new contract amount of 1.51 trillion yuan in the first half of this year, with a year-on-year increase of 5.2%; its operating revenue reached 728.2 billion yuan, a year-on-year increase of 6.2%; the total profit of 43.77 billion yuan, a year-on-year increase of 4.3%; and the net profit attributable to shareholders of listed companies was 19.84 billion yuan, a year-on-year decrease of 2.3%.

On October 22, CSCEC announced its business performance from January to September 2020: the companys total new contract amount was 2.23 trillion yuan, an increase of 9.3% over the same period of the previous year, of which the construction business achieved a new contract amount of 1.95 trillion yuan, an increase of 10.3% compared with the same period of last year; the real estate business realized contract sales of 277.6 billion yuan, an increase of 2.9% over the same period of last year.

The general manager of a private equity fund with a management scale of about 6 billion in Shenzhen said that CSCECs heavy buyback plan is conducive to promoting the market to further tap the companys investment value and stabilize market confidence, which is undoubtedly a positive signal for the A-share market in the adjustment period.