Reversal of huge losses in stock speculation of Zhonglai shares? The chairman promised to make up the difference

Zhonglai stock (300393.sz) has made new progress in its huge loss of nearly 170 million yuan in private equity investment of 200 million yuan. After two natural persons temporarily sent letters to the listed company to undertake the obligation to make up the difference between the principal and income of 150 million yuan, Lin Jianwei, chairman of the board of directors of the listed company, promised on the evening of January 12 that the company would undertake the obligation to make up the difference if it could not recover the loss of investment principal. The reporter of China business daily observed that this commitment does not mean that the losses of Listed Companies in stock speculation can be made up immediately. Lin Jianwei’s obligation to make up the difference has time limit and conditional arrangement. < p > < p > on January 11, 2021, Zhonglai shares disclosed in the annual report performance notice that the company’s purchase of large financial losses had an impact on net profit of 168 million yuan. On that day, the company disclosed the details in detail: it spent 200 million yuan to invest in four fund products of two private placements. Due to its heavy position in Jimin Pharmaceutical (603222.sh), it suffered a loss of nearly 160 million yuan in December 2020 alone, with an annual loss of nearly 170 million yuan. < p > < p > according to the reporter’s observation, in addition to the objective factors, that is, Jimin pharmaceutical suffered 10 consecutive limit drops in December 2020, there are also improper fund management, including excessive leverage, no warning, no stop loss, refusal of investors’ Redemption requirements, etc. < / P > < p > before the loss is inevitable and the listed company discloses the whole story to the public, on January 7, 2021, two natural persons issued a letter of commitment to the company, and undertook the obligation to make up the difference between the principal of three funds totaling 150 million yuan and their annualized 10% income. < / P > < p > at present, the listed company has applied to Shanghai Arbitration Commission for arbitration on the disputes existing in the above four funds. In addition to listing the two relevant fund units as the respondent, the trustee Shenwan Hongyuan securities and Guotai Junan Securities are also listed as the respondent, and the two securities dealers are required to bear joint and several liabilities for the repayment obligations of the involved funds. And filed lawsuits against the above two natural persons in two courts respectively, demanding to bear the obligation to make up the principal balance and income of three of the funds, as well as the penalty. In addition, according to the latest progress, on the evening of January 12, Lin Jianwei, chairman and general manager of the listed company, promised to “be willing to bear the obligation of making up the difference, that is, to bear the loss of the investment principal that has not been recovered”. However, this commitment is conditional, that is, after two years from the date when the private fund issues get the litigation judgment or the arbitration award (whichever comes first), the listed company has not recovered the losses. Lin Jianwei starts the commitment and pays the listed company within three months after the two-year period. In other words, it will be at least two years before the listed companies want to heal the huge losses of stock speculation. < / P > < p > it is understood that Lin Jianwei himself is the controlling shareholder and actual controller of the company. He and his wife Zhang Yuzheng, as well as Suzhou Pule Investment Management Co., Ltd. (hereinafter referred to as “Suzhou Pule”), a company jointly controlled by his husband and wife, are acting in concert. According to the reporter’s verification, as of December 7, 2020, nearly 97% of Lin Jianwei’s shares, nearly 100% of Zhang Yuzheng’s shares, and more than 52% of Suzhou Pule’s shares have been used for pledge financing, reaching nearly 96% of the three parties’ shares. As of December 17, Lin Jianwei and the pledgee CITIC Trust released the pledge of some shares, which eased the above tense financing ratio. Lin Jianwei’s shareholding pledge ratio decreased to less than 70%, while Zhang Yuzheng and Suzhou Pule’s pledge has not been loosened. < / P > < p > in the past week, the share price of China Laiwu Co., Ltd. is in a slump, and the biggest decline occurred on January 11 this year, just when the bad news was announced. The total market value of Zhonglai shares is less than 10 billion yuan, and the current market is around 5 billion yuan. Therefore, changes in fundamentals and market turbulence can make the performance of the listed company in the secondary market fluctuate greatly. Without solid support, the downward situation of the share price can also deteriorate into a precipitous situation. < / P > < p > on the evening of January 12, the chairman’s promise clearly injected some confidence into the market. On January 13, the market turned upside down, leaving only a long shadow line, which shows that there are still many short sellers. < / P > < p > whether the chairman’s promise will have a real effect remains a big question. In addition to the high proportion of pledge financing for himself and the concerted action, Lin Jianwei started the process of reducing his holdings as early as the beginning of 2019, and planned to transfer the shares and transfer the control right in 2020. In September 2019, Lin Jianwei and his wife reduced 6.2 million shares through block trading at an average price of 11.8 yuan per share, and nearly 3.5 million shares through competitive trading at an average price of more than 13 yuan. < / P > < p > in addition to the above reduction through the secondary market, since 2019, Lin Jianwei and his wife and their concerted actors have sold shares through agreement transfer for many times. In September 2019, Lin Jianwei and his wife transferred 17.9557 million shares to a limited partnership at a price of RMB 12.18 per share, cashing in RMB 219 million yuan. < p > < p > in November 2019, Lin Jianwei transferred 18 million shares to Li Baichun at a price of RMB 12.2 per share, cashing in RMB 219.6 million yuan. < / P > < p > in 2020, the reduction and transfer of Lin Jianwei and his wife evolved into the transfer of control. In June 2020, Lin Jianwei and his wife will jointly hold about 150 million shares and plan to transfer Guizhou Wujiang Energy Investment Co., Ltd. with a total transaction price of more than 1.1 billion yuan. If the transaction is completed, the actual controller of the listed company will be changed to Guizhou SASAC. However, less than two months after the announcement, the above transfer was terminated, and a new seller appeared – Hangguo shares (002534. SZ). < / P > < p > the negotiation process of the transaction between Lin Jianwei and Hangguo shares has been carried out to the transaction price, transaction method and delivery method, and has been disclosed publicly. While investors were waiting, the two sides announced the termination of the transaction in October 2020. < / P > < p > will Lin Jianwei continue to sell control? The reporter consulted the Securities Department of the listed company as an investor, and its staff replied that there was no news about this matter. Lin Jianwei promised to make up for the loss of the listed company’s stock speculation this time. His staff said that the chairman of the board of directors issued this promise out of his responsible attitude to the small and medium shareholders. At present, the listed companies are replying to the attention letter of Shenzhen Stock Exchange. < / P > < p > Disclaimer: the purpose of this article reprinted by CNFC is to convey more information, and it does not represent the opinions and positions of CNFC. The content of this article is for reference only, and does not constitute an investment proposal. Investors operate on this basis at their own risk. < p > < p > Chinanet is a state key news website under the leadership of the Information Office of the State Council and the management of China foreign language publishing and Distribution Bureau. Through 11 versions in 10 languages, the website publishes information 24 hours a day. 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