ST Busen real controller thunder staged a "hat trick": the current has been infected in the United States by the new crown to release regulatory "pigeons"

Following the investigation of the listed company's suspected violation of laws and regulations on information disclosure by the CSRC, the actual controller of ST Busen was suspected of embezzlement of his position and was investigated by the Public Security Bureau.

ST Busen was founded in 1985 and focuses on the design, production and sales of "Busen Men's Wear" apparel products. However, since its listing in 2011, negative news such as "5 changes to actual controllers in 7 years", "3 consecutive actual controllers thunderstorms", "deduction of non-losses for 7 consecutive years", and "3 cases and investigations in 6 years" have continued. Interestingly, two of the actual controllers also evaded regulatory interviews on the grounds of infection with the new crown in the United States and treatment abroad. In the face of a field of chicken feathers, how should ST Busen clean up?

The actual controller was investigated for his occupation of his position, and the relevant company said that "the person in charge is not there"

On the evening of January 18, ST Busen announced that the actual controller Wang Chunjiang was investigated by the Haikou Municipal Public Security Bureau for suspected occupation of the position of Hainan Yilian Puhui Internet Microfinance Co., Ltd.

According to Tianyan, Hainan Yilian Puhui Internet Microfinance Co., Ltd. (hereinafter referred to as "Hainan Yilian Puhui") was established in August 2016, and its business scope includes special operation of small loan business, operation of small loan business through the Internet platform, and investment in industrial projects in the form of non-fundraising of its own funds.

Wang Chunjiang, which holds 61% of the shares, is a historical shareholder of Hainan E-Link Puhui, with a shareholding ratio of 30%, and the shareholding date is from August 2016 to June 2021.

Image source: Sky Eye Check

For the specific situation of job encroachment, the author called the Haikou Municipal Public Security Bureau and Hainan Yilian Puhui respectively, and the Haikou Municipal Public Security Bureau said that "the situation of filing and investigating the case is not announced", and the staff of Yilian Puhui said, "The relevant person in charge of our side is not there.". The actual controller once evaded regulatory interviews on the grounds of contracting the new crown in the United States

Although ST Busen stressed that the company's business activities are normal, Wang Chunjiang's case filing and investigation has not had a major impact on the production and operation of listed companies, corporate governance, etc.

However, from the bright side, the actual controller Wang Chunjiang has disappeared from public view for a long time.

In August last year, ST Busen's reply to the Zhejiang Securities Regulatory Bureau's regulatory inquiry letter announced that Wang Chunjiang accompanied his wife to enter the United States in February 2021 for personal family reasons, stayed in the United States, and now lives in San Francisco, but due to infection with the new coronavirus, he cannot get a green code to return to China, nor can he go to the Zhejiang Securities Regulatory Bureau to participate in the conversation.

Source: Listed company announcement

Wang Chunjiang's "promise" to return to China is far away. ST Busen later announced that during Wang Chunjiang's residence abroad, it was difficult to do personal work on the company's operation and development due to distance reasons, which may affect the efficiency of operation and governance, so he delegated the corresponding voting rights of the shares he held, or even handed over control.

The actual controller thundered and staged a "hat trick", and the main business of deducting non-losses deteriorated

St Busen real controller is about to change again.

Since the founder Shou Caifeng family reduced its holdings and cashed out, since 2015, ST Busen has been repeatedly "handed down", including many capital players Xu Maodong and Zhao Chunxia. However, the successive actual controllers have staged frequent changes and frequent thunderstorms.

In March 2015, the first change was made.

The original controlling shareholder, Busen Group, transferred 41.8 million shares to Shanghai Ruidu, which became the controlling shareholder, and the actual controller was changed to Yang Chen, Tian Yu, Mao Guiliang and Liu Jing accordingly.

In August 2016, the second change was made.

By transferring 95.02% of the equity of Shanghai Ruihu, Xu Maodong of the "Galaxy System" joined ST Busen and became the new actual controller.

However, during his time in power, Xu Maodong was suspected of involving ST Busen in a number of illegal guarantees by forging or misappropriating official seals and making guarantee documents privately, and has been plagued by lawsuits so far. Xu Maodong, who was publicly reprimanded by the Shenzhen Stock Exchange and fined the highest level by the CSRC, has long avoided the United States.

In October 2017, the third change was made.

Xu Maodong transferred his 16% stake in ST Busen to Anjian Technology for 1.066 billion yuan, and Zhao Chunxia took over the actual controller.

Soon after, Zhao Chunxia was chased away for illegally absorbing tens of billions of yuan in deposits from the public on suspicion of operating its P2P platform "Love Investment". According to ST Busen's previous reply to the Zhejiang Securities Regulatory Bureau's inquiry letter, Zhao Chunxia evaded supervision on the grounds that she was "receiving treatment abroad and unable to return to China for interviews".

Subsequently, Zhao Chunxia left her job, and control changed hands.

In May 2019, the fourth change was made.

Dongfang Hengzheng auctioned 16% of st busen's equity, the largest shareholder and controlling shareholder, and the actual controller of Dongfang Hengzheng is Wang Chunjiang.

Interestingly, from Xu Maodong, Zhao Chunxia to Wang Chunjiang, the final trend is to avoid foreign countries before the thunderstorm, and throw their hands st. Busen, "change of owners - infighting - step down - run" drama is repeatedly staged.

Today, ST Busen is about to usher in the fifth change of actual controller. According to the announcement, Wang Chunjiang first entrusted the corresponding voting rights of 60% of the shares of Oriental Hengzheng held by him to Wang Yazhu in August 2021 and elected her as chairman; then, he threw out a fixed increase plan, st Busen proposed to issue 43.2 million shares to Huaxia Xianhe controlled by Wang Yazhu at a price of 6.29 yuan per share. At that time, the proportion of shares with voting rights in Wang Yazhu will reach 35.06%, the controlling shareholder of ST Busen will be changed to Huaxia Pioneer, and the actual controller will be changed to Wang Yazhu.

According to public information, Wang Yazhu has been engaged in the cultural and education industry for many years, and later participated in investment in oil and gas, semiconductor chips, education and other fields as an investor. In addition, Wang Yazhu is the mother of Wang Chunjiang's wife, that is, Wang Chunjiang's mother-in-law.

During the frequent change of actual controllers, ST Busen's main business further deteriorated. Past financial reports show that since 2014, the company's non-net profit has been negative for 7 consecutive years. As of the first three quarters of 2021, the company still lost 3 million yuan after deducting non-net profit.

Source: Oriental Wealth

As for whether Wang Chunjiang's case filing and investigation will affect the degree of improvement and how the actual controller will ensure sustained profitability after the change of actual controllers, the author has repeatedly called the secretary of the board of directors of ST Busen, but no one answered.

However, in the stock bar, some investors are not optimistic about this, saying that "at present, the replacement of the actual controller will be carried out soon, and the additional issuance will also be aborted."