The new "National Nine Articles" proposes to deepen the reform of the delisting system and accelerate the formation of a normalized delisting pattern that should be withdrawn and cleared in a timely manner. At present, the stock price of more than 60 A-share companies is less than 1.5 yuan per share, and fancy self-help is being staged.
Source: Photo.com
The stock price fell below 1 yuan, and the chairman hurriedly increased his holdings
On the evening of May 13, *ST SafBon (300262.SZ) announced the shareholding increase plan of Chairman Zhang Huagen, based on the confidence in the company's future development and long-term investment value, Zhang Huagen intends to increase his holdings of the company's shares through centralized bidding within 6 months, with an increase of not less than 5 million yuan and no more than 10 million yuan.
It is worth mentioning that the closing price of the company's shares has been lower than 1 yuan per share for two consecutive trading days. On May 10, the company's share price plummeted 20% to close at 0.84 yuan / share, and continued to fall to 0.83 yuan / share on May 13. The company launched an increase plan at this time, which inevitably attracted regulatory attention.
Soon after the announcement of the shareholding increase, the Shenzhen Stock Exchange issued a letter of concern to *ST Ba'an, requiring the company to verify whether the chairman Zhang Huagen has an affiliated relationship with more than 5% of the company's shareholders, directors, supervisors and senior personnel, and at the same time required Zhang Huagen to supplement the assets, liabilities and capital status of himself and his related parties, whether he is indeed capable of completing the shareholding increase plan, disclosing the intention of the shareholding increase plan after the company's stock price is lower than 1 yuan, and whether there is a situation of using the disclosure of the shareholding increase plan to speculate the stock price.
Zhang Huagen is the brother of Zhang Chunlin, the actual controller of *ST Ba'anyuan, who has served as the deputy general manager of the company's marketing department since August 2002, and has served as the company's chairman since April 3, 2023, without directly holding shares of the company, with an annual salary of 652,100 yuan in 2023.
In July 2023, *ST SafBon announced the 2023 restricted stock incentive plan (draft), which intends to grant 1 million shares to Zhang Huagen, accounting for 29.41% of the total number of restricted shares granted. After receiving the letter of concern from the exchange, the company lowered the number of restricted shares granted to Zhang Huagen to 500,000 shares. However, at the extraordinary general meeting of shareholders held in September, the "Proposal on Requesting the General Meeting of Shareholders to Authorize the Board of Directors to Handle Matters Related to the Company's 2023 Restricted Stock Incentive Plan" and "Proposal on < the Company's 2023 Restricted Stock Incentive Plan (Revised Draft) > and its Summary" were not passed.
The company is currently a director and supervisor of the high school, and the director Shen Zuoping is the spouse of Zhang Chunlin. In its reply to the exchange's letter of concern in March 2023, the company said that Shen Zuoping and Zhang Huagen could represent Zhang Chunlin's wishes. Zhang Chunlin is still the largest shareholder of *ST Ba'an, holding 117,074,100 shares of the company as of the end of March 2024, with a shareholding ratio of 17.48%, of which 117,073,700 shares are frozen and 99,592,700 shares are pledged.
Since Zhang Huagen became the chairman of the company, he has been punished by regulators twice.
In December 2023, Zhang Huagen was issued a warning letter by the Shanghai Securities Regulatory Bureau due to *ST Baan's failure to timely disclose the freezing of 19 bank accounts under his name. In March 2024, Zhang Huagen was issued a warning letter due to the inaccuracy of the company's operating income and total profit disclosed in the first quarter of 2023.
On the second day (that is, May 14), when it was announced that Chairman Zhang Huagen planned to increase his holdings, *ST Baan harvested the "20cm" daily limit, and the stock price returned to 1 yuan per share.
Framework agreement, increase holdings, repurchases, and "1 yuan shares" staged fancy self-help
In addition to *ST Baan, two other companies also launched self-rescue after the "1 yuan delisting" alarm sounded.
On the evening of May 13, ST Dima (600565.SH) announced that it had signed a business cooperation framework agreement with China Resources Yukang Asset Management Co., Ltd., intending to carry out business cooperation in the revitalization of distressed projects, asset value enhancement and industrial empowerment, and Chongqing's "three key problems and one revitalization". On the morning of May 14, there were media reports that the company said that it was making overall arrangements for funds to start the shareholding plan.
In response to the company's above-mentioned actions, the Shanghai Stock Exchange issued two letters of inquiry, requiring ST Dima to explain whether the performance of the relevant framework agreement and the signing of specific business agreements are premised on the company's maintenance of listing status, and whether the company has disclosed or leaked material information that has not yet been disclosed through non-statutory information disclosure channels in relevant reports interviewed by the media.
Prior to this, ST Dima shares closed below 1 yuan per share for 6 consecutive trading days from May 6 to 13, and closed at 0.82 yuan per share on May 13. On May 14, the company's share price rose 4.88% to 0.86 yuan per share.
In fact, at the beginning of the company's stock price falling below the "1 yuan red line", Chongqing Dongyin Holding Group Co., Ltd. (hereinafter referred to as Dongyin Holdings), the controlling shareholder of ST Dima, signed a "Strategic Investment Framework Agreement" with Chongqing Jiangnan Urban Construction and Development (Group) Co., Ltd. (hereinafter referred to as Jiangnan Group) on May 7, and Jiangnan Group intends to participate in the judicial reorganization of Dongyin Holdings as a strategic investor. On May 8, ST Dima's share price rose to the limit.
*ST Xianfeng (002141.SZ) launched a repurchase plan on the evening of May 12, with a total repurchase amount of not less than 50 million yuan and no more than 100 million yuan. On May 13 and 14, the company harvested two boards, and the stock price rebounded to 0.86 yuan per share. Prior to this, the closing price of the company's shares was below 1 yuan per share for 5 consecutive trading days from May 6 to 10.
*ST Xianfeng said that the sources of funds to be used for the repurchase are the company's own funds (excluding raised funds and borrowed funds). As of the end of 2023, the company's financial investment amount is about 470 million yuan, monetary funds are about 146 million yuan, and the amount of self-owned funds is more than 600 million yuan.
It is worth noting that due to the negative audited net profit in 2023 and the operating income of less than 100 million yuan, and the internal control audit report with a negative opinion in 2023, the Shenzhen Stock Exchange has implemented a "delisting risk warning" and "other risk warning" for *ST Xianfeng stock trading.
According to the relevant provisions of the Shenzhen Stock Exchange Stock Listing Rules (revised in 2024), if the annual report and audit report disclosed by the company before the end of April 2025 show that the company's audited net profit in 2024 is negative and the operating income is less than 300 million yuan, the company's shares will be terminated from listing and trading by the Shenzhen Stock Exchange.
Dozens of individual stocks sounded the alarm of trading delisting
According to the data of Choice Financial Terminal, as of the close of trading on May 13, a total of 17 A-share companies had stock prices below 1 yuan per share. Among them, *ST Meishang (300495.SZ), *ST Baoli (300116.SZ), *ST Meisheng (002699.SZ), *ST Civil Control (000416.SZ), *ST New Textile (002087.SZ), *ST Shimao (600823.SH), *ST Sansheng (300282.SZ), *ST Tai'an (002433.SZ), ST Zhongnan (000961.SZ), * ST Yuebo (300742.SZ) is basically locked in for delisting.
In addition, ST Huatie (000976.SZ) shares have been suspended since May 6, and the stock price was lower than 1 yuan per share for 7 consecutive trading days before the suspension, closing at 0.79 yuan per share. *ST Gaosheng (000971.SZ) closed below 1 yuan per share for 4 consecutive trading days from May 8 to 13, and the stock price was 0.82 yuan per share. Zhengyuan Co., Ltd. (600321. SH) closed below 1 yuan per share for 7 consecutive trading days from April 30 to May 13, and the stock price was 0.88 yuan per share. *ST Hongtao (002325.SZ) closed below 1 yuan per share for two consecutive trading days on May 10 and 13, and its stock price was 0.92 yuan per share.
In addition to the above-mentioned "1 yuan shares", there are 49 companies whose closing prices on May 13 are between 1 yuan / share and 1.5 yuan / share. Zhongyin Cashmere (000982. SZ), ST Dehao (002005.SZ) and many other companies have recently implemented buybacks or major shareholder increases.
On April 12, the China Securities Regulatory Commission (CSRC) issued the "Opinions on Strictly Implementing the Delisting System" to further deepen the reform of the delisting system and achieve an orderly and timely settlement pattern. On April 30, the Shanghai and Shenzhen Stock Exchanges officially issued revised stock listing rules, in which the market value of A-share (including A+B shares) listed companies on the main board was increased from 300 million yuan to 500 million yuan in terms of trading delisting indicators.
According to the data of Choice Financial Terminal, as of the close of trading on May 13, the main board companies with a total market value of less than 500 million yuan also include *ST Shentian (000023.SZ), *ST Meixun (600898.SH) and *ST Carbon Yuan (603133.SH).