Produced｜Sohu Finance

Author｜Wu Ya

On June 21, Jiakai City Group Co., Ltd. (000918.SZ, referred to as “Kakai City”) announced that in order to solve the problem of horizontal competition with listed companies, the controlling shareholder Guangzhou Kailong Real Estate Co., Ltd. (abbreviated as “Kay City”) announced that “Long Real Estate”) intends to transfer 29.90% of the company it holds to Shenzhen Huajian Holdings Co., Ltd. (referred to as “Huajian Holdings”).

According to the announcement, Kailong Real Estate’s shareholding in Kakai City will be reduced to 27.85% after the transfer of the aforementioned equity, and will voluntarily waive the voting rights of the above shares. At this point, Kailong Land will no longer be the direct controlling shareholder of Kakai City.

Earlier, Jiakai City announced that the company intends to plan a change of control. Trading of the company’s shares will be temporarily suspended from the opening of the market on June 21. Trading will resume after the company discloses relevant announcements through designated media. At the time of the announcement, Jiakai City’s share price For 4.65 yuan / share, the total market value is about 8.389 billion yuan.

The story of Kailong Real Estate and Kakai City began in 2017. At that time, in order to solve the problem of competition in the industry, Evergrande Real Estate (acquired 52.78% of Kakai City shares in 2016 for 3.6 billion yuan) transferred its shares in Kakai City To Kailong Real Estate, Kailong Real Estate became the controlling shareholder of Kakai City. According to the company’s AP, Kailong Real Estate currently controls Evergrande Real Estate with a shareholding ratio of 59.42%.

After Jiakai City was acquired by Evergrande Real Estate, it embarked on a road of transformation. Among them, “de-real estate” to cooperate with Evergrande Real Estate to solve the problem of “competition in the same industry” has become the primary task of Jiakai City for a long time. Since then, the sale of equity and asset packages has become the norm in Kakai City, with a total amount of over 11 billion yuan. However, the problem of horizontal competition between the two parties has not been resolved smoothly. In July 2019, Kakai City also announced that it would postpone the resolution of horizontal competition with Evergrande Real Estate before August 1, 2021.

The commitment period is approaching. As the direct controlling shareholder of Kakai City, Kailong Real Estate transferred some of its shares. An insider of Evergrande Real Estate told Sohu Finance that “the major shareholder transferred out the relevant shares to become a non-controlling shareholder. The signed agreement on resolving horizontal competition is beneficial and can solve the problem of horizontal competition among listed companies.”

“Transfer of shares and waive voting rights has nothing to do with the company’s capital issues”

According to the announcement, in this equity transfer, Kailong Real Estate intends to transfer its 57.7% equity in Kakai City and transfer 29.9% of it; after the transfer is completed, Kailong Real Estate’s shareholding in Kakai City will be reduced to 27.8%, no longer the direct controlling shareholder of Jiakai City, and will voluntarily waive the voting rights of the above shares.

The acquirer is Shenzhen Huajian Holdings, which is mainly engaged in equity investment business, and the actual controller is Wang Zhongming. Among them, Huajian Holdings is the holding company of Shenzhen Cuilin Investment Holding Group Co., Ltd., and Cuilin Investment has had a lot of intersection with Evergrande before.

According to the data combed by Zongheng Plus, starting from the end of December 2016, Evergrande has introduced 3 rounds of battles for Shenzhen Real Estate in less than a year. There are a total of 24 strategic investment companies with a total amount of 130 billion yuan, which is the largest financing scale in the real estate industry. Among them, there is Huajian Holdings, with an investment of 5 billion yuan.

In September 2016, Evergrande Group issued an announcement on the Hong Kong Stock Exchange to sell “non-main business of grain, oil, dairy products and mineral water” for a total consideration of approximately 2.7 billion yuan. 600 million yuan was sold to Shenzhen Lailai Industrial Co., Ltd.; Dairy Group Company sold to Shenzhen Mingsheng Torino Trading Co., Ltd. and Sunlight Property Management Limited for 300 million yuan; the total consideration of Mineral Water Group Company was 1.8 billion yuan, and the buyer was Shenzhen Sunway Turing Automobile Sales Service Co., Ltd. and Lipu (HongKong) Limited.

Inquiring into the national corporate credit information publicity system, we can find that the three companies that took over this time are related to the same company, Cuilin Real Estate; and Cuilin Real Estate is related to Cuilin Investment.

For example, Wang Haijiao, the legal representative of Shenzhen Lailai Industrial Co., Ltd., is also a director of Cuilin Real Estate; Shenzhen Sunway Turing Auto Sales Service is one of the legal shareholders of Cuilin Real Estate Investor Shenzhen Judan Industrial Development Co., Ltd. 1. Wang Weimin, the legal representative of Shenzhen Mingsheng Turing Trading Co., Ltd. who took over the dairy products, is also a director of Shenzhen Kaifeng Commercial Construction Investment Co., Ltd., a subsidiary of Cuilin Real Estate.

According to the enterprise search app, Cuilin Real Estate is 100% owned by Shenzhen Judan Industrial Development, and after the equity penetration, it is wholly-owned by Cuilin Investment Holdings. The legal representative of Cuilin Investment is Wang Zhongxin.

At that time, some media questioned that Evergrande’s move was playing a left-handed-to-right-hand trick, saying that Evergrande’s mineral water, grain and oil business had been sold to “owners.” According to the Enterprise Check App, Wang Zhongxin is also the current legal person of Evergrande Agriculture and Animal Husbandry Group Yichang Co., Ltd.

Jiakaicheng said that matters related to this transaction still need to pass the review of the concentration of operators by the State Administration for Market Regulation. In view of the uncertainties in the matter, in order to ensure fair information disclosure and safeguard the interests of investors. Since the market opened on June 21, trading of the company’s stocks is expected to be suspended for no more than 5 trading days.

The timing of the transfer of part of the equity held by Jiakaicheng’s controlling shareholders is also more subtle.

According to the data, Jiakai City was formerly known as Yahua Seed Industry (formerly renamed Yahua Holdings). In 2009, Jiakai City was led by Zheshang Group and injected many real estate companies such as International Jiaye, Zhongkai Group, Mingcheng Group, etc. , And sold *ST Yahua’s original agricultural assets to repay part of the debt, thus realizing a backdoor listing.

But only seven years later, in 2016 Kakai City ushered in the second major asset reorganization. At that time, Evergrande Real Estate acquired a 52.78% stake in Jiakai City for 3.6 billion yuan, and thus became the controlling shareholder of Jiakai City.

At that time, Evergrande Real Estate stated in related announcements that by acquiring 52.78% of Jiakai City, it can enrich its own land reserve resources and further increase the proportion of projects in first- and second-tier cities. “The company will have a domestic capital market A-share listing platform. , And through the strategic integration of the two parties, it will further enhance the company’s continued profitability.”

At the time of the acquisition, there was a certain degree of horizontal competition in real estate business between Jiakai City and Evergrande Real Estate and its actual controllers. Therefore, in order to solve the problem of horizontal competition, in February 2017, Evergrande Real Estate The 52.78% shares in Jiakai City were transferred to Kailong Real Estate at a total price of RMB 6.53 per share and a total price of RMB 6.2 billion.

Through this transfer, Kailong Real Estate directly holds 52.78% of the shares of Jiakai City and is the direct controlling shareholder of Jiakai City; this is also an equity transfer between different entities controlled by the same actual controller, combined with the 2016 Evergrande Judging from the cost price of the 3.6 billion yuan of real estate in Jiakai City, Evergrande Real Estate made a profit of nearly 2.6 billion yuan from the transfer.

In addition to changing the direct controlling shareholder through equity equipping, Jiakai City after the acquisition has also embarked on a road of transformation. Among them, “de-real estate” to cooperate with Evergrande Real Estate to solve the problem of “competition in the same industry” has become the primary task of Jiakai City for a long time. Since then, the sale of equity and asset packages has become the norm in Kakai City.

Statistics from Sohu Finance found that during the four years from 016 to 2019, there were 15 subsidiaries with sold equity disclosed in the annual report of Jiakai City, and the above-mentioned sales transactions involved a total of approximately 11.011 billion yuan.

In October 2020, Jiakai City was also revealed that its residential and commercial assets were packaged for sale, involving about 10 billion yuan. However, Jiakai City did not respond to this news.

However, solving the problem of horizontal competition is not an easy task. In July 2019, Jiakai City announced an announcement that it would postpone two years to resolve horizontal competition with Evergrande Real Estate. According to the announcement, the overall stock asset size of Jiakai City has been reduced from 30 billion yuan in the initial acquisition of Evergrande Real Estate to about 13 billion yuan (as of the end of 2018), and the remaining stock is mainly commercial assets.

Jiakaicheng said that the reasons for not fulfilling the commitments were that real estate regulation and other factors led to the inability to clear its real estate sales in a timely manner, and that the second main industry cinema business was still in the cultivation stage. Therefore, Guangzhou Kailong and Xu Jiayin promised to resolve the issue of horizontal competition with Jiakai City in various ways permitted by laws and regulations at that time within 2 years from August 1, 2019.

In other words, before August 1 this year, the time limit agreed upon by both parties is approaching; in this way, there is only about one month left.

An insider of Evergrande Real Estate revealed to Sohu Finance that “the transfer of shares and the waiver of voting rights are mainly to solve the problem of competition among listed companies.” The insider also said that “share transfers are not for cashing out, and have nothing to do with the company’s capital problems.”

Since May of this year, there have been constant negative news surrounding Evergrande, and various rumors have been fermented around the sale of houses at discounts, Evergrande’s operating conditions, and capital chain. On June 7, Evergrande issued a statement to refute the rumors, saying that the company’s production and operation are all normal. In the 25 years since its establishment, there has been no case of late payment of loan interest or overdue return of principal.

Evergrande also stated that since March last year, the company has implemented a development strategy of “high growth, scale control, and debt reduction”, and its interest-bearing debt has dropped by nearly 300 billion yuan in a year; before the end of this month, the company’s Interest-bearing liabilities are expected to fall from last year’s highest of 874.3 billion yuan to less than 600 billion yuan, and at least one of the three red lines will turn green.

Revenue in the first quarter increased by 130%, and the stock price reached 9.14 yuan during the year

In fact, when the issue of horizontal competition between Jiakai City and Evergrande will be resolved, it has always been an issue of concern to investors. Prior to this, Jiakai City had repeatedly expressed to investors on platforms such as Hudongyi that the company is continuing to promote the resolution of related problems, and will accelerate the strategic positioning of its main business to continuously improve its future sustainable development capabilities.

Behind the concerns, there are more concerns about Kakai City’s performance and the company’s development. From the perspective of financial data, the performance of Jiakai City since 2016 is not optimistic. From 2016 to 2020, Jiakai City’s revenue fell from 3 billion yuan to 1 billion yuan; the net profit attributable to the parent company turned from profit to loss, and the year-on-year decline in 2020 was 1202.64%.

The latest annual report shows that in 2020, Kakai City’s revenue is 1 billion, a year-on-year decrease of 39.5%, and the decline is larger than the same period last year; net profit attributable to the parent is -1.26 billion, compared with 110 million in the same period last year, failing to maintain profitability ; Gross profit margin was -4.2%, a year-on-year decrease of 27.1 percentage points; net profit margin was -128.3%, a year-on-year decrease of 130.9 percentage points.

Jiakai City has also developed a “second main business”, that is, the theater business. Among them, in July 2018, Jiakaicheng acquired 100% equity of Beijing Star Times Cinema Investment Co., Ltd. and Aimee (Beijing) Cinema Investment Co., Ltd., and formally stepped into this field.

According to the annual report data, in 2019, 99 cinema companies under Kakai City opened newly opened cinemas, and a total of 117 cinemas have been opened. In the same year, about 14.44 million people watched movies in cinemas, and the box office accounted for about 0.78% of the national market.

Reflected in terms of performance, in 2018, Jiakaicheng film and television projection business revenue was 31 million yuan, accounting for 1.87% of revenue; in 2019, Jiakaicheng film and television projection business revenue was 619 million yuan, a year-on-year increase of 1896.7%; gross profit margin 97.58% , Far exceeding 36.21% of the real estate business in the same period.

However, just as Jiakai City’s second main business theater line business is still in the cultivation stage, and the proportion of revenue and profit of this business is also small, at present Jiakai City’s main business is still real estate, and its revenue contribution ratio in 2020 60.28%.

As of the first quarter of 2021, Jiakai City’s total operating income was 360 million, a year-on-year increase of 130.1%; net profit attributable to the parent was -160 million, compared with -310 million in the same period last year, and the loss narrowed; operating cash flow increased from -190 million Increased to 160 million, an increase of 183.2% year-on-year.

Jiakaicheng believes that the company’s film and television projection business has gradually returned to normal in the first quarter of 2021; in addition, the company’s interest-bearing liabilities have decreased compared with the same period last year, and financial expenses have decreased.

Since the beginning of this year, Jiakai City has experienced high-level personnel changes. On January 26, Jiakai City announced that Shi Shouming was elected as the new chairman of the board. Shi Shouming, 46 years old, has served as Vice President of Evergrande Real Estate Group and Chairman of Inner Mongolia Company, Hainan Company, Beijing Company, President of Evergrande Real Estate Group and Chairman of Sichuan Company, etc.; previously, Shi Shouming worked due to work The reason for the transfer resigned as chairman of Evergrande Automobile (00708.HK).

Also on January 8th, Jiakai City also announced that director Li Huaibin had been recommended by more than half of the directors and became the acting chairman of Jiakai City. Li Huaibin is currently the vice president of Evergrande Real Estate Group. From January 11 to January 20 after the announcement, in these 8 trading days, Jiakai City received a total of 5 daily limit, and the stock price rose from 3.29 yuan to 5.29 yuan, an increase of about 60.79%.

The stock price information shows that this is a rare rise for Kakai City. Since 2019, Jiakai City’s stock price has shown a downward trend as a whole.On February 2 this year, although the stock price had risen to 9.14 yuan /Share high point, but the stock price has declined overall since then.

As of the trading day before the suspension on June 21, Jiakai City reported 6.45 yuan per share. In the past five months, the share has fallen 29%, and the total market value has shrunk by more than 8 billion yuan.

Compiler: ziyiZ

Source: InstitutionalInvestor

Source: GPLP Rhino Finance (ID: gplpcn)

Among the companies that pension funds will allocate funds to private equity companies in 2020, Thoma Bravo, which focuses on software and technology, is the most popular. According to new data, in terms of private equity investment, pension funds will invest the most in Thoma Bravo in 2020 , Followed by CVC Capital.

According to a report commissioned by Vidrio Financial, an alternative investment technology provider, in 2019, the California State Teachers’ Retirement System, the Florida State Board of Administration and the Massachusetts PRIM The 13 public pension funds in China have allocated a total of US$2.9 billion to the three Thoma Bravo funds.

As of March 31, 2021, Thoma Bravo manages $78 billion in assets.

In this regard, Vidrio founder and CEO Mazen Jabban said: “2020 brings new challenges, and allocators are looking for new options to cope with continued market volatility, cost pressures and diversification of alternative asset investments.”

The report stated that in 2019, investors allocated $103 billion in alternative investments among 600 different commissions. Most of the funding came from the second half of the year, after the worst economic slowdown.

CVC Capital Partners’ private equity fund ranked second in the survey, receiving $2.6 billion in funding from eight pension funds.

Among them, Oaktree Capital Management (Oaktree Capital Management) ranked third, invested 1.8 billion US dollars in three funds; Clearlake Capital ranked fourth, invested 1.3 billion US dollars in eight funds.

Vista Equity Partners received $1.1 billion from investors, and these funds flowed into six funds.

Overall, the surveyed pension funds invested US$46 billion in private equity investments in 2020. Among the funds included in the data set, CalSTRS had the highest allocation of private equity investments last year, reaching $31 billion.

Asset allocation reflects changes in the fortunes of companies under the lockdown

The investment of distributors reflects the impact of the big trend on the economy and emerging industries. People work from home, avoid travel and go to entertainment venues.

Vidrio found that “the role of the big trend in strategic choices cannot be ignored, because as consumers have delivered basic goods such as groceries to their homes, real estate managers have seen the attractiveness of unique logistics funds. It turns out that real estate investment trusts (Reit) Grocery store investment is as popular as laboratory real estate, as is investment in streaming entertainment service studio space.”

Vidrio also assessed the real estate, private business, and hedge fund companies with the highest commitments in 2020. The results show that pension funds allocated a total of 28 billion US dollars in physical assets in 2020, of which Stonepeak Infrastructure Partners received a maximum of 1.5 billion in five pension funds. The configuration of the dollar. PGIM received $1.2 billion from two pension funds-Massa Reserve PRIM and New York State Common Retirement Fund.

Private debt-20 billion U.S. dollars in capital inflow in 2020 is one of the areas that has boomed in recent years.

The report said: “Credit investment in private institutions is not suitable for those who cannot afford some lack of liquidity.” “People must be willing to bet and allow it to change within 5 to 10 years.”

In 2020, Ares Management received the highest private credit grant of $1.3 billion from the Alaska Permanent Fund, the Texas County and Territory Retirement System, and the Virginia Retirement System.

According to the report, although hedge funds have gone through a difficult few years, they have “made a comeback” with newly authorized investments of US$9 billion. The ever-popular Bridgewater Associates received the highest grant this year.

$900 million from the Oregon Investment Council. The fund is the highest allocator of hedge funds in 2020, injecting a total of US$1.4 billion into Bridgewater, quantitative fund management companies FORT and GMO.

Jabban said that Vidrio “saw many hedge fund managers entering the private investment field. On the contrary, there are also precedents for listing after investing in private fund managers.” He expects this trend to continue to move forward.

He said: “The convergence of public and private investment will pose challenges for operational due diligence and risk management, and changes need to be made so that organizations can control new opportunities and avoid falling into endless data and technical challenges.”

The most popular private equity company based on pension fund data

(The top five investment managers based on the amount of increase in 2020)

According to the announcement, Shanghai Jukun Network Technology Co., Ltd. (hereinafter referred to as “Jukun Network”) is a subsidiary of Giant Network Group Co., Ltd. (hereinafter referred to as “Giant Network”). Giant Network directly holds 48.81% of its shares. Shanghai Judao Network Technology Co., Ltd. (hereinafter referred to as “Judao Network”), a wholly-owned subsidiary of the Internet, holds 0.19% of its shares. Giant Network and Judao Networks together hold 49% of its shares. The company’s affiliated legal person, Giant Investment Co., Ltd. Has its 51% equity. After the completion of this transaction, Jukun Network will change from a subsidiary of Giant Network to a holding subsidiary. Given that Playtika has advanced technical strength and global distribution capabilities, this donation will help Giant Networks quickly accumulate advanced technologies such as artificial intelligence and big data, enrich the company’s product line, and obtain global distribution capabilities.

It is reported that Jukun Network is a strategic linkage platform between Giant Investment and Giant Network. Its core asset, Playtika, is an Israeli high-tech Internet company driven by artificial intelligence and big data analysis technology. In January 2020, Playtika was listed on the Nasdaq Stock Exchange in the United States.

Tianyancha shows that at present, Playtika mainly uses artificial intelligence and big data analysis technology to engage in the research and development, distribution and operation of casual social network games, and its business is distributed in overseas markets such as the United States, Europe, and Australia.

Playtika has maintained rapid growth in the past few years. According to Playtika’s fourth-quarter and full-year 2020 financial reports released since its January IPO, Playtika’s fourth-quarter revenue was US$573.5 million, a year-on-year increase of 17.5%; net profit was US$76 million, compared to US$30 million in the same period last year. Later EBITDA (EBITDA is the abbreviation of Earnings Before Interest, Taxes, Depreciation and Amortization, that is, profit before interest, taxes, depreciation and amortization) was 210.4 million US dollars, higher than the 169.7 million US dollars in the same period last year.

In terms of revenue and profit, Playtika’s 2020 revenue was US$2.3715 billion, an increase of 25.64% year-on-year; the net profit in 2020 was US$92.1 million, which was a decline of nearly 70% compared with US$288.9 million in 2019. The adjusted EBITDA was US$940 million. Overall, this is the first time that Playtika’s annual revenue has exceeded US$2 billion, and it is also the first time that its casual games have contributed more than US$1 billion in annual revenue.

Playtika’s previous financial reports disclosed that Playtika’s operating income increased from US$1.151 billion in 2017 to US$1.888 billion in 2019, with a compound growth rate of 28.07%. Adjusted EBITDA profit increased from US$374 million in 2017 to US$621 million in 2019. , The adjusted EBITDA margin has been maintained at around 32% for a long time.

In 2016, Giant Network “backdoor listing”, Giant Network Chairman Shi Yuzhu, together with investors such as Yunfeng Fund, prepared to acquire Playtika from Caesars Interactive Entertainment for US$4.4 billion. If the acquisition is successfully completed, Giant Network will hold 100% of Playtika’s shares in total and determine that the transaction consideration for all of Playtika’s Class A common shares is 30.5 billion yuan. It is worth mentioning that the giant’s partners in this acquisition include Shanghai Lingyi and Shanghai Lingyi. Behind them is Yu Guoxiang’s Ningbo Yu family. Previously, China Net Technology disclosed that Yu Guoxiang had transferred shares in Leyou Technology and received $80 million in sincerity from potential buyers.

However, Playtika itself is very controversial as a board game. In fact, Playtika is currently the world’s number one chess, card, and gambling mobile game company. The founder Robert Antokol is an industry veteran and has worked in CMate and Oberon Media successively. In 2010, Antokol founded Playtika with US$1.5 million. Within a year, the company was acquired by Caesars Interactive Entertainment for US$160 million, which was more than a hundredfold.

Its current main source of business income is five board games, namely “Slotomania”, “WSOP (Texas Hold’em Series)”, “HouseofFun (Slot Series)”, “CaesarsSlots (slot series)”, “BingoBlitz ( Bingo Slot Game Series)”.

The key issue of the acquisition may be Playtika’s “suspicion of gambling”. In 2019, the Securities Regulatory Commission gave two feedbacks on Giant Network’s application for issuing shares to purchase assets. They all commented on the virtual currency, recharge status, probability of winning or losing, and abnormal recharge during the operation of Playtika. Conduct key questions on behavior and other issues, such as whether the game in Playtika has the function of refunding currency or points, whether there is a situation where cash and other properties are used as prizes or cash and other properties are given to others by way of repurchasing prizes, whether there are other platforms or objects Assets, major shareholders, directors, supervisors, and other related parties provide services or conveniences for their refunds, refunds, transfer of points/game currency, and cash and other property rewards or transfers.

In addition, in July 2020, the Shenzhen Stock Exchange issued a letter of concern to Giant Network, asking whether Giant Network previously disclosed the “Material Asset Purchase and Related Transaction Plan” whether the underlying asset is suspected of gambling.

Therefore, the “suspicion of gambling” may be one of the reasons why the giant network’s acquisition transaction has been repeatedly rejected by the China Securities Regulatory Commission.

The acquisition did not go smoothly. In addition to the controversy in the project itself, there were also some hidden ups and downs. Earlier, there were rumors that Shi Yuzhu was taken away by the Hangzhou police for investigation in 19 years, causing shocks in the industry.

Later, Shi Yuzhu refuted the rumors on Weibo, saying that someone went to the Securities Regulatory Commission to discredit him in order to undermine the approval of the Giant Network’s major asset restructuring project and spread rumors that he was taken away by the police.

It took more than 4 years to install Playtika in an A-share listed company. Shi Yuzhu did not give up. Through the “curve” method, he acquired Playtika with a huge amount of money from a giant network affiliate.

According to Tianyan Check, Giant Network was established on July 22, 1997 with a registered capital of 2.024 billion yuan. The legal representative is Liu Wei, Chairman of the Investment Decision Committee of Giant Innovation Investment Fund. Its business scope includes the development and sales of computer game software; online game publishing Operation; use the Internet to sell game products; animation design, production, etc. In January 2021, a large equity pledge occurred. The number of pledged shares was 79.2 million shares, and the market value of pledged shares reached 1.367 billion yuan. The shareholders include Shanghai Giant Investment Management Co., Ltd., Shanghai Tengpeng Investment Partnership (Limited Partnership) and other 10 companies. Among them, the largest shareholder is Shanghai Giant Investment Management Co., Ltd., with a shareholding ratio of 27.87%. Giant Networks invested a total of 14 companies abroad, of which Fei Yongjun, Vice President of Giant Networks, served as the company’s legal person accounted for 8 companies.

According to the first quarterly report of Giant Network, the revenue of Giant Network in the first quarter was 567 million yuan, down 18.14% year-on-year; net profit was 320 million yuan, up 1.2% year-on-year. Total assets were 10.921 billion yuan, up 7.9% year-on-year; total liabilities were 1.246 billion yuan, down 30.53% year-on-year; operating cash flow was 97.935 million yuan, down 54.11% year-on-year; investment cash flow was -273 million yuan, and financing cash flow was -170 million yuan.

In addition, Giant Network Group Co., Ltd. holds 5.77% of shares in the special securities account for repurchase, Shanghai Rhenium Investment Consulting Center (Limited Partnership) holds 4.99% of shares; Shanghai Peng Teng Investment Partnership (Limited Partnership) holds 4.73% of shares , Shanghai Gaoyi Asset Management Partnership (Limited Partnership)-Gaoyi Linshan No. 1 Yuanwang Fund holds 4.22%; Shanghai Fuye Equity Investment Partnership (Limited Partnership) holds 3.52%, Hony Capital (Shanghai ) The equity investment fund partnership (limited partnership) holds 3.39% of the shares.

Among them, Giant Investment and Tengpeng Investment are both companies controlled by Shi Yuzhu, the actual controller of Giant Network, and Giant Investment and Tengpeng Investment constitute parties acting in concert. As of the end of 2020, Shi Yuzhu’s total indirect shareholding is approximately 35.828%.

Tianyan Check shows that in the past year, Shanghai CDH Fuyuan Equity Investment Partnership (Limited Partnership) reduced its shareholding in Giant Network by 1.32%, and Shanghai Zhongjin Yiyuan Investment Consulting Center (Limited Partnership) reduced its shareholding in Giant Network by 0.89. % Equity; Shanghai Peng Teng Investment Partnership (Limited Partnership) reduced its 2.83% equity in Giant Network, and Hony Capital (Shanghai) Equity Investment Fund Partnership (Limited Partnership) reduced its 2.83% equity in Giant Network.

Shanghai Rhenium Investment Consulting Center (Limited Partnership) reduced its holdings of 0.98% of Giant Networks, and Shanghai Fuye Equity Investment Partnership (Limited Partnership) reduced its holdings of 0.66% of Giants Networks.

This means that in addition to funds controlled by Shi Yuzhu, funds such as Hony and CDH are all selling the shares held by Giant Network.

Image source: Photograph

Reporter | Zhao Yangge Reporter | Zhao Yangge Longda Meat (002726.SZ) has more than doubled its performance in 2020, while ST Yunsheng (600767.SH) has only turned losses into profits, and will even be transferred out, two listed companies controlled by the “Yijun Family” Platform, now it can be described as the two heavens of ice and fire. In fact, the “Yijun family” Dai Xuebin and Dong Xiang took charge of ST Yunsheng even earlier. They have spent a lot of effort in the past five years, but they did not produce satisfactory results in the end. After the annual report, there are two consecutive limits On the evening of April 19, ST Yunsheng disclosed its 2020 annual report. The annual report disclosed that ST Yunsheng’s operating income in 2020 was only 48.673 million yuan, compared with 132 million yuan in 2019, which was a sharp decline of 63.26% year-on-year; the net profit attributable to shareholders of listed companies was 9.6395 million yuan, which turned losses into profits compared with 2019. Net profit is still 1.385 million yuan, and basic earnings per share are 0.028 yuan. ST Yunsheng is mainly engaged in medical information business, medical service business and medical circulation business. ST Yunsheng stated that the main reason for the decrease in operating income was that the company’s medical circulation business income recognition principle was adjusted from the gross method to the net method in the current period with reference to the implementation of the new income standards, and revenue decreased by 51,594,500 yuan from the previous year; in addition, the company’s current revenue The completion of the business sale of Rongda Information during the period, a year-on-year decrease in revenue of 32.75 million yuan; and the change in net profit was due to the company’s timely stop loss and sale of poorly operated businesses, which reduced operating losses and impairment losses by approximately 46,895,100 yuan year-on-year.

The data that turned losses into profits is arguably a good thing for ST Yunsheng, but on the first trading day (April 20) when the annual report was released, ST Yunsheng seemed to be overdrafted and opened with a lower limit. The final drop was 5.08% and changed hands. The rate is 1.59%. The lower limit lasted until April 21. From the disk perspective, this “seeing the light and death” lower limit seems to be a sign. There was a lot of selling pressure on April 13 and April 14. The selling pressure on April 13 forced the ST Yunsheng on the daily limit to abruptly. However, the selling pressure on April 14 pushed ST Yunsheng’s stock price to the down limit.

Source: Tongdaxin

On April 22 and 23, ST Yunsheng’s share price has eased slightly, but it remains to be seen whether it will stop the decline.

“Yijun Department” opted out

It needs to be pointed out that this may be the last annual report under the rule of the “Yijun family” Dai Xuebin and Dong Xiang.

According to public information, Sichuan Lanrun Asset Management Co., Ltd. (hereinafter referred to as Sichuan Lanrun Assets), the controlling shareholder of ST Yunsheng, intends to transfer the office to Huayun Hexin (Hainan) Investment Partnership (Limited Partnership) (hereinafter referred to as Huayun Hexin) Holds 24.34% of ST Yunsheng’s shares; at the same time, from the date when Huayun Hexin and Sichuan Lanrun Assets signed the “Share Transfer Agreement” to the date when the “Share Transfer Agreement” was cancelled in accordance with the contract or the underlying shares completed the share delivery, Sichuan Lanrun Assets has irrevocably entrusted all the voting rights corresponding to the 8,299,929,280 shares of Yunsheng Medical that it holds in its unrestricted circulation to Huayun Hexin.

If the transfer is completed, Sichuan Lanrun Assets will no longer hold the company’s shares, Huayun Hexin will become the company’s controlling shareholder, and the company’s actual controller will be changed from the “Yijun family” Dai Xuebin and Dong Xiang to Weng Songlin. It is reported that the transfer price is 600 million yuan, and Huayun Hexin said that the funds came from its own funds.

Source: Announcement

According to data, Huayun Hexin was established on March 31, 2021. It was obviously set up for the transfer, and it did not carry out actual business itself. Weng Songlin was born in 1985. From June 2016 to May 2019, he served as the deputy director of Jiacui (China) Environmental Development Promotion Center and the vice president of Jierui Technology Education Group. From May 2019 to present, he has served as the chairman of Shenzhen Yilaixing Technology Co., Ltd. He has been the chairman of Huayun Holding Group Co., Ltd. since September 2020, executive director of Sinopharm Trading (Shanghai) Co., Ltd. since January 2021, and director of Sinopharm Co., Ltd. since January 2021.

Source: Announcement

Source: Announcement

It is shown in the equity change book that Huayun Hexin obtained control of the listed company, aiming to make full use of its resource integration and capital management capabilities, and through continuous resource allocation and optimization and adjustment of business structure, to comprehensively enhance the sustainability of the listed company , To promote the long-term, healthy and sustainable development of listed companies, and strive to build listed companies into high-quality listing platforms. Although Huayun Hexin plans to help listed companies continue to develop in the fields of medical services, medical technology, etc., Huayun Hexin has not sold or merged the assets and businesses of listed companies and their subsidiaries for the time being in the next 12 months. , There is no plan for joint venture or cooperation with others, and there is no reorganization plan for the listed company to purchase or replace assets.

According to the announcement, this transfer requires the compliance review of the Shanghai Stock Exchange and the procedures for the transfer of shares in the Shanghai Branch of China Deng Company. Therefore, the transfer of the underlying shares will take some time to complete.

Take a loss at a consideration of 600 million

Sichuan Lanrun Assets under the “Yijun Department” acquired 53.51 million shares of ST Yunsheng held by Kyushu Investment in June 2016, at a cost of 840 million yuan, and became ST Yunsheng’s largest shareholder. After several times of increase in holdings, only to hit the current ratio of 24.33% held, the control is stable. Now the resale price is set at 600 million yuan, and it has done a loss-making business in the past few years.

Source: Sky Eye Check

In less than 5 years, the effort of the “Yijun Family” is not only the above.

Public information shows that Lan Run has borrowed money from listed companies to supplement liquidity for turnover; in 2017, it also started to dispose of ST Yunsheng; it also introduced Redstone International to sign strategic investment agreements; and it has acquired assets after 2018. The targets include Shaanxi Runze Pharmaceutical Company, Jiaozuo Yuntaishan Pharmaceutical Co., Ltd., Jiangxi Qingchun Kangyuan Pharmaceutical Co., Ltd., Shanghai International Pharmaceutical Trade Co., Ltd., Jingde Honglin Health Industry Development Co., Ltd., etc.

However, although the “Yijun system” has paid something, it has been lingering on the question that the controlling party has no relevant core assets that can match ST Yunsheng. In terms of performance, ST Yunsheng has always been stuck in the shell war. The net profit in 2017 was 4,422,200 yuan, the net profit in 2018 was 20,408,300 yuan, the net profit in 2019 was -70,288,300 yuan, and the net profit in 2020 was 9,639,500 yuan; the non-net profits for the four years were -34,763,300 yuan and 4,637,200 yuan respectively. , -79,840,900 yuan and 1,385,800 yuan. For example, in 2017, the controlling party was once an emergency aid pool, and the related party purchased two assets of the company, so that the listed company recorded an investment income and helped it turn losses into profits that year.

Due to poor performance, the stock price continued to be sluggish. In June 2016, ST Yunsheng was still around 15 yuan. Just one year later, the stock price fell to around 6 yuan. After several years, on January 14, 2021, ST Yunsheng even set a new low of 2.45 yuan. As of the close of the market on April 22, 2021, the stock price closed at 3.61 yuan.

The center of gravity or the dragon big meat

Perhaps the attention of the “Yijun system” is not on ST Yunsheng, but on another listed company platform: Longda Meat.

The “Yijun Family” entering the Dragon Meat Food took place in 2018. In June of that year, Lanrun Investment Holding Group Co., Ltd. (now Lanrun Development Holding Group Co., Ltd.) spent 761 million yuan in real money to acquire 75.6 million shares of Longda Meat; in August, Lanrun spent more money 1.21 billion yuan, an additional 10% of the chips. In 2019, Lanrun made another big investment, investing 1.23 billion yuan. At that time, the proportion of holding Longda meat was increased to 29.92%, and the total cost was about 3.2 billion yuan. In addition, some shareholders’ Reduction of holdings will make the position of “Yijun Family” in Longda Meat Food even more stable. At present, Lanrun Development Holding Group Co., Ltd. holds 29.51% of Longda Meat, with 294 million shares.

After a few years of dormancy, taking advantage of the industry’s east wind, Longda Meat recorded an operating income of 24.102 billion yuan in 2020, a year-on-year increase of 43.27%. The net profit that year was 906 million yuan, which was an increase of 276.06%. The deduction of non-net profit was also around 900 million yuan, a year-on-year increase of 291.04%. At present, Longda Meat has formed a “whole industry chain” business development model with slaughter and fine processing and meat products as the core, and pig breeding and import trade as supporting facilities. As of the end of 2020, the company’s actual slaughtering capacity was 10 million heads/year. In 2020, the company has slaughtered 4.065 million pigs, and its service targets include Yum System, McDonald’s System, Hormel (China), Shanghai Meilin, Haidilao, General Mills, Master Kong, Yihai Kerry, Ting Hsin International, etc. In addition, Longda Meat also has a meat product section with a production capacity of 60,000 tons per year. As for breeding, as of the end of 2020, Longda’s meat breeding production capacity is 600,000 heads/year. In 2020, the company will produce 318,500 pigs for slaughter.

According to Longda Meat’s description, in terms of slaughter layout, the company has successively expanded slaughter plants in Guanyun, Jiangsu, Anda, Heilongjiang, and Tongliao, Inner Mongolia through investment and construction and equity acquisitions; in terms of meat product layout, the company has successively expanded its slaughter plants in Laiyang, Shandong, Guanyun, Jiangsu, Anda in Heilongjiang and Rushan in Shandong have invested in the construction of deep-processing plants for meat products, accelerating the national layout. However, it is worth noting that Longda Meat’s cash flow from operating activities in 2019 and 2019 was -107 million yuan and 1.371 billion yuan, and the financial tension during the period was beyond words. Cash flow from operating activities in 2020 is 1.325 billion yuan. As of the end of 2020, Longda Meat has short-term loans of 1.937 billion yuan and monetary funds of 2.397 billion yuan.

On the other hand, according to the 2020 annual report, of the 294 million shares held by Lan Run Development Holding Group Co., Ltd., 233 million shares are under pledge, accounting for nearly 80%.

Many macro factors will support the market’s growth trend in the whole year 2021. Photo: Duy Dung. The probability of VN-Index falling is not high According to BVSC’s report, compared with the movements of the VN-Index in the past, the current P / E of the VN-Index is already higher than the 5-year average. However, according to BVSC’s observation, at the current P / E, the probability of a market decline is not high. In addition, with the recovery of the economy, according to BVSC’s forecasts, profits of listed businesses will grow by 27.3% by 2021 (compared to 2020). With the profit growth of listed companies, the P / E of the VN-Index is likely to drop to 15 times – lower than the 5-year moving average (16.41 times) of the VN- Index; therefore, the 2021 P / E level of the market is still attractive. BVSC’s experts believe that the Vietnamese market is attractive compared to other markets in the region, but it is very important to the ability to attract foreign capital, connect with the flow of investment capital in the world. equals the valuation of Vietnamese stocks in terms of general ground. Up to now, the market liquidity and the ETFs participating in the market have also contributed to help the Vietnamese market’s valuation ground closer to other markets in the world. As of April 9, 2021, compared to the sample of 12 markets observed by BVSC, including countries in frontier, emerging and developed markets, the P / E of the VN-Index is currently at 19.11 times. – 4th low out of 13 markets followed and just above P / E of Shanghai Index (17.61 times) of China, Hang Seng (14.86 times) of Hong Kong and KOSPI (12.99 times) of Korea. These are also 3 markets with a sharp decrease of more than 10%, in February and March. Meanwhile, “the rate of return on equity of the companies listed on the HSX stock exchange is at the highest level among the markets we monitor. This shows that, in general, with high return on equity, stocks in the VN-Index basket are being traded at very attractive price ranges when compared with other markets. other securities in the region and internationally ”- said BVSC’s expert. The market still maintained an uptrend throughout the year According to experts from BVSC, despite facing an interest rate hike in 2022, the stock market can normally recover and then rebound after early monetary tightening. first. The reason for this is that central banks in many countries often practice monetary tightening since the economy is still in the growth phase, when businesses still have positive business results and do. reduce the impact of increasing operating rates. Therefore, BVSC believes that the world stock market is not too concerned when central banks of countries implement interest rate hikes or monetary tightening for the first time. In the past, markets often reversed and fell into a downward phase at the third rate hike by central banks. For Vietnam, according to BVSC’s experts, with the context that GDP growth is accelerating again and can grow impressively in the second quarter; Other macro indicators are operating stably, supporting business activities; listed companies will have good growth in 2021, especially many industries with high growth in the first quarter such as banking, steel …; and beyond, foreign capital will continue to flow into Vietnam market thanks to its ability to be upgraded and the attractiveness of a dynamic and rapidly growing economy. “These are factors supporting the market’s growth trend in 2021” – stressed BVSC expert. However, BVSC also notes some potential short-term risks. Accordingly, when the positive information has been reflected in the price, the new cash flows into the market cannot keep up with the price increase, the cash flow is withdrawn from major shareholders – or companies that sell stocks. Fund … Besides, when the opportunities to gain from pure stocks derive from cash flow factors, lack of support in the core positive change of the business, will create potential risks. on the ability of the market to correct in the short term./.

Source: China Fund News

After the wind and rain, the real grass is still the most fragrant. According to the latest data, in January, the world’s largest Chinese equity fund, which reduced its holdings in Moutai, played high selling and buying low, and bought it again! The world’s largest Chinese equity fund increased its holdings of Moutai in March! According to the latest data from Morningstar’s official website, the world’s largest Chinese equity fund “UBS (Luxembourg) China Select Equity Fund (USD)” increased its holdings in Kweichow Moutai in March, with its share increasing by nearly 15%. As of March 31, Guizhou Moutai is the fund’s third largest stock. In addition, it has also increased its holdings in Tencent, and its heavy holdings include Ping An of China, Alibaba, and NetEase. As of the end of March, the market value of Moutai in Kweichow held by this fund is US$877.9 billion, which is equivalent to more than RMB 5.7 billion. You know, this fund reduced its holdings in Moutai in late January this year. At that time, it was reported that as of the end of January, Guizhou Moutai was the fund’s fifth largest holding stock. Compared with the end of 2020, the fund held Guizhou. Moutai decreased by 3.66%. In addition to this fund, funds under the US Capital Group have reduced their holdings of Moutai at the end of 2020. After foreign capital reduced its holdings of Moutai, various core assets have begun to fall back this year. Take Moutai as an example, it has retraced 23% from the high point this year.

However, it is worth noting that the capital group that holds the largest number of shares in Moutai in the world, its “New World Fund” is still reducing its holdings in Moutai in March, and Morningstar’s data shows that its share has dropped by 7%.

It seems that foreign investment also has different views on Moutai.

Shareholders: Foreign investors are doing T?

Is white wine still fragrant?

On April 8th, China Merchants Food invited several guests to discuss the valuation of liquor, which investors are more concerned about, in the form of interviews. Share how to price liquor assets and how to invest in liquor under different investment frameworks.

Among them, Huang Ruiqi, senior fund manager of Allianz Global, mentioned that the stock price of the liquor sector rose too fast last year, which exceeded the support provided by profit growth. The latter part mainly relied on the increase in valuation, and a relatively dangerous situation appeared. The callback is only a matter of time. After the Spring Festival holiday, investment sentiment changed, triggering a sharp drop in stock prices. We tracked the channel and found that the fundamentals did not change much, so we judged that the volatility since the beginning of the year has little to do with basic factors, mainly due to the outflow of profitable funds brought about by the change in investment sentiment.

The valuation increase of A-share liquor stocks in the past few years is also partly due to foreign participation. Overseas institutional investors generally focus on the balance of returns and risks, so they are willing to give higher valuations to stocks with stable growth (such as food and beverages). The same situation has occurred in A shares in recent years.

As for the flow of funds, I believe that the inflow of funds into A-shares will be a long-term structural growth, because the proportion of China’s A-shares in global asset allocation is still seriously low. If you look at the current A shares, they actually only account for less than 5% of the MSCI index. Eventually, if the A shares are fully included, the proportion will be more than four or five times the current amount. Therefore, overseas investors are very clear about this. Whenever A shares fall severely, they will seize the opportunity. The steady growth of liquor must be given priority.

Hou Hao, manager of China Merchants China Securities Liquor Fund, said that the problem with high valuations is that any disturbance will bring changes in marginal funds, which will lead to follow-up of trend funds. This is the situation in which disturbances occur after the holiday, and the volatility caused by the follow-up of marginal funds and trend funds increases. From the perspective of the next 3-5 year cycle, this year is the starting point for many companies in the liquor industry in the 14th Five-Year Plan period. I learned at the rum party that the future development pattern and trend of the entire industry will be better. The future space looks at prices first, and prices change with changes in the level of economic development and per capita income. In terms of volume, some high-end and sub-high-end brands, especially sauce wine and companies with base wine reserves, will see obvious marginal changes in the next five years. Another major change factor, which has been discussed a lot, is the change in the price band of overtaking in the corner that may be brought about by the change in the opinions of opinion leaders. This point is actually hard to ignore.

U.S. stocks hit another record high, the Dow rose to 34,000 points for the first time

A-share stockholders cried with envy, and US stocks hit a new high tonight.

On the 15th U.S. time, driven by positive economic data and earnings reports, the three major U.S. stock indexes closed up. The Dow rose 0.9%, the S&P 500 rose 1.11%, and the Nasdaq rose 1.31%. The Dow and S&P 500 both achieved record gains. A new high was closed. The precious metals sector was among the top gainers. Harmony Gold rose more than 7%, and Pan American Silver rose nearly 5%. Chip stocks NVIDIA and AMD rose more than 5%. Most of the Chinese concept stocks closed down, with new energy vehicles leading the decline, ideal cars falling by more than 6%, Xiaopeng Motors by more than 4%, and Weilai by more than 3%.

The US Department of Commerce reported that US retail sales in March increased by 9.8% month-on-month, a new high since May last year, far exceeding expectations of 5.9%. According to data from the US Department of Labor, the number of people applying for unemployment benefits for the first time last week fell from 744,000 in the previous week to 576,000, a record low since the week of March 14 last year. It was better than market expectations and both helped US stocks rise.

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Ha Nam Lottery One Member Limited Company (Ha Nam Lottery Company) was licensed to operate from March 9, 2009. As a 100% state-owned enterprise directly under the People’s Committee of Ha Nam province, Ha Nam Lottery One Member Limited Company has an equity of 27.38 billion VND. Representative is Mr. Nguyen Dang Khai, Chairman and Director of the company.

Over the years, the business activities of Ha Nam Lottery One Member Limited Company always fell into a state of loss, many signs of wrongdoing in the management and financial spending of the company, causing loss of state assets. tens of billions of dong.

Specifically, according to the report on business results of Ha Nam Lottery Company, in 2017 the company lost VND 1,866 billion, in 2018 it lost VND 5,613 billion, the accumulated loss as of August 31, 2018 was VND 18,754 billion / VND 27.38 billion of equity, ineffective business activities at the Company resulted in the total remaining equity by the end of 2018 to only VND8.6 billion. In which, working capital is about 2.6 billion dong (2 term deposits are 2 billion dong) and the rest are in cash and demand deposit. Capital with fixed assets is 6 billion VND, including 1 car, the rest is real estate.

Facing the situation that the company continuously made losses, on March 6, 2019, the People’s Committee of Ha Nam Province issued Document No. 558 / UBND – KT requested: Checking and checking the losses and arising costs. Unusually high at Ha Nam Lottery Co., Ltd. Stop the loss lasting for many years. Request the Director of the company to strictly abide by the regulations and take responsibility before the law for business activities at the company. However, up to now, the company’s business has not been effective, there are still many problems that need to be solved.

Piled up mistakes in financial management

In 2018, under the direction of the Department of Finance of Ha Nam Province, VACO Independent Auditing Company audited the financial statements showing a series of mistakes of Ha Nam Lottery Company. One of the most serious mistakes is that the company does not record revenue (left off the books) of the lottery lottery from July 2016 to August 2017.

According to the revenue report, this type of revenue is from 12 to 15 million VND / day. So, in the period of 14 months, it is estimated about 5.4 billion VND to stay out of the book. The question is why Ha Nam Lottery Company did not record the revenue of the lottery type lottery from July 2016 to August 2017? How that money is spent is still unknown.

In addition, the use and management of public assets of Ha Nam Lottery Company is very loose, causing wasteful use of assets, the budget is not for the right purpose, not serving the general operation. business activities of the company. Typically, the company voluntarily purchased 01 car brand TOYOTA ALTIS 2.0 produced in 2013 without consulting the owner, Ha Nam Provincial People’s Committee.

Another corporate mistake that was discovered according to the audit report is that the issuance of lottery tickets includes: Prize structure, commission rate, and the form of dialing to issue does not comply with the regulations of the Company. law.

Specifically, the Company issued lottery tickets outside the province (sold in Hanoi). The dialing is not public, there is no record. All lottery tickets released outside the province have no invoices, only handwritten transactions. This amount is still left out of the book over 1 billion dong of unpaid and confirmed debt.

In 2018, the total cost of commissions that the company spent on 2 traditional lottery agents was up to 27%, surpassing the prescribed threshold of 12%, equivalent to VND 210,000,000. According to Circular No. 138/2017 / TT -BTC guiding some specific expenses for lottery businesses specified in Decree No. 122/2017 / ND-CP, then: Lottery businesses decide but must not exceed 15% of the revenue from the lottery business, including value added tax and special consumption tax.

In 2018 alone, hundreds of expenses amounted to more than 162 million VND of the company such as: Business, reception, conference and other general expenses but there are not enough valid invoices and documents. Even there are expenses up to tens of millions of dong, but only the payment list and the signature of the payee as well as retail invoices that are not in accordance with regulations, have no legal validity. The improper financial management and spending leading to loss is unavoidable. The question here is: Is the amount spent on items without full invoices and documents in accordance with the law is reasonable and actually spent?

For clear information, the PV contacted Ha Nam Lottery One Member Limited Company and was told by Mr. Quach Anh Hien – Head of Administration Department of Ha Nam Lottery Company: “Ha Nam Lottery Company is owned by the Provincial People’s Committee. When the Commission has a directing document, we can provide relevant information to the press ”.

Although it was explained by the PV that related to the use and management of finance, the books on the side of Ha Nam Lottery Company are independent and autonomous, while the Provincial People’s Committee only manages people. For some reason, when the PV contacted Ha Nam Lottery Company many times but did not receive any answer, the company unit is avoiding providing information to the press. .

We keep informing readers.