Legend Of CITIC Group

In October 1979, with the support of Deng Xiaoping, Rong Yiren founded the China International Trust Investment Company (hereinafter referred to as "CITIC investment") and acted as chairman and general manager in person, and CITIC empire was born.

In 1979, comrade Deng Xiaoping set up a CITIC company and had a cordial conversation with Comrade Rong Yiren.

In the face of the pressure of "no external debt and no internal debt" habit of closed thinking, in February 1981, CITIC investment issued a 10 billion yen bond to Yizheng chemical fiber, one of the 22 key projects in Jiangsu.

Since then, the "Yizheng mode" has been formed.

In 1993, Rong Yiren was elected vice chairman of the state and returned to the role of politician. The power of CITIC commercial empire was handed over to Wang Jun and Wei Mingyi.

The large CITIC Group, apart from Larry Yung Chi Kin, a well-known CITIC Pacific investor in Hongkong's capital market, is well known in China's A share capital market, including 600030.SH, 000099.SZ and 000839.SZ. In addition, CITIC Bank has launched overseas listing.

CITIC Securities's recent performance in the capital market is attracting attention, and it also reflects the new thinking of CITIC Group on the financial sector.

CITIC Securities was set up later than ever, and the scale of self financing and entrustment financing was small. Therefore, it avoided the fate of the old brokerages such as Huaxia Securities and Nanfang Securities, and annexed Huaxia Securities, which was more than doubled. At the end of last year, it was renamed CITIC Securities.

However, children who are fond of Feng Jie's food often suffer from indigestion.

Although CITIC Securities annexed Huaxia Securities, Huaxia Securities did not generate profits. On the contrary, according to some securities analysts, "Huaxia" securities could contribute tens of millions of losses in CITIC Securities's annual report last year.

In the face of the booming capital market, CITIC Securities urgently needs cash and needs to expand capital, because according to the new regulations of the securities and Futures Commission since last year, innovative brokerage businesses such as investment banking underwriting business or margin trading and so on, all need to be closely linked to these indicators of net capital.

Before and after the May 1, the securities and Futures Commission announced the opening of refinancing and IPO, and formally stepped out of the crucial step of breaking new and old decisions. CITIC Securities immediately launched a private placement.

According to CITIC Securities senior, Soros fund even expressed interest in CITIC Securities Issuance.

CITIC Securities announced in June 23rd that the Commission approved its non public issuance of not more than 500 million shares, and will convene a strategic investor conference on 27.

CITIC Group hopes that the shareholders of CITIC Securities are no longer the garment industry and the daily chemical industry, but it is best to come from the shareholders of the financial giants. They can bring sufficient cash to CITIC Securities and bring rich experience and related projects. Money is not the most important thing. The senior authority in the industry is the first requirement.

Why is it necessary to introduce shareholders who have experience in the financial industry?

This reflects the concern of CITIC Group on the pformation of CITIC Securities.

CITIC Securities is one of the leading underwriters of Bank of China A shares. One of the leading underwriters of Air China's return to A shares, CITIC Securities is always in line with CICC and galaxy in these scenic projects. The three banks' investment business is most recognized.

However, from the background of these three competitors, CITIC Securities is not the most stamina. CICC is currently one of the seeds in the domestic investment banking sector. Morgan Stanley shareholders' foreign investment banks have penetrated into the industry and the best talent reserves in the industry, making Zhongjin possible to accumulate; Silver River Securities, as an old brokerage firm, has been strong in investment banking. Recently, Huijin has become its major shareholder and has suddenly increased its imagination in the financial system's internal capabilities, and CITIC Securities neither.