The Stock Exchange Of Emperor Wu Business Went Smoothly, And Yintai Was Short Of Money To Fight For Difficulties.

In April 11th, when the battle for controlling stake in Hubei and Wuhan was in full swing, the SFC deliberated and approved the application of allotment of shares.

According to last May's allotment of shares

Yintai is "short of money".

The Yintai department, which has been in the capital market for a long time, has been plunged into financial difficulties after five years ago.

It is understood that after China's Yintai inbound 75 million shares of Beijing voted inexpired in December 20, 2010, China's Yintai is again pledged to Shanghai Pudong Development Bank (14.47, -0.06, -0.41%) for its operation reasons, and it holds 87 million 329 thousand and 700 shares of Beijing Yintai company.

In addition, in March 14th of this year, China Yintai has held 80 million 808 thousand pledge of 9.17,0.00,0.00%, which has pledged 152 million shares of Science City, and China Yintai is still seeking to restructure the science city.

As an important source of cash flow for Yintai department, intime department store has also started to expand.

Last October, in order to enter the Beijing market, intime department store bought 50% stake in Beijing Yansha friendship mall with a HK $1 billion 610 million curve.

It is also understood that in 2005 and 2006, Yintai department was very nervous when 8.58,0.17,2.02% and e Wu merchants were crazy.

To this end, Yintai Department began to do subtraction since the end of 2007, and has reduced the shareholding of 100 largest group and e Wu business. In 2008, Yintai even made the largest shareholder of Yintai stock (9.07,0.15,1.68%).

Because of the contraction front, the investment income of intime department store increased in 2009, and the company's financial situation gradually improved.

The rights issue will be "over". As the two shareholder of the company, Yintai is also required to participate in the rights issue, while the rights issue needs to come up with real gold and silver. How will the Yintai department that is short of money deal with it?

It is worth noting that since the Yintai group increased its exposure to the "Wu Bai" of EWU, the stock price of EWU has gone out of the trend.

Analysts suspect that funds are being withdrawn and do not rule out Yintai's opportunity to withdraw funds to participate in the rights issue.

Expectation is small and broad.

In the three major business sectors of Yintai's "real estate, department stores and resources", the department store is the most abundant capital flow business, and other businesses need a lot of money as support.

Analysts pointed out that the Department of commerce is a superior resource.

The 2010 annual report shows that as of the end of the reporting period, the company has a total of 1 billion 984 million yuan of monetary funds.

At present, Yintai has spent more than 100 million yuan on its two rounds of holdings. For Shen Guojun, the head of Yintai department, who specializes in capital operation, less money is not a problem. (micro-blog column)

It is estimated that according to the average price per share of 18.4 yuan in April 11th, Yintai only needs more than 14 million 933 thousand yuan to increase the cost, so that it can gain the control power again.

"If we can use more than 100 million of the funds to exchange cash flow of 1 billion 984 million yuan, we can not only alleviate the thirst of Yintai's cash flow, but also improve the quality assets of the company."

These people believe that the cash flow and business model of the company is already a piece of fat that has been eyed by Yintai department.

At the same time, if we can control e Wu business, Yintai can also suppress competitors.

Wang Chunceng, general manager of the Central District of Yintai department, said that 20 stores will be opened in Hubei in 5 years.

Among them, Wuhan is a key market.

As the leader of the local department store, Yintai is both a shareholder and an important asset of Yintai department -- intime department store or rival of the company.

According to the relevant personage, "if it is difficult to control, the Yintai department can choose to suppress the development of Yintai department."

However, according to people familiar with the matter, it is not easy for Yintai to achieve this desire. Wuhan has strong desire to maintain its control over state-owned enterprises.