Restructuring Threshold Raised &Nbsp; More Than 8 Listed Companies Were Stranded This Month.

May 24th, Fulong thermal power [14.92 -7.27% shares] (000426) reorganization was rejected by regulators, at least this month is not approved or automatically announced the termination of restructuring eighth. list Most of the listed companies that have not been restructured have plunged in price.

At the same time, recently announced the reorganization of the intention of listed companies. shares Also because of "uncertain future" and was abandoned by investors. "Weak market speculation and reorganization" this A share market "speculation" was lost in May this year.

Changed Recombination The fate of stocks may be the decision of the China Securities Regulatory Commission in May 13th to issue amendments to the relevant provisions of major asset restructuring and matching financing of listed companies (Draft). The document raised the threshold for restructuring and auditing to a high level that is flat with IPO (initial public offering).

Restructuring stocks into a "disaster hit area"?

Fulong thermal power is a typical example of a recent collapse after the failure of restructuring. Inner Mongolia Xingye group's application for backdoor Fulong thermoelectric listing was rejected by the Commission's merger and reorganization committee in May 24th. As a result, the hope of its transformation into mineral stocks was also lost, and the share price also returned to its level three months ago yesterday. After yesterday's volume trading, Fulong thermoelectric has closed down for three consecutive trading days, and the first two trading days are still "one" limit.

The disaster of Fulong thermal power is not a case. In the whole May, the restructuring stock has become the "worst hit area" of the weak A share. According to incomplete statistics, there are 8 listed companies on the road of reorganization this month, including Fulong thermoelectric company. In addition to Fulong thermoelectric is rejected by the SFC, the other 7 are actively announced the termination of the reorganization. This includes time technology [7.30 4.58% shares], Western livestock [15.37 -0.65% shares], Liao Tong chemical [12.41 -6.83% shares], Huafang textile [11.22 -10.02% shares], Fujian South paper [4.90 -3.35% shares] and *ST four-dimensional [8.37 [8.37 shares]. Among them, apart from the Liaoning chemical industry, all stocks fell. Liao Tong chemical terminated its joint venture with the Angola national oil company to operate Petrochemical Industries Co, which was interpreted as "good" by the market, and its overseas market uncertainty has been reduced.

*ST 4D has issued a restructuring announcement since May 18th, and its share price has dropped by 25.91%. In May 17th, Fujian's South paper and Huafang textiles, which issued the notice of termination, have fallen by 25.55% and 15.17% respectively.

Although each company explained the reasons for the termination of the restructuring, the reorganization rules issued by the Securities Regulatory Commission in mid May were regarded as the "terminator" for the restructuring of large quantities of listed companies. This document has made new provisions on the profitability, capital strength and industry of backdoor listed companies, requiring backdoor listing to compare the stricter IPO standards in these areas.

Due to the implementation of the examination and approval system for the major asset restructuring of Listed Companies in China, the increase of the examination and approval threshold has also brought heavy pressure on the company's share price that has been restructured. Before that, "heavy"

Group expectations "in the capital market, often as speculation stocks" beautiful story "to deduce.

In addition, it is worth mentioning that in May 25th announced the acquisition of Tibet mining [30.52 -0.26% shares,]60% shares of Jianghuai power [0.00 0% shares], after the stock resumption, not only by virtue of good news, but in two days fell 16.5%, even yesterday is almost down.

Costly restructuring game

Looking at the list of shareholders at the end of the first quarter of Fulong thermoelectric company, Baoying strategy growth [0.89 -1.17%], Xingye global organic growth two fund companies and China Foreign Economic and Trade Trust structured new investment collection trust were first launched in Fulong thermoelectric power in the first quarter, holding 5 million 200 thousand, 3 million 708 thousand and 400 and 2 million 450 thousand shares of Fulong thermal power respectively. At the end of the first quarter of the company, the stock price of 20.1 yuan / share was simply calculated. Assuming that these funds and trust have not yet been released, the share loss has reached 4.01 yuan, and the book loss will reach 45 million 433 thousand and 600 yuan.

In May, 25 days and 26 days, two days of transaction data showed that the first selling seats were institutional seats, which sold 48 million 144 thousand and 658 yuan and 3 million 477 thousand and 660 yuan respectively yesterday and the day before yesterday.

"These losses are only hypothetical. In fact, these organizations can not hold shares until they are disclosed." A private person said. He disclosed that this year's restructuring stock speculation path and previous years there is a certain difference - including public funds, private equity, insurance funds, including, are doing short-term, "basically won't get a formal announcement." He said that this is because the industry will tighten this year's restructuring, there are certain expectations.

In fact, although the solicitation draft of the reorganization provisions was officially released in mid May this year, it has been rumored for six months in the industry. "The SFC has tightened the review of mergers and acquisitions of listed companies", which has become a common expectation in the industry since the second half of last year.

In May, the 7 listed companies were very rare, but throughout the whole year, starting from the [12.40 -5.63% shares of Xichang electric power in January 27th this year, at least, there were at least 18 companies' restructuring plan to run aground.

Just as an analyst has said, the most positive aspect of the "reorganization rules" is to crack down on insider trading. "But there will be another side of the problem," a senior investment banker said. "Like IPO, it is the excessive concentration of examination and approval."

ST shell resources are still "precious".

There are at least 20 companies blocked in this year's restructuring, of which at least 7 are ST companies, namely *ST South [9.04 -4.03% shares], ST Qiu Lin [12.00 -4.08% share], ST Polaroid [11.37 -2.65% shares], *ST four dimensional, [11.37 -4.03% 0% shares], Yi Yi paper 3.56% shares] and "Ji Ji".

The so-called ST shares are listed companies with serious losses. Many of these ST companies are insolvent. Wind statistics show that as of the end of the first quarter of this year, Shanghai and Shenzhen two cities insolvent ST listed companies 49, net assets amounted to -181.0518 billion yuan. Theoretically, the total market capitalization of these listed companies should also be close to zero. But by the end of March 31st this year, the total market capitalization of these 49 companies was as high as 95 billion 500 million yuan.

It can be seen that the ST listed companies, which have almost no main business and are in the mire of operations, can only support the market value of nearly 100 billion yuan, and can only be "shell value". Because of the high cost of domestic asset securitization, listing by shell is a cheap shortcut.

The above data calculation shows that even after the introduction of the restructure regulations, as of yesterday's close, the average value of the 49 shell resources still amounted to 2 billion 320 million yuan.

The draft restructured regulations show that it focuses on the integration effect of listed companies and underlying assets, the perfection of property rights and the regulation of corporate governance after the change of control rights. The investment bankers pointed out that "despite the comparison with IPO, the threshold for backdoor listing is still lower than that of IPO."

For example, in the IPO audit, during the reporting period, there is a major reorganization, or punishment, or changes in the actual controller, IPO audit is often very difficult to pass. "But even in the" reorganization regulations ", there is no similar request for backdoor listing. The investment bankers believe that compared with IPO queuing listing (except for special cases, less than half a year, more than a year) long wait, backdoor approval is much faster.