Once the market value of nearly 30 billion yuan “jade first stock”, officially ushered in the A-share market’s last trading day.
The market data shows that the delisting of Golden Jade in the A-share market share price is fixed at 0.16 yuan, the market value of only 216 million yuan, a few years Time the market value of nearly 30 billion yuan evaporated.
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“Emerald first stock” curtain: share price plunged more than 99%, market value evaporated nearly 30 billion
Delisted Jinyu this company was not decided to terminate the listing and implementation of the delisting risk warning before, there is a more familiar stock abbreviation – Oriental Jinyu.
At its peak in July 2015, the market value of Oriental Golden Yul was once close to 30 billion yuan, and now the market value is 216 million yuan, leaving only a fraction of that, with both the share price and market value falling by more than 99%. On an annual basis, the company’s share price has fallen for six years in a row since 2016, with the share price falling by more than 50% in several years during that period.
The delisting of Orient Golden Yul also cost investors a lot of money. As of the end of the third quarter last year, the company still had about 58,000 shareholder households.
It is noteworthy that Orient Golden Yul shares were subject to Shanghai Stock Exchange before the implementation of the delisting risk warning, there were some northbound Shanghai Stock Exchange funds hold positions. The company’s announcement also suggests that as the company’s stock has now been transferred out of the Shanghai Stock Exchange underlying, Shanghai Stock Exchange investors can choose to sell their holdings of the company’s stock during the delisting period, but not to buy. Shanghai Stock Exchange investors who choose to continue to hold it may not be able to transfer it after entering the stock transfer system subsequently.
Data show that the Shanghai Stock Exchange held more than 7 million shares of Orient Golden Jade stock at one time, holding a market value of more than 70 million yuan at one time, but as of March 3, 2021, the holdings have dropped to 27 shares and the market value of the holdings has dropped to 4.86 yuan.
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Success also jadeite jade, failure also jadeite jade
Information shows that Oriental Golden Jade is a listed company in the jewelry industry, the company was formerly known as Duojia shares, listed in 1997. The company’s stock is A-share holders called “jade first stock”, the company in public places publicity also often call themselves “China’s first listed jade”.
Oriental Golden Jade was forced to delist this time because it touched the face value delisting criteria. However, the reason why its share price will go to this point, or from the company’s main business withered leading to continuous losses.
Information shows that Oriental Golden Jade bet on jadeite jade, and eventually planted in jadeite jade.
From 2018 onwards, Dongfang Jinyu has been exposed one after another to debt maturity failure to settle.
On July 25, 2018, the company announced that as of July 25, 2018, the company and its subsidiaries had a total of 916 million yuan of debt due and unsettled. By November 18, 2019, the company’s total outstanding debts due amounted to $5.814 billion.
At the same time, this company has huge jade inventory. at the end of the first half of 2019, the company’s inventory balance was as high as 9.027 billion yuan, of which the inventory balance of Gold bullion and ornaments was relatively small, only 159 million yuan, while the inventory balance of jewelry and jade was as high as 8.811 billion yuan. Holding a huge amount of jewelry and jade but difficult to realize, can not pay off the debt, so the market shock.
It is worth noting that Orient Jinyu also has a hint of association with Xu Xiang. According to a report by China Business News, in July and August 2015, Xu Xiang sold all the bought Oriental Golden Jade in the secondary market, making a profit of nearly 1 billion yuan, and participating in the book float of more than 1.79 billion yuan. With Xu Xiang’s accident, his alleged manipulation of the securities market case led to the Orient Golden Yul, after the stock price fell step by step into the abyss.
According to the data once disclosed by Orient Jinyu, the company’s revenue in 2017 exceeded 9 billion yuan, but has since shrunk sharply in the past few years, and net profit has plummeted, falling into continuous losses.
The company’s previously released performance forecast shows that the net profit attributable to shareholders of listed companies is expected to be a loss of about 1.95 billion yuan to 2.45 billion yuan in 2020. For the reason of the substantial loss in 2020, Orient Golden Jade said, is affected by the financial deleveraging policy and other factors overlapping, the company’s financing difficulties, liquidity constraints, maturing debt can not be repaid on schedule, resulting in serious debt default phenomenon, and this led to the company’s part of the account assets were seized, frozen, creditors apply for litigation or arbitration and a series of problems. According to the preliminary statistics of the Company’s Finance Department, large amounts of interest and penalty interest payable to creditors were accrued throughout 2020. In addition, the Company assessed the impairment of the Company’s accounts receivable in accordance with the credit risk of the accounts receivable. Some of the Company’s customers are expected to be uncollectible due to the long period of time owed to the Company, which requires the provision for bad debts. In addition, it is expected that some jadeite products have signs of impairment, requiring a provision for inventory impairment.
Enterprise data shows that Dongfang Jinyu has been listed as an executor by several courts, and the total amount currently being executed exceeds 1.2 billion yuan.
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Many A-share companies will also face the fate of delisting
In addition to Orient Golden Jade, many other A-share companies are facing the fate of being delisted.
*ST Tianxia (000662.SZ) for 20 consecutive trading days of the stock closing price are below 1 yuan, touching the face value delisting regulations, February 18, 2021, the Shenzhen Stock Exchange decided to terminate the listing of the company’s shares, the abbreviation of the securities changed to Tianxia retreat (0.22-4.35%, the diagnosis of shares).
On February 26, 2021, Tianxia entered the delisting period, and the expected last trading date is April 9, 2021 (the last trading date is the estimated time, and the company will be subsequently notified according to the national legal holiday arrangement).
Market data shows that after entering the delisting period, Tianxia retreat shares fell for 8 consecutive trading days, the shares opened today, closing down 4.17%, with a surge in volume.
*ST Gongxin (600701.SH) after the suspension of listing, because the net profit attributable to shareholders of the listed company for the year 2020 was – 2.024 billion yuan, the net assets attributable to shareholders of the listed company at the end of 2020 was – 5.977 billion yuan, both negative, touching the mandatory termination of listing provisions, March 5, 2021, the company received the SSE “on Harbin Gongda High-tech Industrial Ltd. stock termination decision”, the company’s shares are scheduled to enter the delisting period trading on March 15, 2021.
Similar to some of the delisted stocks above, some low-priced stocks also fell below 1 yuan some time ago and fell into face value delisting crisis.
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