Industry special comments: in the morning of December 23, Tencent announced the special interim dividend of about 457 million class a ordinary shares of JD group indirectly held by the company through Huang River in the form of physical distribution. The physical distribution will be based on the benchmark of one class a ordinary share of JD group for every 21 shares held on the record date, The equity registration date and dividend distribution date are January 25 and March 25, 2022 respectively. After the dividend distribution, Tencent's shareholding in JD will be reduced from about 17.0% to about 2.3%. Meanwhile, Tencent president Liu Chiping will also step down as a director of JD, effective from December 23, 2021. In addition, according to tianyancha app, it is known that the affiliated company Beijing wise world Technology Co., Ltd. has undergone industrial and commercial changes recently, and many companies and natural persons such as Beijing Sogou Information Service Co., Ltd., Tencent affiliated company Shenzhen Litong industrial investment fund Co., Ltd., Bai Jie and Huang Jixin have withdrawn from the ranks of shareholders.
Tencent's reduction of Jingdong will trigger the reduction of Jingdong shares in the capital market in the short term and suppress the company's valuation, There are two reasons: (1) JD does not belong to the investment target of Hong Kong stock connect. It is expected that some investors holding Tencent through Hong Kong stock connect will need to sell their allocated JD shares within a time limit. (2) The liquidity of retail investors is relatively higher than that of institutions, and it is expected that some investors will reduce their holdings of the distributed shares. According to wind, as of December 22, Tencent Hong Kong stock connect held about 6.26% of the shares and non major shareholders held about 62.75%. Assuming that Tencent Hong Kong stock connect investors all reduced their holdings of the distributed JD shares, Tencent non major shareholder investors will follow about 20% For the reduction of JD's shares, it is estimated that the corresponding reduction is about 86 million shares, accounting for about 18.8% of Tencent's reduction of 457 million shares of JD's share capital and about 2.8% of JD's total share capital of 3.11 billion shares. Investors should pay attention to the potential reduction risk of other Tencent shares. According to pinduoduo's annual report, by the end of 2020, Tencent held about 15.6% of pinduoduo's shares.
Market review of this week: this week, the commerce and retail sector closed at 4038.98 points, up 1.59%, Outperformed the CSI 300 (down 0.67% this week) by 2.27 percentage points. The sector ranked fourth among the 29 primary industries. Among the sub sectors, general retail rose by 2.19%, trade rose by 1.86%, franchise chains rose by 0.71%, e-commerce and services rose by 1.37%, and professional market operations rose by 0.61%. The top five companies with individual stock gains were Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) (15.62%) and Sanjiang Shopping Club Co.Ltd(601116) (12.45%), * ST Hongtu (12.20%), Xinjiang Youhao(Group)Co.Ltd(600778) (11.85%), Shenyang Cuihua Gold And Silver Jewelry Co.Ltd(002731) (10.39%); the top five companies with individual stock declines are Fujian Oriental Silver Star Investment Co.Ltd(600753) (- 14.83%), Beijing Kingee Culture Development Co.Ltd(002721) (- 11.36%), * ST Quanye (- 9.17%), * ST Jinzhou (- 8.55%) and Sichuan New Energy Power Company Limited(000155) (- 8.45%).
Important industry news of the week:
[Internet] taxation bureaus in Beijing, Shanghai, Guangzhou and other places require network anchors to correct tax related problems
[Internet] Shenzhen Bureau of Commerce supports cross-border e-commerce enterprises: Anker Innovations Technology Co.Ltd(300866) , Youshu, etc. won millions of grants
Announcements of key companies:
[Tencent] will declare the special interim dividend of class a ordinary shares of JD group in the form of in kind distribution on the basis of 1 class a ordinary shares of JD group for every 21 shares held by qualified shareholders
