On March 18, Center International Group Co.Ltd(603098) announced that the shareholder New Hua Du Supercenter Co.Ltd(002264) Industrial Group Co., Ltd. and the persons acting in concert had received the warning letter issued by the Beijing regulatory bureau of the China Securities Regulatory Commission because the board had been raised Center International Group Co.Ltd(603098) without timely announcement.
In this regard, Kuang Yuqing, the founder of lens company, told the reporter of Securities Daily that listed companies can learn about the changes in the register of shareholders and the number of shares held for the first time from the securities settlement and registration institution. Therefore, in the process of some changes and bulk trading of stocks, “they can be more active, find problems in advance, communicate in advance, and urge the listing party to fulfill its obligations.”
It can be seen from the public information that New Hua Du Supercenter Co.Ltd(002264) Industrial Group Co., Ltd. New Hua Du Supercenter Co.Ltd(002264) industrial group (Shanghai) Investment Co., Ltd., Chen Fashu, Lin Yuye, Chen Yanhui and Xiamen New Hua Du Supercenter Co.Ltd(002264) Investment Management Consulting Co., Ltd., as the shareholders of Center International Group Co.Ltd(603098) are acting in concert with each other. On December 6, 2021, 1.5 million Center International Group Co.Ltd(603098) shares were successively purchased in the securities account under Chen Fashu’s name, and the total shareholding ratio of the above persons acting in concert increased from 4.78% to 5.06%. The shareholding change information was not announced within 3 days until December 31, 2021; During the period from December 6 to December 29, 2021, the securities accounts under the names of the above persons acting in concert continued to buy and sell Center International Group Co.Ltd(603098) shares, maintaining the shareholding ratio at more than 5%, up to 5.20%.
The Beijing regulatory bureau believes that the above-mentioned acts violate the provisions of the measures for the administration of the acquisition of listed companies, and decides to take administrative regulatory measures to issue warning letters to relevant persons: “you should learn lessons, strengthen the study of securities market laws and regulations for yourself and those acting in concert, strictly regulate trading behavior, and prevent the recurrence of such illegal acts.”
This is not the first time that New Hua Du Supercenter Co.Ltd(002264) was “beaten” by the regulatory authorities because Center International Group Co.Ltd(603098) did not issue an announcement in time. As early as February this year, the Shanghai Stock Exchange gave a regulatory warning to New Hua Du Supercenter Co.Ltd(002264) Industrial Group Co., Ltd. and its persons acting in concert. The same reason is that New Hua Du Supercenter Co.Ltd(002264) group and its persons acting in concert, Chen Fashu, as a shareholder of the company, did not stop trading the shares of the listed company when the total equity shares reached 5% of the issued shares of the company, Give a regulatory warning to New Hua Du Supercenter Co.Ltd(002264) Industrial Group Co., Ltd. and its person acting in concert, Chen Fashu.
“The listing or sale of the company’s shares by important shareholders belongs to the important information that listed companies should disclose in time, which is a guarantee of ‘fair access to information’ for small and medium-sized investors. If the stock price of the company involved changes, the information disclosure should not be absent or late.” Lawyer Wang Zhibin of Shanghai Minglun law firm told the reporter of Securities Daily.
Kuang Yuqing believes that listed companies “should strengthen monitoring and early warning and timely communication for some abnormal bulk trading behaviors, so as to avoid unnecessary letter Phi accidents. It is impossible for someone to get the shares of listed companies up to or more than 5%, which can be the cumulative result of long-term continuous buying. If the information disclosure is delayed for too long, listed companies are liable for negligence.”
