On March 23, Guangzhou Lingnan Group Holdings Company Limited(000524) ( Guangzhou Lingnan Group Holdings Company Limited(000524) , SZ) announced that the shareholder Guangzhou Industrial Investment Holding Group Co., Ltd. (hereinafter referred to as Guangzhou industrial investment) and its wholly-owned subsidiary Guangzhou Guofa Capital Management Co., Ltd. (hereinafter referred to as Guofa capital) planned to reduce the total holdings of no more than 201063 million shares, that is, no more than 3% of the total shares of the company.
Recently, the Guangzhou Lingnan Group Holdings Company Limited(000524) share price has increased greatly. Since February, the share price has continued to rise, and the limit has been raised for five consecutive trading days from March 15 to 21. On March 22, Shenzhen stock exchange sent a letter of concern to Guangzhou Lingnan Group Holdings Company Limited(000524) asking the company to explain whether there is any major information that should be disclosed but not disclosed, whether there is any major change in the company’s fundamentals, whether there is any situation suspected of insider trading, etc.
The reporter of “daily economic news” noted that Guangzhou Lingnan Group Holdings Company Limited(000524) whose main business is travel agency operation and hotel operation and management has been greatly affected by the epidemic and has lost money for two consecutive years.
shareholders’ share reduction plan after the fifth board
On March 23, Guangzhou Lingnan Group Holdings Company Limited(000524) disclosed that Guangzhou industrial investment and its wholly-owned subsidiary Guofa capital plan will reduce no more than 201063 million shares of the company by means of centralized bidding transaction or block transaction within 6 months after 15 trading days from the date of announcement of the reduction plan, that is, no more than 3% of the total shares of the company. The reason for the reduction is its own capital demand.
Up to now, Guangzhou industrial investment holding 86.679 million Guangzhou Lingnan Group Holdings Company Limited(000524) shares, accounting for 12.93% of the total shares of listed companies; Guofa capital holds 140000 Guangzhou Lingnan Group Holdings Company Limited(000524) shares, accounting for 0.02% of the total shares of the listed company.
Prior to the disclosure of the reduction plan, Guangzhou Lingnan Group Holdings Company Limited(000524) share price had been up and down for five consecutive trading days. This rise has started since February. As of the closing on March 24, the company’s share price reported 12.14 yuan / share, with a cumulative increase of 55% since February, reaching a maximum of 15.64 yuan / share.
Guangzhou Lingnan Group Holdings Company Limited(000524) abnormal stock price fluctuations have also been concerned by the Shenzhen Stock Exchange. On March 22, Guangzhou Lingnan Group Holdings Company Limited(000524) sent a letter of concern to Guangzhou Lingnan Group Holdings Company Limited(000524) pointing out that the listed company has touched the standard of abnormal fluctuation for 5 times since February 2022, including 4 times of abnormal fluctuation of increase and 1 time of abnormal fluctuation of decrease, requiring it to confirm whether there is any major information that should be disclosed but not disclosed, whether the company’s fundamentals have changed significantly, and whether shareholders and actual controllers plan to transfer equity Asset restructuring and other matters that have a significant impact on the company, whether there are matters that violate the principle of fair disclosure, and whether there are situations suspected of insider trading.
When the stock price is high, it throws out the reduction plan, which has also aroused extensive discussion among investors. Some investors sent a document in the stock bar community that the previous high share price was to cooperate with the reduction of shareholders’ holdings. In this regard, Guangzhou Lingnan Group Holdings Company Limited(000524) responded to the reporter of the daily economic news that the company was checking as required and was not suitable for media interview during the period, subject to the company’s announcement.
has suffered losses for two consecutive years
The reporter of daily economic news noted that Guangzhou Lingnan Group Holdings Company Limited(000524) the last periodic high of stock price appeared in August 2020. On July 16, 2020, Guangzhou Lingnan Group Holdings Company Limited(000524) disclosed that the controlling shareholder Guangzhou Lingnan International Enterprise Group Co., Ltd. was promoting the work of applying for the business qualification of duty-free products, and had formally submitted a request for instructions on supporting its application for the business license of duty-free business to the relevant departments of Guangzhou Municipal Government. At that time, the concept of tax exemption was hot and Guangzhou Lingnan Group Holdings Company Limited(000524) went out of multiple trading limits. However, up to now, Guangzhou Lingnan Group Holdings Company Limited(000524) has not disclosed whether the tax exemption license application of the controlling shareholder has been approved.
It is worth mentioning that this year’s Guangzhou Lingnan Group Holdings Company Limited(000524) round of stock price rise may also follow the rise of the tourism sector. In March 15th, the New Coronavirus pneumonia diagnosis and treatment plan (trial version ninth) was released, and more scientific, precise and targeted measures were put forward for epidemic prevention and control. In the following few days, the sectors of scenic spots and tourism continue to rise, and the sectors of scenic spots and tourist spots and tourism continue to rise in the next few days. In the following days, the sectors of scenic spots and tourist spots and tourism continue to rise, and the sectors of attractions and tourist spots and tourist sectors continue to rise, with the Hongda Xingye Co.Ltd(002002) 707 \ \ ( China Cyts Tours Holding Co.Ltd(600138) , SH) and so on.
Basically, the performance of Guangzhou Lingnan Group Holdings Company Limited(000524) in recent two years has been greatly impacted by the epidemic and has suffered losses for two consecutive years. According to the latest 2021 annual report, Guangzhou Lingnan Group Holdings Company Limited(000524) achieved an operating revenue of 1.526 billion yuan, a year-on-year decrease of 18.71%; The net profit attributable to the shareholders of the listed company was – 128 million yuan, a year-on-year decrease of 46.85%; The net cash flow from operating activities is – 989401 million yuan.
According to the annual report, in 20201, Guangzhou Lingnan Group Holdings Company Limited(000524) accounting for half of the revenue, the operating revenue of travel agencies decreased by 39.06%. The company said that affected by the covid-19 pneumonia epidemic, according to the notice of the Ministry of culture and tourism, by the end of 2021, the company’s holding subsidiary Guangzhou guangzhilv International Travel Agency Co., Ltd. (hereinafter referred to as guangzhilv) had not resumed the inbound and outbound tourism group business. Therefore, the outbound tourism business income in the main business of guangzhilv, the holding subsidiary, decreased year-on-year last year, resulting in a decline in the operating income of travel agencies.
In terms of hotel business, the revenue of Guangzhou Lingnan Group Holdings Company Limited(000524) hotel management business increased by 29.43% year-on-year. The main reason for the company’s positive increase in hotel management fees from the year-on-year implementation of the Lingnan project is that the hotel’s brand management fees have increased year-on-year. In addition, the hotel management business has accelerated brand expansion and expanded a number of management projects, and the income of direct hotel projects has also increased.
