After the recent overall valuation of A-Shares has entered a relatively low range, listed companies have successively disclosed their shareholding increase plans and progress.
As of 17:00 on March 28, five companies in Shanghai Stock Exchange had issued relevant announcements, among which three companies Topchoice Medical Co.Inc(600763) ( Topchoice Medical Co.Inc(600763) . SH), Gansu Qilianshan Cement Group Co.Ltd(600720) ( Gansu Qilianshan Cement Group Co.Ltd(600720) . SH) and Ningxia Building Materials Group Co.Ltd(600449) ( Ningxia Building Materials Group Co.Ltd(600449) . SH) disclosed the progress of increasing their holdings at noon on the same day.
According to the announcement of Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) , the two companies are increased by the controlling shareholder China Building Materials Co., Ltd. (03323. HK).
Among them, from March 21, 2022 to the morning of March 28, 2022, China Building Materials Co., Ltd. increased its holdings of Ningxia Building Materials Group Co.Ltd(600449) shares by 2331810 shares through the centralized bidding trading system, accounting for 0.49% of the total share capital of the company, with a cumulative increase of RMB 299161 million. The share increase plan has not been implemented yet.
After the implementation of the increase, as of the morning of March 28, China Building Materials Co., Ltd. held about 230 million Ningxia Building Materials Group Co.Ltd(600449) shares, accounting for 48.05% of the total share capital of the latter.
In addition, as of the morning of March 28, China Building Materials Co., Ltd. increased its holdings of Gansu Qilianshan Cement Group Co.Ltd(600720) shares by 6.77 million shares through centralized bidding trading, accounting for 0.87% of the total share capital of the company. The average increase price was 10.01 yuan / share, and the increase amount was 677711 million yuan. This increase exceeded 50% of the lower limit of 120 million yuan.
Up to now, the number of shares of Gansu Qilianshan Cement Group Co.Ltd(600720) directly held by China Building Materials Co., Ltd. is 110 million shares, accounting for 14.11% of the total share capital of the latter.
According to the announcements of Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) , promoting the increase of holdings is an important measure for China’s building materials shares to boost market confidence in listed companies, enhance the market value of stock shares of controlling shareholders and enhance the control of controlling shareholders. This increase is based on firm confidence in the development prospects of the two enterprises and recognition of their long-term investment value. At the same time, in order to promote the sustainable, stable and healthy development of the two enterprises and effectively safeguard the interests of the majority of investors.
On March 18 this year, Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) both announced that China Building Materials Co., Ltd. plans to increase its holdings of A-Shares (RMB ordinary shares) of non tradable shares of the two enterprises, of which the amount of Ningxia Building Materials Group Co.Ltd(600449) shares to be increased is not less than 70 million yuan and not more than 100 million yuan, and the amount of Gansu Qilianshan Cement Group Co.Ltd(600720) shares to be increased is not less than 120 million yuan and not more than 150 million yuan.
According to the first financial reporter, China Building Materials Co., Ltd. will choose the opportunity to implement the shareholding increase plan based on the judgment of the stock value of the two companies and the fluctuation of stock price and the overall trend of capital market.
It is worth noting that on March 28, Ningxia Building Materials Group Co.Ltd(600449) share price soared in early trading and closed the daily limit Gansu Qilianshan Cement Group Co.Ltd(600720) share price also fluctuated all the way up, with a sharp rise of 5.56% as of the close. On the same day, the A-share market came out of the shock differentiation market, in which the Shanghai index rose 0.07%, the Shenzhen composite index fell 1.02%, and the gem index fell 1.66%.
In terms of recent stock prices, these two stocks also outperformed the market. On March 16, when the stock index hit a new low of 302330 points, the stock prices of Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) and Ningxia Building Materials Group Co.Ltd(600449) also hit a new low on that day. From March 17 to March 28, Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) increased by 15.88% and 4.48% respectively, exceeding the cumulative increase of the Shanghai stock index by 1.38%.
However, Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) also suggest that there may be a risk of failure to meet expectations due to changes in the securities market and other factors in the implementation of the shareholding increase plan.
At noon on the 28th, Topchoice Medical Co.Inc(600763) also issued an announcement on the progress of the actual controller’s shareholding increase. On March 28, LV Jianming, the actual controller and chairman of the company, held 30000 shares of the company, accounting for 0.0094% of the total share capital of the company.
On January 8 this year, Topchoice Medical Co.Inc(600763) disclosed the increase plan of the actual controller, and LV Jianming will increase his holdings of no less than 100000 A-Shares of the company within six months. Up to now, in this shareholding increase plan, LV Jianming has increased his shareholding of 149500 shares of the company, accounting for 0.0466% of the total share capital of the company.
However, unlike Ningxia Building Materials Group Co.Ltd(600449) , Gansu Qilianshan Cement Group Co.Ltd(600720) , Topchoice Medical Co.Inc(600763) on the same day, the share price was still in decline, with a decline of 2.26% Topchoice Medical Co.Inc(600763) share price has been in a downward trend since it reached a phased high on October 11, 2021.
When the A-share market fluctuated sharply recently, most companies in the A-share market submitted value information announcements, including announcements related to holdings increase and repurchase. In the view of the industry, the move of listed companies has the intention of boosting market confidence.
At present, many securities companies believe that the “policy bottom” has appeared in the short term, but they have different views on the “market bottom”. In terms of industry configuration, securities companies mainly recommend the sectors benefiting from steady growth and inflation.
