After significant progress was made in debt restructuring, on the 5th, China Fortune Land Development Co.Ltd(600340) announced that the co chairman and co president of the company resigned, and they will continue to work in the company and continue to assist the company in undertaking the necessary debt restructuring.
co chairmen and co presidents both resigned
On April 5, China Fortune Land Development Co.Ltd(600340) announced that the board of directors of the company had recently received resignation reports submitted by Wu Xiangdong and Yu Jian respectively. Wu Xiangdong resigned as co chairman, director, member of the strategy committee, CEO and President of the seventh board of directors of the company for personal reasons; Yu Jian resigned as co president of the company for personal reasons. After Wu Xiangdong and Yu Jian resigned from the above positions, they will continue to work in the company and continue to assist the company in undertaking necessary debt restructuring.
According to the announcement, Wu Xiangdong’s resignation as a director did not cause the number of members of the board of directors of the company to be lower than the minimum quorum, and would not affect the normal operation of the board of directors and the daily operation of the company. According to the company law, the articles of association and other relevant provisions, the resignation report of Wu Xiangdong and Yu Jian shall take effect from the date of delivery to the board of directors of the company. The company will complete the by election of directors, the appointment of president and relevant follow-up work as soon as possible in accordance with relevant regulations.
In the view of the outside world, Wu Xiangdong and Yu Jian are the key figures of Ping An strategy after taking shares in China Fortune Land Development Co.Ltd(600340) and settling in China Fortune Land Development Co.Ltd(600340) .
At the beginning of 2018, Ping An took a stake in China Fortune Land Development Co.Ltd(600340) , as a strategic investor. At the end of that year, Yu Jian joined China Fortune Land Development Co.Ltd(600340) , serving as co president; In February 2019, Wu Xiangdong joined China Fortune Land Development Co.Ltd(600340) , serving as co chairman, CEO and president.
In fact, as early as the end of 2017, after Ping An decided to take a stake in China Fortune Land Development Co.Ltd(600340) , Wu Xiangdong and Yu Jian began to participate in the specific management of China Fortune Land Development Co.Ltd(600340) and led the organization and personnel optimization of China Fortune Land Development Co.Ltd(600340) at that time, but the formal appointment was delayed for several months.
After joining China Fortune Land Development Co.Ltd(600340) with Yu Jian, Wu Xiangdong and Yu Jian brought a team with commercial real estate development and operation experience from China Resources Land and led the establishment of China Fortune Land Development Co.Ltd(600340) South headquarters, China Fortune Land Development Co.Ltd(600340) thus forming a dual headquarters model. Wu Xiangdong and Yu Jian are the actual directors of the business of South headquarters.
debt restructuring has made significant progress, and more than half of the contract has exceeded 100 billion
On April 1, China Fortune Land Development Co.Ltd(600340) ( China Fortune Land Development Co.Ltd(600340) ) disclosed the latest progress of the company’s debt restructuring. The company has completed signing the financial debt restructuring agreement, totaling about 104812 billion yuan, which is close to 50% of the total amount of debt to be restructured. The corresponding amount of debt interest reduction and penalty interest exemption is 8.718 billion yuan. At the same time, China Fortune Land Development Co.Ltd(600340) also announced that Guangyang and Yongqing industrial new towns of the company would be sold to local urban investment companies.
Affected by this news, to the closing on April 1, China Fortune Land Development Co.Ltd(600340) one word limit rose to 4.21 yuan.
China Fortune Land Development Co.Ltd(600340) told the media that “after the collection of this asset transaction, the company will arrange to implement cash cashing again”.
While announcing the latest progress of debt restructuring, China Fortune Land Development Co.Ltd(600340) disclosed the progress of two asset sales transactions. First, the subordinate holding subsidiary Jiutong Jiye Investment Co., Ltd. transferred 100% of the equity of Yongqing Dingtai park construction and Development Co., Ltd. to Yongqing Linkong science and Technology Innovation Co., Ltd., with a total transfer amount of 700 million yuan; Second, the holding subsidiary Langfang Jingyu Real Estate Development Co., Ltd. transferred its 100% equity of Langfang ronghua Construction Investment Development Co., Ltd. to Langfang Guangyang Economic Development Zone Construction Development Co., Ltd., with a total transfer amount of nearly 218 million yuan. The total transfer amount of the two transactions was 918 million yuan.
Yongqing Dingtai and Langfang ronghua are respectively China Fortune Land Development Co.Ltd(600340) the platform companies operating the business of industrial new town in Yongqing county and Guangyang District of Langfang City, and are responsible for the development, construction, operation and management of the above entrusted areas. It is worth mentioning that the trading partners are local urban investment companies.
At the beginning of 2021, China Fortune Land Development Co.Ltd(600340) encountered liquidity crisis, and the business of South headquarters was basically at a standstill. Several sources close to China Fortune Land Development Co.Ltd(600340) told the media that after signing the debt restructuring agreement with Ping An, it is expected that there will be substantial progress in the business disposal of China Fortune Land Development Co.Ltd(600340) South headquarters soon, which is also a great leap in China Fortune Land Development Co.Ltd(600340) debt and asset restructuring.
more than senior executives have resigned one after another, with an estimated loss of more than 30 billion last year
Since China Fortune Land Development Co.Ltd(600340) announced the debt restructuring plan on September 30 last year, China Fortune Land Development Co.Ltd(600340) more than senior executives resigned and continued to work in the company to assist the company in undertaking the necessary debt restructuring.
On October 28, 2021, China Fortune Land Development Co.Ltd(600340) announced that Lin Chenghong, Secretary of the board of directors of the company, resigned as secretary of the board of directors of the company due to job transfer, and will continue to work in China Fortune Land Development Co.Ltd(600340) and continue to promote the company’s debt restructuring plan with relevant departments.
China Fortune Land Development Co.Ltd(600340) announced on December 31, 2021 that Yuan Gang, the company’s vice president in charge of human resources, submitted a resignation report. After Yuan Gang resigned as China Fortune Land Development Co.Ltd(600340) vice president for personal reasons, he will continue to work in the company and continue to assist relevant departments in the work related to the company’s debt restructuring.
In terms of performance, according to the performance forecast of China Fortune Land Development Co.Ltd(600340) 2021, the company’s net profit attributable to shareholders of Listed Companies in 2021 is expected to be – 31.8 billion yuan to – 32.8 billion yuan. In this performance forecast, the company comprehensively considered the possible losses caused by financial products, but since the public security organ is still investigating the relevant situation, the company will confirm the specific amount of financial losses according to the progress of the case investigation.
As for the main reasons for the performance loss, the company said that due to the impact of multiple rounds of epidemic superimposed by the macroeconomic environment, industry environment and credit environment, the liquidity of the company has been tense since the fourth quarter of 2020. The company has failed to repay its financial debts on schedule, and the financing business has almost stagnated, which has a serious impact on the operation and led to a sharp decline in performance.
In terms of share price, starting from the high point of 20 yuan in July 2020, China Fortune Land Development Co.Ltd(600340) share price has declined all the way, with a cumulative decline of nearly 80%.
