Due to the exemption of large debts by creditors, Dynavolt Renewable Energy Technology (Henan) Co.Ltd(002684) , Jinzhou Cihang Group Co.Ltd(000587) fear of avoiding delisting has become the focus of hot discussion in the market. Although it is for the overall interests of listed companies and shareholders, there are still hidden dangers. First of all, the company should pay attention to its own operation. Relying on creditors to exempt debt can only exempt the temporary delisting risk. In addition, listed companies do not rule out the possibility of a drawer agreement, which has also been questioned by regulators.
The desire of listed companies to avoid delisting is good. After all, the desire to survive is the instinct of all organisms. From government subsidies to direct gifts from major shareholders, there are indeed many smart people with direct debt relief from creditors, but these are not the right way. After all, the probability of debt relief by creditors is not free. Let’s talk about the formal debt restructuring process in the past.
The so-called debt restructuring actually allows creditors to realize their creditor’s rights in another way. For example, first find a shell company to undertake the original liabilities of the listed company, turn the listed company into a net shell, distribute the shares of the company to creditors in proportion, and then the listed company issues new shares to the debt bearing company. After the company’s restructuring is successful, The debt bearing company can sell its shares to realize, and the funds obtained will become the assets of creditors in proportion, completing the realization of the interests of creditors.
Now Dynavolt Renewable Energy Technology (Henan) Co.Ltd(002684) because they have no restructuring party, they certainly cannot carry out formal debt restructuring, but the general idea of debt relief must be the same. That is, Dynavolt Renewable Energy Technology (Henan) Co.Ltd(002684) they will certainly negotiate with creditors. If they withdraw from the market, the interests of shareholders will certainly suffer serious losses, but creditors basically can’t get any money, and shareholders can’t pay more money to creditors. Therefore, if the company withdraws from the market, creditors are certainly unwilling. Therefore, it is speculated in this column that it is not excluded that major shareholders have given creditors a certain commitment, and the probability of this commitment is to redeem shares, that is, creditors realize their creditor’s rights, and the probability will be carried out in the form of diluting share capital or paying in the secondary market.
Major shareholders should not pay consideration to creditors themselves. After all, in the face of interests, major shareholders will give priority to small and medium-sized shareholders. At the same time, when the listed company operates like this, the major shareholders do not have enough capital to pay the consideration. It is unclear whether the creditors have received relevant commitments. However, in the attention letter of the exchange, the regulators also questioned whether there is a drawer agreement, and investors can wait for the company’s reply.
This column believes that this debt exemption and delisting avoidance can not really improve the value of listed companies. Even if the debt is exempted and delisting is avoided, the net asset value returns to a positive number. However, if the company’s operating performance cannot be improved, it will only delay the pace of delisting. When the company meets the delisting conditions again, the major shareholders have to rack their brains to find a way. In this way, the company might as well find ways to improve its hematopoietic capacity. If the company’s business goes up, even if the net asset value is not enough, it also has investment value. Even if it is delisted, it can be listed again when the performance is good enough. This is the fundamental way.
Of course, from the perspective of stock price, Dynavolt Renewable Energy Technology (Henan) Co.Ltd(002684) still have reasons to rise. Not delisting means there are still opportunities for speculation, but investors should also know that if the company’s performance does not go up, the rise of stock price is just speculation, and there is still a risk of blindly chasing up.
(source: Beijing business daily)
