On the evening of April 20, Northeast Electric Development Company Limited(000585) and Egls Co.Ltd(002619) both announced the termination of listing, of which Egls Co.Ltd(002619) is the first delisting share of 1 yuan this year.
So far, six listed companies have decided to withdraw from the A-share market this year, including delisting Xinyi, Chunghsin Technology Group Co.Ltd(603996) , Xinjiang La Chapelle Fashion Co.Ltd(603157) , Great Wall International Acg Co.Ltd(000835) , Northeast Electric Development Company Limited(000585) and Egls Co.Ltd(002619) . With the disclosure of annual reports, many companies have issued risk warning announcements that may be terminated from listing.
Delisting Xinyi today ushered in the last moment in the A-share market. April 21 is the last trading day of its 15 trading days of delisting consolidation period Chunghsin Technology Group Co.Ltd(603996) , Xinjiang La Chapelle Fashion Co.Ltd(603157) will enter the delisting consolidation period on April 22.
the total number of shareholders of the two companies exceeds 100000
Northeast Electric Development Company Limited(000585) announced that the Shenzhen Stock Exchange decided to terminate the listing of the company’s A-share shares and will enter a delisting period of 15 trading days from April 28.
Source: Northeast Electric Development Company Limited(000585) announcement
For Egls Co.Ltd(002619) , the listing of Egls Co.Ltd(002619) was terminated because it touched the mandatory delisting index of trading, so there is no delisting consolidation period, and the company’s shares will be delisted within 15 trading days after the decision to terminate the listing.
Source: Egls Co.Ltd(002619) announcement
The reasons for delisting are also different.
Northeast Electric Development Company Limited(000585) announcement shows that the company’s net profit after deducting non-profit in 2020 is negative, its operating income is less than 100 million yuan, and its net assets at the end of the period are negative. The delisting risk warning has been implemented for the company’s stock trading since March 30, 2021.
However, in 2021, Northeast Electric Development Company Limited(000585) is still not getting better. After the delisting risk warning was implemented, the first annual report (i.e. the 2021 annual report) showed that the audited net profit after deduction was negative in 2021, the operating income was less than 100 million yuan, and the net assets at the end of the period were negative, touching the situation of delisting stipulated in article 9.3.11 of the stock listing rules (revised in 2022) of Shenzhen Stock Exchange.
Egls Co.Ltd(002619) refers to the compulsory delisting index of trading, that is, the closing price of the company’s shares has been lower than 1 yuan for 20 consecutive trading days (March 4, 2022 – March 31, 2022) Egls Co.Ltd(002619) has been suspended on March 31, and the share price was only 0.56 yuan before the suspension.
Source: China stock market news
According to the latest data, by the end of October 2021, Egls Co.Ltd(002619) had 54700 shareholders; As of February 28 this year, Northeast Electric Development Company Limited(000585) also had 48200 shareholders. The total number of shareholders of the two companies exceeds 100000.
An investor of Egls Co.Ltd(002619) , who had bought 318200 shares with 76 yuan and invested 241800 yuan in principal, lamented that he had “no sleep tonight”.
Source: stock bar
there are many companies that may face delisting risk
In addition to the above six companies that have been determined to delist, Xin Jiang Ready Health Industry Co.Ltd(600090) also faces delisting risk Xin Jiang Ready Health Industry Co.Ltd(600090) received a regulatory letter from the Shanghai Stock Exchange on April 11, requiring the suspension of trading from April 12, saying that it may have touched on major illegal compulsory delisting.
Source: Xin Jiang Ready Health Industry Co.Ltd(600090) announcement
At the same time, in the above regulatory work letter, the Shanghai stock exchange required Xin Jiang Ready Health Industry Co.Ltd(600090) to hire the host broker as soon as possible to make specific arrangements and information disclosure for the company’s shares to enter the National SME share transfer system, so as to ensure that the company’s shares can be listed for transfer within 45 trading days from the date of delisting, so as to protect the rights of investors to transfer shares.
In addition, there are many companies that may face delisting risk. At present, five companies, including Netposa Technologies Ltd(300367) , Huaxun Fangzhou Co.Ltd(000687) and others, whose share prices are below 1 yuan, may trigger “1 yuan delisting”.
Source: China stock market news
In addition to the risk of “RMB 1 delisting”, with the arrival of the annual report season, some companies are also facing delisting risks in financial and other aspects. On April 20 alone, more than 10 companies issued risk warning announcements that may be terminated from listing.
Source: China stock market news
It should be noted that today is the last trading day in the delisting consolidation period of 15 trading days. Delisting Xinyi shares appeared abnormal trading behaviors such as raising share prices in the trading process yesterday. Shanghai Stock Exchange has taken regulatory measures to continuously suspend account trading for relevant investors in accordance with regulations.
There are risks in the stock market. Please invest rationally.
Source: China stock market news
