On the one hand, the stock price rose sharply, while on the other hand, Wang boxing, the controlling shareholder and chairman of the board, illegally occupied the company’s funds and didn’t pay them back. On the evening of May 19, Jiangsu Zhongli Group Co.Ltd(002309) simultaneously disclosed two announcements: one was to criticize Wang boxing and impose a fine of RMB 1 million; the other was to disclose the announcement of changes in stock price, saying that the company’s recent operation was normal and that the internal and external business environment had not changed significantly.
controlling shareholder’s illegal share of capital was criticized internally
Jiangsu Zhongli Group Co.Ltd(002309) is mainly engaged in special cable, optical cable, photovoltaic products and power station business. The accountant issued a qualified audit report in its 2021 annual report, which mainly involves matters such as the completeness of disclosure of the occupation of funds by related parties of the controlling shareholder, and the annual audit accountant issued an internal control assurance report with a negative opinion to the company.
The announcement shows that the funds occupied by the controlling shareholders and their related parties occurred from December 2019 to July 2021. Among them, the maximum amount of non operating funds occupied by the controlling shareholders was as high as 1.497 billion yuan, accounting for 84.75% of the latest audited net assets of the listed company.
Jiangsu Zhongli Group Co.Ltd(002309) controlling shareholder’s capital occupation means in 2021 is mainly to borrow from the supplier after the payment is made to the supplier through the listed company or the third party in the supply chain; Or the controlling shareholder’s related party borrows from the business unit with accounts receivable balance, which is the non operational occupation of the company’s funds by the controlling shareholder without informing the listed company.
In addition, the shares of the company directly held by Wang Baixing, the controlling shareholder and actual controller of Jiangsu Zhongli Group Co.Ltd(002309) was also frozen by the judiciary. The number of frozen shares was about 160 million, accounting for 100% of its shares and 18.30% of the total share capital of the company.
On May 19, Jiangsu Zhongli Group Co.Ltd(002309) latest disclosed the return progress of occupied funds, saying that the fund occupation disclosed in the 2021 annual report was operated by the controlling shareholder without informing the company. The company has criticized the controlling shareholder and Chairman Wang boxing in an internal circular and imposed a fine of 1 million yuan.
In addition, Jiangsu Zhongli Group Co.Ltd(002309) also said that the company has repeatedly urged the controlling shareholders and related parties to return the occupied funds, and the controlling shareholders said they were actively raising funds through various channels. Investors should pay attention to the risk of whether the controlling shareholders and related parties can repay on schedule. At present, the internal and external business environment of the company has not changed significantly, and the operation is normal. The photovoltaic base business newly invested and expanded in 2021 will be promoted as planned, laying the foundation for the development of the company’s photovoltaic business in 2022 and striving to turn losses into profits.
Up to now, Jiangsu Zhongli Group Co.Ltd(002309) the balance of non operating funds occupied by the controlling shareholder and related parties is 877 million yuan, compared with the end of March, the return amount is only 2233500 yuan.
share price rose for three consecutive times. The company said its operation was normal
From a fundamental point of view, the net profit loss of Jiangsu Zhongli Group Co.Ltd(002309) in 2021 reached 3.866 billion yuan, mainly due to the explosion of its “private network communication” business, which affected the provision impairment of 2.352 billion yuan. At the same time, due to the insufficient release of production capacity under the sharp rise of materials and sea freight, the operating loss was 1.026 billion yuan and the provision for asset impairment was 495 million yuan.
In the first quarter, Jiangsu Zhongli Group Co.Ltd(002309) continued to suffer losses, with a net profit loss of 633585 million yuan, a year-on-year decrease of 260.56%, and a year-on-year decrease of 3.51% in revenue to 2.163 billion yuan.
However, affected by the recent sharp rebound of growth sectors such as photovoltaic and semiconductor, recently Jiangsu Zhongli Group Co.Ltd(002309) share price has gone out of a market different from its fundamentals, and the share price has risen sharply continuously.
On May 19, Jiangsu Zhongli Group Co.Ltd(002309) share price rose by the limit to 5.4 yuan / share, with a total market value of 4.708 billion yuan. Its share price rose by the limit on May 18 and may 17.
In this regard, on May 19, Jiangsu Zhongli Group Co.Ltd(002309) disclosed the stock price change announcement, which said that the daily closing price increase of the company’s stock trading price deviated from the value by more than 20% in three consecutive trading days. According to the relevant regulations of Shenzhen Stock Exchange, it belongs to the abnormal fluctuation of stock trading. After verification, the company has not found that the recent public media has reported unpublished major information that may or has had a great impact on the company’s stock trading price, The recent operation of the company is normal, and there is no significant change in the internal and external business environment. During the period of abnormal stock fluctuation, the controlling shareholders of the company do not buy or sell the company’s shares.
