Huafang Textile Test Water Backdoor Listing, Continuous Trading High

"P > Hua Fang a target=" _blank "href=" //www.sjfzxm.com/ "> textile < /a > has been criticized for competing with the large shareholder Huafang group, and the first two asset restructuring efforts to solve the problem were aborted due to poor profitability of cotton spinning assets.

The Jiaxi energy backdoor is the third asset reorganization in the history of Huafang textile.

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< p > however, at present, Huafang textile company is facing a lawsuit that is alleged to be less than a href= "//www.sjfzxm.com/news/index_z.asp" > financial fraud "/a". Shi Weixin, director of Huafang textile office, told reporters: "they will strictly control the securities companies in accordance with the regulations. We do not have any problem of violation. At present, litigation cases have no effect on restructuring."

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< p > < strong > reorganization has a twists and turns > /strong > /p >

< p > December 3, 2013 evening, Huafang textile disclosed "major asset replacement and issuance of shares to buy assets and raise matching funds and related pactions plan" (hereinafter referred to as "reorganization plan").

Although the backdoor side is Jiaxi energy already announced, but the disclosure of this plan is undoubtedly the Jiahua energy backdoor issues really put on the reorganization agenda.

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< p > December 4th, Huafang textile resumed 3 trading days after the resumption of trading.

In connection with the exultation of stock investors in the stock market, Huafang textile makes the energy of Jiahua become more popular.

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In the past three years, the income of Huafang textile business has been decreasing, and the net profit has been at the margin of profit and loss: Although the profits in 2010 and 2012 were 140 million yuan and 15 million 336 thousand and 500 yuan respectively, the losses in 2011 and 2013 1-9 were 295 million yuan and 11 million 870 thousand yuan respectively. P

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Li Wei, an analyst at Soochow securities and textile industry, said that the recent situation of cotton spinning industry is generally not good, first because of overcapacity in the industry, and two because of the very low demand for terminal demand in the past two years. P

Moreover, as a traditional industry, the market barriers of cotton spinning industry are very low, and the characteristics of pure processing lead to low profit margins.

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< p > "no particular attention has been paid to this company before, because the company's main business is very poor, so basically there is nothing to pay attention to besides restructuring."

An industry analyst said that the market structure of the cotton industry has been basically stable. "In such an industry with excess capacity, only the industry leader can survive. The position of the eldest brother is difficult to change.

The development of Huafang textile company is much narrower.

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The business income and net profit of Jiaxi energy company, which is going to be backdoor, is increasing year by year. The operating income in the first three quarters of 2013 is about 1 billion 465 million yuan, and the net profit attributable to the parent company owner is about 302 million yuan. P

As of September 30, 2013, the total assets of Jiaxi energy were 3 billion 845 million yuan, and net assets were 1 billion 710 million yuan, the assessed value was 5 billion 800 million yuan, and the appreciation rate was 241.14%.

Jiaxi energy was also selected in 2011 as the notice of the national development and Reform Commission on printing and issuing a typical case of circular economy. It is described as a development mode of "relying on leading industries to build upstream and downstream interrelated and multi industry symbiosis" Chemical Industrial Park circular economy.

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< p > it is worth noting that Huafang textile is not only free from the edge of ST, but also has a problem of interindustry competition which has not been solved for 6 years.

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< p > public information shows that in 2007, Huafang Textile Co. intends to acquire the 100% stake in Huafang group's Xiajin cotton industry and Xiajin textile. At that time, Huafang group promised to import the cotton spinning business and assets of Huafang group into Huafang textile products within 6 years after the completion of the acquisition (i.e. July 31, 2007), so as to realize the overall a href= "http://pop.sjfzxm.com/popimg/xm/index.aspx" of the cotton spinning business and assets.

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< p > and in the next 6 years, the major shareholder's overall listing plan was restarted two times in 2008 and 2011, but it was suspended two times.

In October 2012, at the request of the Jiangsu Securities Regulatory Commission for the special inspection of the performance of commitments, Huafang group gave an answer to the inquiry letter of Huafang Textile Co., Ltd., that there was no feasible solution to fulfill its promise.

1 years later, Huafang textile formally announced that the overall listing plan for major shareholders was officially aborted.

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< p > so, this is the third time since the listing of Huafang textile, "a href=" //www.sjfzxm.com/news/index_cj.asp "restructuring" /a.

In response, Shi Weixin said: "on the matter of competition, you can see the specific announcement, there are all announcements."

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< p > according to the restructuring plan of Huafang textile, a series of factors, such as the difficulty in making profits in the cotton spinning industry, make the Huafang group's profitability of cotton spinning assets poor, and it is difficult to solve the competition between the listed companies and Huafang group.

The listed company intends to carry out the reorganization, and in the meantime, injecting high-quality assets into the listed companies to achieve business pformation, it also solves the competition between the listed companies and Huafang group.

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< p > industry insiders point out that the cost of selling shell is still great in order to solve the problem of competition in the same industry.

It is difficult for the delisting to be listed. It is estimated that Huafang group has no hope for the performance of Huafang textile.

However, according to the calculation of the restructuring plan, Huafang textile is still holding 11.88% of the listed company after the reorganization, and the stock price is rising quite well now.

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< p > < strong > financial disputes confusion > /strong > /p >

< p > Huafang Textile Co., Ltd. intends to replace all assets and liabilities owned by Jiafu group with 100% of the 96 equity assets owned by Jia Hua group.

The difference between the value of the assets and the price of the assets will be purchased from the 96 shares of jiarhua energy company.

On the basis of the implementation of the paction, the listed company intends to raise the matching fund of the non-public offering shares of the specific target of no more than 10 by the inquiry price by 500 million yuan, which is used for the expansion project of "cogeneration unit expansion" to be invested by Jiaxi energy.

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< p > this is the main content of Huafang textile reorganization plan, which is also known as the first single reorganization plan after the new rules of the backdoor.

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< p > because in November 30th, the China Securities Regulatory Commission issued the notice on the strict implementation of the IPO listing standards in the audit of backdoor listing. It clearly stated that in the process of auditing, the control of the conditions for backdoor listing was raised from "convergence" to "equivalent" IPO standard, and it was reiterated that it was not allowed to backdoor listing on the gem, and the "new and old" strategy was adopted at the specific implementation time.

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< p > Gao Hui, a lawyer of Deheng Shanghai law firm, thinks that the new rules of backdoor regulation will enhance the standards of corporate backdoor auditing and the responsibilities of securities companies, as well as IPO, which can well curb the market speculation of shell resources and the immortality of some bad performance stocks.

With the IPO condition being equal to the IPO that will be restarted in January next year, it is foreseeable that the shell of the listed company will become less attractive and of little value.

If a listed company fails to operate well, it will no longer give other companies the opportunity to borrow at a low cost.

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< p > "we do not know whether we are the first order after borrowing new rules. The main task of the listed company is to do well in daily operation, and the concrete operation is operated by the intermediary in accordance with the new standard."

Shi Weixin said, "of course, since we are restructuring now, we must have confidence in restructuring."

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< p > however, the problem in front of Huafang textile is that atomic company Zhangjiagang Hua Tian Xin Mstar Technology Ltd (hereinafter referred to as "Alex Hua Tian company") and its current controller Xiao Zhaoya are not recognized by Alex Hua Tian for a about 12000000 loan owed to Huafang textile.

Although the two trial by the Zhangjiagang court and the Suzhou intermediate people's court decided that Alex Hua Tian company returned the loan, however, Xiao Zhaoya refused to accept the Alex Hua Tian company, and once again submitted a retrial to the Jiangsu provincial high court.

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In October 23rd, after the hearing before the reunification of the provincial high court in October 23rd, there was no new progress in the case because the two sides did not agree to compromise.

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< p > December 4th, Xiao Zhaoya told reporters: "I have made new progress in the prosecution of Huafang textile case in the Suzhou intermediate people's court. The Suzhou intermediate people's court has informed me by telephone that the case has been pferred from the court to the two court of the people.

The notice of this lawsuit will come next week if it does not arrive this week.

The object of this lawsuit is 48 million 430 thousand yuan. I mainly prosecute Huafang textile fraud and financial fraud during the operation of Alex Hua Tian company.

I have all the evidence, but I can't wait until the notice is opened. "

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< p > < < a href= > //www.sjfzxm.com/business/ > > listed company < /a > has not received any court documents, so we do not have any comment on this.

As for the retrial of the provincial high court, there will be a verdict, which has no effect on the restructuring.

Shi Weixin stressed that "Huafang textile did exist for the loan of Alex Hua Tian company, and it was also confirmed by Xiao Zhao before.

We do not have any irregularities, otherwise, not only the securities dealers, exchanges, and the securities and Futures Commission will raise them.

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< p > December 5th, the reporter called the reorganization of Guan Jianzhong, the actual controller of the company, but no one answered the phone.

Guan Jianzhong said in an interview with our reporter that the lawsuit was handled by Huafang textile and had nothing to do with Jiaxi energy.

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