Polaris solar PV net news: “high dividend and transfer of accurate reduction, annual reports, executives losing 800 million” hareon serial recently appeared in a series of actions can be described as shocking, also became one of the most closely watched companies in the market. Some shareholders have questioned, hareon typically publishes false news deceived investors, use of insider information to help executives to cash out. Calling for regulators should investigate, protect investors ‘ interests. SSE also sent a letter three times in a row question hareon, require its response. Hareon, released on February 2 suspension notices. But other than suspension, raised so many questions, in the face of investor losses, in the face of integrity of public company image damage, hareon needs to accelerate giving shareholders a say here or not?
Who play bad “high dividend and transfer”?
“High dividend and transfer” was meant to send a large percentage of bonus issue or transfer of shares. By way of capital reserve to increase share capital, shareholders ‘ equity and profitability of the company and has no substantive effect, nor directly bring cash returns to investors. But most of the time, in the eyes of investors and listed companies means that this behavior is to give the market positive signal for future good performance; in terms of listed companies, this behavior is often regarded as one way to repay investors well.
However, on the tall “high dividend and transfer of” concept today has changed, reduced value. Neutrals applied concept nouns has become a frenzied speculation of investors, shareholders of listed companies took the opportunity to cash in, cover a money-making tool.
Recent highly publicised hareon solar market that is becoming typical. Hareon January 22, said in a statement, the three biggest shareholders at the same time propose to the Board, hareon capital reserve per 10 shares 20 shares to all shareholders. In this plan made public shortly before the three high dividend and transfer of “proposer” but could be “underweight”.
Insiders said that one hand raised high and transfer, on the other hand has large holdings, major shareholders and listed companies has become a community of interests, can be said to be contrary to the basic principle of good faith. No exaggeration to say that listed companies have “high dividend and transfer of” capital market instruments to play bad.
High transfer + reduction + heavy losses this is what?
Hareon solar announced plans for high transfer 8 days later, 2014 earnings results on January 30, the company expects announcement of huge losses of 800 million Yuan. With 800 million losses in sharp contrast to the major shareholders of the company 1.5 billion mad cash:
Since the end of 2014, purple and electronic holdings of 448 million shares, set on 289 million Yuan January 14 second-largest shareholder jiurun pipe industry is 689 million Yuan, as early as in the period from January 14 to 20th, jiurun pipe industry on several occasions to reduce, cash 616 million; December 31, 2014, company Chairman Yang Huaijin 16.6 million dollars.
High transfer, then results in heavy losses and hide is the shareholder reduction of crazy, topsy-turvy practices appear in the body of a listed company, such blatant abuses the trust of investors, devastated public company image, disdain for regulators and disrupt order in the capital markets.
Investors should not only ask, hareon exactly what you want to do?
Who is to give investors a say?
Reduction of crazy hand significant shareholders, one hand is unknowing investors comes into play.
Starting from the first day of trading this year, hareon share price soaring. Until January 22, its shares soared in the month 33.86%. Guessed at high transfer on the second trading day after the announcement, after touching high of 10.45 dollars in just 5 trading days hareon which is dropped to 8.29 dollars, down at 21.6%.
A shareholder who declined to be named, has many years of experience in trading stocks, told reporters that he precisely because hareon “high dividend and transfer of” message, heavily after buying a quilt. Hareon shares out of the typical “left major shareholders to cash out with joy, shareholders overturned a quilt on the right” scenario.
Many investors say the losses do not know how to obtain compensation, contact hareon has been through multiple channels, but did not get any reply.
The regulator’s position is very clear:
Faced with a high dividend and transfer of “abuses of transfer of” regulatory approach is clear. Previously, regulators made it clear that, in violation of normal “high dividend and transfer of” behaviour has attracted high attention, SFC high dividend and transfer of listed companies has been checked every single insider trading requirements. And requests from the normative, supervision and insider trading, after verification of the letter PHI angles of a multi-pronged, prevent price manipulation and insider trading and other illegal activities.
SSE has also sent a letter questioning hareon three times. It is reported that the exchanges had been selective, voluntary information disclosures and related secondary market transactions into focus and scope of regulation, and such speculation in the reminded investors to be on high alert.
Cao Zhongming, a well-known commentator believes that proposals, making “high dividend and transfer” or its related shareholders of listed companies, if the irregularities, to keep the “zero” tolerance of highhanded. High cut and transfer the interest chain behind, and indeed, “cutting off” the unfairness in the market.
Commentators said Pi Haizhou, given the high transfer of chaos, supervision departments to step up supervision is necessary. Current high transfer, has clearly become hotbed of insider trading, stock manipulation, and tunneling, a lot of major shareholder of listed companies also use high dividend and transfer to “fat”. High transfer of chaos, and a very important reason is that is high to turn more to consider in response to market speculation, also did not rule out a tunneling purposes, completely deviates from the listed company’s performance of this fundamental.
How to suppress the “low dividend and transfer of” chaos? How to Polish “high dividend and transfer of” color of light? On one hand, enhance supervision, essential emphasis on regulation, improving capital cost of violating, allow offenders to pay the necessary price, can really curb the wrongful act and, on the other hand, it should also allow the performance of listed companies with high dividend and transfer of a return to, return to nature in the distribution of profits. If it’s just pure hype, as well as the concept of earmarking, for investor protection, for listing the company’s own image, and for the healthy development of the capital market as a whole, useless, meaningless.
Original title: is broken by playing “high dividend and transfer of” hareon owe shareholders a say