CITIC's proposal to transfer Huaxia Fund's equity has been approved by the order taker or has been stipulated (VC309)

At 2 pm on June 9th, the second temporary general meeting of shareholders of CITIC Securities in 2011 was held on time on the second floor of the central hall of Beijing Kunlun Hotel.
Although the CITIC selling Huaxia to be considered at this shareholder meeting attracted much attention from the market, the shareholder meeting was not lively. In the conference hall with more than 100 locations, only 30 people sat on the floor.
Statistics released by CITIC Securities show that 33 shareholders attended the meeting and held 3.335 billion shares, accounting for 33.54% of the total share capital of CITIC Securities.
The entire shareholders 'meeting also proceeded quite smoothly. One hour later, the proposal of Huaxia Securities' equity transfer was approved by 99.99%.
"After the shareholders' meeting, the underlying equity will soon be listed on the stock exchange. After the announcement, we are also in contact with many potential investors." CITIC Securities said.
Who is the receiver?
At around 1.50 pm, Wang Dongming, chairman of CITIC Securities, appeared at the meeting of the shareholders' meeting. At the same time, a number of senior management of CITIC Securities were also present. It is still some time before the shareholders' meeting is officially held, and several executives chatted with each other quite lively.
Contrary to the lively atmosphere of the company's executives, not many shareholders were present, sitting casually in the venue without much communication with each other.
In fact, CITIC's selling of Huaxia's shares has long been expected, and there is not much suspense in the passage of this bill. It is not surprising that the number of shareholders is small.
Prior to May 25, CITIC Securities announced that it intends to transfer its 51% stake in Huaxia Fund through listing. The equity transfer has been approved by the state-owned assets management department, and the initial listing price will be no less than the estimated value of 7.563 billion yuan. The listed price of the China Assets Fund is 62.31 yuan per share. This is a decrease of 43% from the transfer of 24% of Bosera Fund ’s equity of 109.5 yuan / share on August 14, 2009 by China Merchants Securities.
In 2010, Huaxia Fund contributed 12.26% of CITIC Securities' consolidated operating income and 8.29% of its consolidated net profit. Guotai Junan analyst Liang Jing had previously expected that if CITIC Securities transferred the Huaxia Fund, if the proceeds of equity transfer were deducted, it would affect the company's performance by -7.4%.
But despite this, the transfer of China Resources Fund cannot be stopped. The current suspense mainly focuses on who will take over the cash cow of the ChinaAMC Fund, and what new resources will the new shareholders bring to the ChinaAMC Fund.
According to the previously announced transfer plan, 51% of the underlying equity will be divided into no more than 5 shares. Since 2010, rumors about the transferee have not stopped. The suspected list of institutions is quite rich, with state-owned enterprises, private enterprises, Chinese-funded enterprises, and foreign-funded enterprises readily available.
"After the transfer announcement was issued, many investors came to us and communicated with us. As for what kind of institutions will participate in the bidding and who the final transferee is, it will have to be determined through the bidding process." CITIC Securities Said.
However, although CITIC Securities has repeatedly stated that it is necessary to go through the listing process to confirm the transferee, the outside world still generally believes that the order taker has been set.
However, after the transfer announcement was issued, PetroChina, who was newly added to the list of suspected transferees, said that the head of the relevant department of CITIC Securities said, "It is not impossible. In fact, many institutions may become transferees. What type of company is restricted. "
PE fund qualifications are not yet available
It is unwilling for CITIC Securities to sell the cash cow of China Assets Fund, but it is also an unchangeable thing. The large amount of cash redundancy brought by the equity transfer also makes CITIC Securities to cultivate more new "golden kings".
It is not difficult to see from the recent series of capital injections by CITIC Securities. Equity investment, margin trading, China Securities Futures, and overseas business are the business units that CITIC Securities has built. The brilliant operating data of CITIC Securities in March and April also showed that the direct investment business supported the performance.
However, the registered capital of Jinshi Investment has reached the regulatory upper limit, and innovative businesses such as margin trading and stock index futures have not actually brought too large a gain. Although the thunder is getting louder on the international board, it may take some time to launch.
Recently, CICC has obtained its first PE fund qualification and opened a new channel for brokers to develop PE business.
"We are also applying for qualifications, but as far as I know, they have not been approved yet," said the head of CITIC Securities. Earlier, the market rumored that there would be five brokers approved in the first round, and only CICC actually got one in the end.
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