AutoBeta(AutoBeta.net)09/09 Report--

As a result of the court ruling to accept the restructuring, Giant Group shares were suspended for one day on September 6, September 9 was implemented delisting risk warning, the stock "wearing a hat" changed to * ST huge. On the first day of the resumption of trading, * ST opened a huge market, with 2.7 million running singles, which was hit into an one-word limit. As of press time, the stock fell 4.62%, 1.24 yuan per share, 4.686 million running orders, and the latest market capitalization was 8.28 billion yuan.

According to previous reports, the giant group borrowed 17 million yuan from Beijing Jidongfeng in May this year, but it was eventually appealed to the court by Beijing Jidongfeng to restructure the era because it was unable to repay it within the time limit. On September 5, the giant group issued a notice saying that the court had ruled that it had entered the restructuring.

The giant group, once known as the "largest car dealer in China", once had 1035 outlets across the country and in Mongolia, including 834 stores, 132 car supermarkets and 69 shopping malls. Until 2010, the giant group has been firmly at the top of the domestic car dealer group.

In April 2011, the giant group officially landed in A-shares with a market capitalization of more than 60 billion yuan. However, there has been a lot of trouble since then. In 2017, the giant group was filed for investigation by the Securities Regulatory Commission on suspicion of violating securities laws and regulations, and the results of the investigation were announced in May 2018. The investigation shows that Pang Qinghua, the largest shareholder, failed to truthfully disclose the fact that his co-actors still actually controlled and owned the shares of a large group at that time, omitting to disclose his financing arrangements through the swap of income involved in the case. there are also false records and major omissions in the disclosure of the report on changes in Rights and interests.

Then, by this "letter cloak violation" storm subsequently triggered a series of effects, the huge group began to go downhill. In order to alleviate the financial pressure, the huge group not only carried out financing many times, but also alleviated the financial pressure through the sale of distribution stores.

According to its financial report, in 2018, the net profit of the giant group's shareholders belonging to listed companies was about-6.155 billion yuan, down 3003.23% from the same period last year. According to the 2019 interim report, the operating income of the giant group was 10.256 billion yuan, down 62.17% from the same period last year; the net profit belonging to shareholders of listed companies was-1.199 billion yuan, down 563.66% from the same period last year. In addition, the group's cumulative new car sales in the first half of this year were 50100, down 71.22% from a year earlier.

The shortage of funds, coupled with the downturn in the car market, has left huge groups in trouble. The huge group pinning its hopes on restructuring made an unfavorable start on the first day of trading and encountered the fate of falling to the limit, and its market value shrunk to 8.28 billion yuan. As for restructuring, the huge side has said that the implementation of restructuring will help to improve the company's assets, liabilities and governance structure. However, large groups have also made a risk reminder that if the restructuring fails, the company will be declared bankrupt by the court.

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