Shenzhen state-owned shareholding plan will be affected.
According to the announcement, Shenzhen International Holdings (Shenzhen) Limited ("Shenzhen International") and Shenzhen Kunpeng Equity Investment Management Co. ("Kunpeng Capital") to acquire a 23% equity interest in Suning Tesco at a price of RMB6.92 per share, with the transaction involving a total capital of approximately RMB14.8 billion. SZI and Kunpeng Capital have a state-owned background.
After the completion of the transaction, Zhang and his concerted action Suning Holdings Group's shareholding dropped to 16.38 percent, and Suning Appliance Group's shareholding dropped to 5.45 percent, and will get the funds they need.
The news encouraged investors, with Suning.com opening the next day up at 7.7 yuan. Shenzhen's state-owned capital is also seen as Zhang's "white knight". However, it is worth noting that the deal has not yet been completed, and there have been some "hiccups".
Last month, the media released a deep international, Kunpeng Capital comprehensive suspension of the relevant due diligence work information. Suning Tesco denied this. Now, there are new ripples. Some of Zhang's shares have been frozen, which may affect Shenzhen State Capital's shareholding plan.
William Ping, a fund manager at investment house Peaceful Investment, told Bloomberg that investors are concerned that a court order freezing Zhang's shares could derail the plan to acquire the (shares).
Ping said, "The shareholding freeze has been interpreted as an indication of Suning's desperate financial situation, not just on the books but off the balance sheet. It could even have worse consequences, with the takeover deal being abandoned all together."
According to Suning.com's announcement, Zhang, Suning Appliance Group and Shenzhen State-owned Capital signed a framework agreement for the transfer of shares on Feb. 28, and if the parties do not sign further agreements within six months after this agreement comes into effect, the transaction will be automatically terminated.
Suning Tesco "mine" constantly
June 16 morning, the Shenzhen Stock Exchange website announcement, Suning Tesco intends to disclose a major event, according to the "Rules for Stock Listing" and "Shenzhen Stock Exchange Listed Companies Disclosure Guidelines No. 2 --Suspension and resumption of trading business" of the relevant provisions of the company's application, the company's shares on June 16, 2021 from the opening of the temporary suspension of trading, to be resumed after the company disclosed the relevant announcements through the designated media, investors are urged to pay close attention to the.......?
And before that on June 15, Suning Tesco released two announcements - the company's third largest shareholder Suning Appliance Group passive reduction of 10 million shares, the real controller Zhang Near East held 5.8% of the shares were judicially frozen.On the evening of June 15, Suning Tesco on the part of the company's shares held by Zhang Near East was frozen for reasons to make Explanation, Suning Property has put forward to the Beijing No. 2 Intermediate People's Court for implementation of the objection, the court has accepted the implementation of the objection.