implantdentarrespins| Locked in for delisting, Nantong's former richest man is "powerless" and 110,000 shareholders have no sleep!

Original title: lock delisting, the former richest man in Nantong "powerless", 110000 shareholders sleeplessImplantdentarrespins! His personal annual salary was once as high as 10 million yuan, but now he is involved in lawsuits and has been restricted to high consumption.

Every editor Cheng Peng

0Implantdentarrespins.56 yuan!

This is the final closing price of ST 000961.SZ. May 8 is the 20th consecutive trading day of ST Zhongnan closing price less than 1 yuan, 15 years of A-share ups and downs road, ST Zhongnan to "face value delisting" ushered in the end.

On the evening of May 13, ST Zhongnan announced that the company had received a "prior notice" from the Shenzhen Stock Exchange, because the daily closing price of the company's shares was less than 1 yuan for 20 consecutive trading days from April 3 to May 8, touching the relevant provisions of the exchange's stock listing rules for the termination of listing, the Shenzhen Stock Exchange intends to decide to terminate the company's stock listing trading.

Although according to the relevant rules, the company has the right to apply for a hearing or submit a written statement and defense, but according to the past practice, the company is very likely to be difficult to recover. As of April 30, the number of shareholders in the company was about 113500.

Zhongnan Construction, a veteran A-share listed housing enterprise, was founded in 1985 and has been listed on the Shenzhen Stock Exchange for 15 years since 2009. Although not as well-known as "cosmic housing enterprises" such as Vanke and country Garden, Central-South Construction plays an important role in Nantong, Jiangsu Province. In 2020, Central South Construction ranked 14th in sales among national developers, setting a record, and founder Chen Jinshi became the richest man in Nantong with a fortune of $14 billion that year.

According to the China Real Estate News, "28 people join hands to start a business and forge ahead; they have been dreaming for 35 years."... " This is a section of the promotional video "Heart Enlightening the Future" on the website of the Central South Construction official, which belongs to the story of the Central South Construction. In addition to the story, the real estate industry from the "Golden Age" to the "Bronze Age" and then fell into the "freezing point", the road to recovery is bumpy and long. From getting out of danger to delisting, it only took two years for ST Zhongnan. During this period, we also tried to win the face value defense war through a series of measures, such as government platform, increasing holdings, and so on, but finally failed to stop the Shenzhen Stock Exchange from closing the door to the construction of Central and South China.

From Central-South Construction to ST Central-South

Once actively saved himself.

0.94, 0.89, 0.85. Until the last 0.56 yuan per share, the share price of ST Zhongnan fell all the way, and the hearts of 110000 shareholders followed.

"it's not a loss if you don't sell it. Who knows when you'll turn around?"you've already lost 91%, and it's no fun to sell now." The dangerous stock price trend of Zhongnan Construction has caused a large number of Zhongnan investors to pour into the "stock bar" of the Oriental Wealth stock community, where they get together to discuss how much money they have lost to each other and the possible future direction of the stock.

China-South Construction is also unwilling to delist from the market. Zhongnan Construction has carried out a series of rescue measures to protect the shell of listed companies.

As early as February this year, Zhongnan Construction announced that some directors and senior executives had voluntarily increased their shareholdings. Six directors and senior executives, including Shi Jinhua, planned to increase their holdings by 5 million to 10 million yuan through the secondary market within six months from February 8.

The increase of senior executives' holdings can enhance market confidence and drive up the stock price, which is a common way for listed companies to retain their shells. According to the company's latest announcement, as of May 8, the relevant personnel had increased their holdings of the company's shares by a total of 6.8287 million shares, accounting for 0.178% of the company's total shares, with a total increase of about 4.84 million yuan. The increase in executive holdings briefly freed the company from the delisting crisis, but coincided with the sensitive period of annual and quarterly reports, when executives failed to increase their holdings, and the company's share price collapsed again, thus locking in face value delisting.

Another way to preserve the shell is to introduce strategic investment.

The construction of Central and South China has also welcomed the assistance of the "White Samurai". On April 20, led by the Haimen District Government of Nantong City, Zhongnan Urban Construction, the controlling shareholder of Central South Construction, discussed debt resolution, equity transactions and other institutions with well-known Asian private equity firm PAG and Jiangsu assets.

On April 22, the Shenzhen Stock Exchange issued a letter of concern to Zhongnan Construction, requiring it to disclose information such as the authenticity of its investment cooperation with Pacific Alliance. Or affected by this news, on April 22, Zhongnan Construction ushered in the opening of the "one-word board" limit, closing price at 0.84 yuan per share. In the evening of the same day, the third announcement of Central South Construction hinted that it was possible to withdraw from the market.

Immediately following a trading limit, Central South Construction issued a report in 2023 that the company had lost money for three consecutive years. Trading of Central South Construction was suspended for one day on April 23 and resumed on April 24th. The limit of Central South Construction fell to the limit and was implemented as "other risk warnings". The stock abbreviation was changed from "Central South Construction" to "ST Central South".

In the announcement in response to the inquiry letter of the Shenzhen Stock Exchange, Zhongnan Construction confirmed the authenticity of cooperation with Pacific Alliance Investment and other matters. "at present, the two sides only discuss the possibility of cooperation, and there is no specific plan or promotion plan. The matter is still in the planning stage and has a significant uncertain impact on the company. " The construction of Central and South Africa said.

Since then, ST Zhongnan can no longer recover, the stock price began to "fall endlessly."

On April 26th, ST Zhongnan issued the fifth risk warning announcement on face value delisting. At the opening of trading on May 8, ST Zhongnan shares stayed at a straight line of 0.56 yuan, with a total market capitalization of only 2.143 billion yuan. Chen Jinshi and his Zhongnan Construction had to face the fate of being delisted.

According to the Securities Times, Chen Jinshi, chairman of ST Zhongnan, made his last public appearance at the company's 2023 investor exchange meeting on April 23, along with three senior executives, including Chen Jinshi's daughter and ST Zhongnan general manager Chen Yuhan. It is reported that Chen Jinshi made a judgment at the meeting: at present, the industry is already at the bottom, but it is expected that it will be adjusted for some time, and more policies are needed before the market will improve.

Chen Yuhan has repeatedly expressed his determination not to lie flat in the middle and south of ST at past performance meetings. At this exchange meeting, Chen Yuhan reiterated that the company will overcome all kinds of difficulties, never lie flat and flinch, and deliver the house according to plan and quality in a down-to-earth manner.

According to the China Real Estate News, in fact, Zhongnan Construction has been trying its best to save itself since the liquidity crisis, by selling assets, divesting property and hotel businesses, introducing AMC cooperation such as Huarong and Cinda, negotiating with debtors for extension, and promoting debt restructuring.

While enterprises save themselves, as a key listed company in Nantong, the local government is also doing its best to help. On February 7 this year, Nantong Finance Bureau and Haimen District Government made a special trip to Central and South China for research, and further introduced seven major relief measures. Including setting up special classes for government and enterprises in the government capital market, further coordinating communication between China-South construction and financial institutions to resolve debts, promoting cooperation between local state-owned construction enterprises and China-South construction, supporting social capital to set up investment funds through market-oriented mechanisms to introduce strategic investors to increase their holdings of Central-South construction shares, strengthening the revitalization and support of Central-South construction assets, helping Central-South construction shareholders communicate with financial institutions to resolve equity pledge risks, We will speed up the landing of the "whitelist" project in central and southern China and support Baojiao buildings and other measures.

"these measures will play a great role in getting us out of the predicament, and the landing speed of the measures is also very fast." 'We will still strengthen our communication with local governments in 2024, including business development, debt resolution, asset disposal, risk resolution, delivery protection, and so on, 'Mr. Chen said.' we also have reason to believe that there will be more bailout support, 'Mr. Chen said.

By the end of December 2023, the interest-bearing debt of Central and South China Construction was 43.26 billion yuan, 4.29 billion yuan less than that at the end of 2022. The interest-bearing liabilities within one year totaled 22.73 billion yuan, 480 million yuan less than at the end of 2022. Interest-bearing liabilities account for 19.06% of total assets. Since November 2023, the existing corporate bonds issued by China South Construction have been extended for five years.

Although there are difficulties and pressures in short-term business development, the management of Central South Construction still maintains confidence in the future. Chen Jinshi once said in an interview with the China Real Estate News that it is not easy to be an enterprise. it has depended on the spirit of hard work and the cautious attitude of dealing with the market for more than 30 years.

In the past, hundreds of billions of housing enterprises

ST Zhongnan grew up in Nantong, the hometown of construction, and is also the largest real estate enterprise in the city. The Zhongnan Building, the old headquarters building of the Central South Group, is built in Haimen Town, and there is "no comparable high-rise building" around it. The company has participated in the construction of national projects such as the Bird's Nest, the National Grand Theater, Beijing Daxing International Airport and the CCTV headquarters building.

Nineteen years ago, Central South Construction won the Nantong CBD project with the spirit of "snake swallowing elephants", with a construction area of 2.7865 million square meters, which is the famous battle of Central South Construction. 'at that time, Nantong developed more slowly than others, 'Chen Jinshi said in an interview.' other people didn't dare to do it. I dared to do it.

In 2009, the company completed listing on the Shenzhen Stock Exchange.

In 2015, Chen Jinshi decided to concentrate his real estate business to first-and second-tier cities, eventually covering 26 provinces and more than 160 cities.

In 2016, the company took advantage of the era dividend of shed reform, and the sales scale went straight to 200 billion yuan.

In 2020, at the peak of performance, the company announced that the contract sales amount exceeded 220 billion yuan.

However, with the big changes in the real estate industry, the company did not have time to shrink, and then fell into crisis. In 2021, the company's operating income reached 79.211 billion yuan, but the net profit loss attributed to the parent company was 3.382 billion yuan; in 2022, the company lost more than 59.036 billion yuan in operating income and 9.171 billion yuan in net profit attributed to the parent company; in 2022, the company continued to lose 68.488 billion yuan in operating income and 5.293 billion yuan in net profit vested in the parent company.

Since the beginning of this year, the performance has not improved significantly. The company achieved an operating income of 9.872 billion yuan in the first quarter and a net profit loss of 601 million yuan belonging to the parent company.

ST Zhongnan also released the operation of April 2024, the announcement shows that in the real estate business, ST Zhongnan contract sales of 1.71 billion yuan in April 2024, sales area of 139000 square meters. From January to April, the cumulative contract sales totaled 6.44 billion yuan, with a sales area of 543000 square meters, down 59.9% and 59.6% respectively from the same period last year.

He started at 5000 yuan, and his annual salary once reached 10 million yuan.

Worth up to 14 billion yuan

According to public data, Chen Jinshi, founder and chairman of Zhongnan Group, was born in Nantong, Jiangsu Province in October 1962, EMBA of Fudan University, Dr. DBA of City University of Hong Kong, senior engineer, is an outstanding private entrepreneur and philanthropist.

The company's official website

Like Yang Guoqiang in country Garden, Chen Jinshi started as a builder.

In early 1988, the founder of the company, Chen Jinshi, led 28 people, with 5000 yuan cobbled together, to Dongying, Shandong Province, linked to the subcontracted engineering team of the five labor brigades of Pingshan Township in Haimen, starting with Bao Qinggang and embarking on the difficult road of starting a business.

In January 1988, Chen Jinshi, in order to recruit a team, braved the wind and rain, door-to-door communication, originally talked about a team of more than 70 people, to the departure of only 28 people. Photo source: central South Construction official website

After more than 30 years of development, Central South Group operates in 26 provinces, more than 160 cities and overseas markets such as Australia and Algeria, and once ranked 78th among China's top 500 enterprises and 11th among China's top 500 private enterprises. China's top 16 real estate enterprises and the eighth of China's top 500 construction enterprises.

With the development of Central South Group, Chen Jinshi's wealth has also risen. He was on the Hurun Rich list in 2008 and ranked 388 in 2020 with a fortune of 14 billion yuan.

According to wind data, Chen Jinshi's annual salary from 2019 to 2022 was 14.61 million yuan, 16.5 million yuan, 10.66 million yuan and 10.88 million yuan respectively. In 2023, Chen Jinshi became the executive with the biggest salary reduction in A-share real estate companies, reducing his salary by 90% to 960000 yuan.

Years of financial crisis have plagued the former richest man in Nantong with lawsuits and restrictions on high consumption. Enterprise investigations show that at present, the amount of money involved in the construction of Central and South China has reached 3.374 billion yuan, and the amount of money involved in the execution of broken promises has reached 815.3 million yuan.

Editor | Cheng Peng and du Hengfeng