① After trading hours on Friday, ST Aikang, ST Yili, ST Dima and *ST Baan announced that they had received prior notices of intention to terminate the listing of the company's stocks; ② According to incomplete statistics, a total of 13 listed companies were terminated or locked for delisting in June (see table); ③ Since the day it was “capped”, the stock price of ST Aikang has been continuously halted for 31 consecutive limit downs.
As the implementation of the 2024 national nine regulations deepens, the delisting supervision of the A-share market continues to increase, and survival of the fittest has become the norm. This week, ST Aikang, ST Yili, ST Dima, *STBaan, ST Futong, Jianche B, and *ST Yilian successively announced that they had received a pre-notification of their company's stock market delisting.
According to incomplete statistics from Caixin, 4 listed companies including *ST Meiji, ST Sunshine, Kama B, and *ST Gaosheng announced this week that they have received a pre-notification of their delisting. In addition to the 11 listed companies that have announced that they have received a pre-notification of delisting, there are 5 A-share listed companies, including Rightway Holdings, Delisting Mall, *ST Shimao, *ST Meisheng, *ST Min Kong, that have announced that their stocks have been delisted. Currently, *ST Shimao, *ST Meisheng, and *ST Min Kong have all been delisted, please refer to the following chart for details:
▌ST Aikang received 31 consecutive limit downs, together with ST Yili and 4 other companies receiving pre-notifications of company stock listings being terminated on Friday.
ST Aikang, whose main business is efficient manufacturing and comprehensive new energy services, announced after-hours on Friday that they have received a pre-notification from the SZSE that during the period from May 21st to June 18th, the closing price of the company's stock has been lower than 1 yuan for 20 consecutive trading days through the SZSE trading system, triggering the delisting of the stock. In fact, the fate of ST Aikang's delisting had already been locked in. On the day of the closing bell on June 12th, ST Aikang reported a share price of 0.45 yuan/share, and has been closing at less than 1 yuan/share for 16 consecutive trading days, locking in the delisting. Akcome Technology released their 2023 annual report on April 30th, with a net income loss of 826 million yuan. Due to recent three fiscal years of net profit, deducting non-recurring gains and losses, are negative values, Akcome Technology will be subject to other risk warnings beginning from May 6th, and the stock abbreviation will also change to "ST Aikang". Since the day it was "capped", ST Aikang's stock price has embarked on a path of "continuous limit downs". Market data shows that since May 6th, ST Aikang's stock price experienced 31 consecutive limit downs, and has never opened its limit up price, and as of Tuesday's closing bell, the stock price was only 0.37 yuan/share.
Regulatory authorities have also taken corresponding measures in response to ST Aikang's delisting risk. On the evening of June 12th, Akcome Technology announced that the CSRC had filed a case against the company and the actual controller, Zou Chenghui, for suspected illegal information disclosure. In addition to the plummeting stock price and being investigated, news of the company's headquarters being empty along with stoppage of work and production has also been reported. ST Aikang's problems do not end there. At the beginning of this year, Akcome Technology released a performance forecast of a loss for 2023, which also caused concern among many small and medium shareholders. On February 5th and April 15th of this year, when the company's interactive platform replied to investors' questions about whether the company had ST risk, the company said, "Currently the company does not have ST risk." Looking at an extended period of time, since January, ST Aikang has suffered a cumulative maximum stock price decline of 86.88%.
Also receiving a pre-notification of their stock being delisted this Friday were ST Yili, ST Dima, and *ST Baan. ST Yili, the largest producer of sulfide sodium series products in China, announced after hours on Friday that the company had received a pre-notification from the Shanghai Stock Exchange "About the pre-notification of termination of listing of Yili Clean Energy Co., Ltd." The stock of the company has reached the condition for termination of listing for 20 consecutive trading days from May 24th to June 21st, with the closing price of the stock being less than 1 yuan daily, in compliance with relevant regulations, the Shanghai Stock Exchange has made the decision to terminate the listing of the company's stock. The company's stock has been suspended since the opening of the market on June 24th (Monday). The annual report shows that in 2023, the company's audited net loss attributable to its parent company shareholders was 542 million yuan, and the net loss attributable to its parent company shareholders, excluding non-recurring gains and losses, was about 675 million yuan. It is worth mentioning that from 2021 to 2023, ST Yili's financial company has been punished by regulators for violating regulations for three consecutive years, and some executives have been banned from engaging in banking industry work. In addition, the company has frequently entered into litigation, and has been listed as a person subject to enforcement by courts at different levels in Yunnan, Guangdong, Beijing, and other places. Looking at an extended period of time, ST Yili's stock price has suffered a cumulative maximum decline of 86.52% since January.
On the same day, ST Dimah, which specializes in real estate development and special vehicle manufacturing, announced that the company received a preliminary notice of termination of stock listing issued by the Shanghai Stock Exchange. The company's stock price has been lower than RMB 1 for 20 consecutive trading days, meeting the standard for delisting due to trading. According to relevant regulations, ST Dimah's stock will be suspended from trading on June 24th (next Monday). It is worth noting that ST Dimah previously attempted to "save itself" through a series of executive holdings. On June 19th, ST Dimah announced that the company's president, Luo Shaoying, plans to increase the company's shares through the second market concentration bidding with its own funds for six months starting from June 20th, with a proposed total investment of no less than RMB 3 million and no more than RMB 5 million. Before that, on May 14th, ST Dimah announced that the controlling shareholder planned to increase its shareholding by RMB 30 million to RMB 50 million. In addition, ST Dimah's director and senior management Luo Shaoying, Yang Yongxi, and Yi Lin, and non-director senior management Wang Lei, Xiong Xiaopeng, Wu Jiannan, and Li Junjie plan to increase their shareholdings in the company for six months starting from May 15th, with a proposed total investment of no less than RMB 2 million and no more than RMB 3 million. Taking a longer-term view, ST Dimah's stock price has fallen by a cumulative maximum of 60.6% since the highest point in January.
On the same day, *ST Baoan, whose main products include integrated water treatment equipment systems, announced on Friday evening that it had received a pre-notification letter from the Shenzhen Stock Exchange. Because the company's stock price has been lower than RMB 1 for 20 consecutive trading days, the Shenzhen Stock Exchange intends to terminate the company's stock trading. Since 2020, *ST Baoan has been in a debt crisis, and its performance has continued to decline. From 2021 to 2023, the net income attributable to shareholders of the company was - RMB 1.304 billion, - RMB 386 million, and - RMB 108 million respectively, with three consecutive years of substantial losses. Taking a longer-term view, *ST Baoan's stock price has fallen by a cumulative maximum of 87.86% since the highest point in January.
In addition, ST Futong, Jianche B, and *ST Yilian all received pre-notification letters from the exchange this week to terminate their stock listings. ST Futong, a leading domestic supplier of fiber optic preform rods, optical fibers, and cables, announced on Wednesday that it had received a pre-notification letter from the Shenzhen Stock Exchange. The company's stock price was below RMB 1 for 20 consecutive trading days from May 20 to June 17, meeting the condition for terminating stock listing, and the Shenzhen Stock Exchange intends to terminate the company's stock trading. Jianche B, which mainly engages in the production and sale of automotive air conditioning compressors, announced on Tuesday evening that it had received a pre-notification letter of stock termination. The company's stock market cap was below RMB 300 million for 20 consecutive trading days on the Shenzhen Stock Exchange between May 17 and June 14, meeting the relevant regulations for terminating stock listing. The Shanghai-based *ST Yi, whose two main industries are printing, packaging, and real estate development, announced on Monday that it had received a pre-notification letter of terminating stock listing. The company's stock price has been lower than RMB 1 for 20 consecutive trading days from May 20 to June 17. According to Article 9.2.1 of the "Stock Listing Rules of the Shanghai Stock Exchange (revised in April 2024)," the company's stock has met the conditions for terminating listing.