1. *ST Orient closed today at the daily limit, at 0.58 yuan per share, and even if it hits the daily limit for the next ten trading days, it will not be able to return to above 1 yuan; 2. The company has become the second listed company this year to be locked in a (Delisted) at par value after *ST Xulan; 3. Orient Group was listed in 1994, and as of the end of last year's third quarter, the number of shareholders of the company was approximately 0.129 million, with Zhang Hongwei as the actual controller.
On March 28, Financial Associated Press reported (Reporters Liu Jian and Wang Ping'an) that under the dual pressure of possibly facing substantial illegal compulsory (Delisted) and the "1 yuan" par value (Delisted) red line, *ST Orient (600811.SH), which has been listed for 31 years, has pre-locked the outcome of (Delisted) at par value, becoming the second A-share company this year to lock in (Delisted) at par value after *ST Xulan (000040.SZ).
Today, a Financial Associated Press reporter, posing as an investor, called the *ST Orient Securities Department, and the staff stated, "It is definitely going to be a (Delisted) at par value, we can only prepare for this now. We have already consulted some brokerages, and we will gradually announce it, and there will be a 2-3 month conversion period before it can be traded on the board, which will only be available for trading after 2-3 months in the (Delisted) company sector on the third board."
Market data shows that *ST Orient closed again at the daily limit today, finishing at 0.58 yuan per share, marking the tenth consecutive day that the closing price of the stock has been below 1 yuan. According to regulations, if the closing price of the stocks remains under 1 yuan for 20 consecutive trading days, the company's stocks may be terminated from listing and trading by the Shanghai Stock Exchange.
According to calculations by Financial Associated Press reporters, closing at 0.58 yuan per share today means that even if there are ten consecutive trading days of hitting the daily limit afterward, the price of *ST Orient's stocks will not return to above 1 yuan, thus reaching the above par value (Delisted) standard.
(*ST Orient stock price calculation chart made by Financial Associated Press reporters)
Therefore, after *ST Xulan, *ST Orient is likely to become the second stock locked in (Delisted) at par value since 2025.
In fact, apart from the pre-lock of (Delisted) at par value, *ST Orient has long been in a state of crisis. According to regulatory investigations, the company has engaged in financing trade and circular trade of agricultural products by artificially increasing business links or fabricating business chains, exaggerating revenue by 16.13 billion yuan from 2020 to 2023, suspected of significant financial fraud, and has already been investigated by the China Securities Regulatory Commission. The company has received the CSRC's "Advance Notice of Administrative Penalty", and if the final penalty decision maintains the existing conclusion, the company will meet the conditions for major illegal compulsory (Delisted), and its stocks will be terminated from listing.
Moreover, as of now, the delisted *ST Orient's controlling shareholder, Orient Group Incorporation, and the actual controller Zhang Hongwei have not fulfilled their previous commitments to resolve the situation of restricted extraction of the listed company's 1.64 billion yuan large deposits. The company has also failed to return the idle raised funds of 0.629 billion yuan used to supplement working capital.
Recently, the independent directors of *ST Orient sent a letter urging the Board of Directors and management to take practical and effective measures, actively supervise the controlling shareholder and actual controller to seriously address the commitments, quickly implement and fulfill the promises, and accelerate the resolution of the issue regarding the restricted extraction of deposits at Orient Financial Company, thereby effectively safeguarding the legitimate rights and interests of the company and minority shareholders.
It is noteworthy that, according to media reports, recently the Shanghai Stock Exchange issued a notice to brokerages requiring them to effectively carry out risk warning work regarding the major illegal delisting risk of *ST Orient. The notice requires brokerages to establish a multi-dimensional risk warning system, particularly focusing on continuously abnormal trading groups, and to strictly implement investor suitability management and investor protection measures.
Public information shows that *ST Orient was listed in 1994, and as of the end of the third quarter last year, the company had approximately 0.129 million registered shareholders, with Zhang Hongwei as the actual controller.
