More than ten long-term companies with negative equity have announced valuation enhancement plans, which involve cash dividends and mergers and restructurings.

Several A-share listed companies with negative equity have recently announced valuation enhancement plans. As of now, 16 listed companies, including Beijing Gehua Catv Network, Lingyuan Iron & Steel, Tande Co.,Ltd., Guangzhou Automobile Group, Jinneng Science&Technology, Blue Sail Medical, Ningbo Huaxiang Electronic, North Huajin Chemical Industries, Wushang Group, Hbis Company Limited, Transfar Zhilian, Rizhao Port Co.,Ltd., Poly Developments and Holdings Group, Kangxin New Materials, Shanghai Yuyuan Tourist Mart, and China Merchants Port Group, have successively disclosed their valuation enhancement plans, which involve market concerns such as cash dividends and mergers and restructurings. Note: According to the "Guidance on the Regulation of Listed Companies No. 10 - Market Cap Management," if the closing price of the stocks has been below the audited net assets per share for ordinary shareholders of the company for 12 consecutive months, the company (referred to as a "long-term negative equity company") is required to develop a valuation enhancement plan. If not fulfilled, the China Securities Regulatory Commission can take measures such as ordering correction and supervisory discussions. (Financial Association journalists Liang Xiangcai and Luo Yichen)