The Investment "Myth" Of "Overseas Listing"

The process of making money is as follows: a company claims that it will be listed overseas soon. As long as it buys its shares before listing, it will have more than 100% net income in two months. However, such investment "myths" have been helping in Shanghai and other places a year ago. However, in Beijing, the same "legend" is still being played. ◆ Get rich Ms. Zhang in Beijing recently encountered such an "opportunity". A property broker introduced her to the "once-in-a-lifetime" opportunity: there was a tourism company in Xi'an that now only spent 5 yuan per share to buy its stock. When the company was listed on the NASDAQ in September, its stock price could rise to at least 5 dollars, and at the current exchange rate, it could earn 8 times the income at once; Moreover, if the company fails to list on schedule as promised, the company will buy back all the shares at the price of 0.1 yuan per share. The following weekend, Ms. Zhang was invited to attend an investor meeting organized by another property brokerage company. A "senior" analyst first talked about the original stocks of the year: "When China first had a stock market, no one knew what stocks were. They were all sold on an apportionment basis. They bought stocks to complete their tasks, but it turned out that they made a lot of money that year." As soon as the conversation turned, analysts began to get down to business and introduce a similar investment opportunity. The only difference was that these stocks were about to be listed overseas. It is reported that this is a pharmaceutical company located in Hubei. At present, the listing price in the local equity exchange is 4.8 yuan/share. At the shareholders' meeting held on April 8, the company will announce the 2005 distribution plan of 3 shares for every 10 shares. If you buy 10000 shares now, you will hold 13000 shares soon. What's more exciting is that this company will be listed on the Singapore Growth Enterprise Market in June. According to this analyst, one share of a domestic company listed in Singapore will usually be split into 3 to 10 shares. If the most conservative share is split into 3 shares, 13000 shares will become 39000 shares in a twinkling of an eye. After listing, conservatively calculate that the stock price is S $0.6, and the total market value of 39000 shares will reach more than S $20000. According to the current bank price, S $1 is equivalent to 5 yuan. In this way, within two months, the net income has been close to RMB 70000, with a yield of more than 131%. "The earlier you buy, the more cost-effective it is. The closer you are to the listing, the higher the price is. In October last year, its quotation in the equity exchange was only 3.5 yuan per share." The analyst shouted. When the domestic A-share market is still hovering, most of the audience are ready to move when faced with such opportunities. ◆ Questions To learn more, Ms. Zhang later searched for "property brokerage companies" on the Internet, but the results surprised her. At the earliest, since the "Consumer Rights Day" on March 15 last year, there have been articles on the Internet such as "beware of traps, secretly visiting 'overseas listed' companies", "traps everywhere in the primary and semi markets", exposing the fraud of "going to the United States to list shares". Moreover, Xi'an underground stock market has taken advantage of the concept of "overseas listing" to flow again. According to media reports, these frauds in the name of "overseas listing" are mainly concentrated in Shanghai, Chengdu, Xi'an and other cities, and the tactics used are almost the same as those in the above two cases. After more than a year, why did the hoax revive in Beijing? Both of the above two property brokerage companies have issued business licenses to Ms. Zhang. One was established at the end of last year, and the other was just established in February this year. That is to say, the new Company Law, which came into force on January 1 this year, provides an excellent excuse for these property rights companies to make a comeback. Article 144 of the old Company Law stipulates that "shareholders must transfer their shares in a legally established securities exchange", while Article 139 of the new Company Law stipulates that "shareholders shall transfer their shares in a legally established securities exchange or in other ways as prescribed by the State Council". This actually recognizes the legality of the transfer of unlisted shares in local property rights trading institutions. A "equity listing system of China Unicom Equity Exchange" in Shanghai Equity Network shows that 23 companies will be listed on the UK, Singapore, Hong Kong, NASDAQ and New York Stock Exchange. The two biotechnology companies listed in Xi'an Equity Exchange also said to our newspaper that they would submit listing applications to the U.S. Securities Regulatory Commission at the end of May. Some property rights exchanges affiliated to the local SASAC are only engaged in the transfer of state-owned shares, while most of the transfer of non-state-owned shares are operated by exchanges with different backgrounds. At present, there are 83 equity exchanges registered on the website of China Equity Exchange. However, these equity exchanges do not investigate the authenticity of listed companies. "We only do information disclosure. You have to decide whether you want to invest or not, so you still need to learn from the company," said a staff member of the property exchange. But all kinds of questions do not seem to be answered from those companies that have the concept of listing. "This is the will of the natural person shareholders themselves, and the company will not interfere. Some shareholders may feel that they have made a profit, so they will pay for security," said a person in the securities department of a joint-stock company. The chairman of a joint-stock company even said to our newspaper: "Most of them are eager to use money to buy houses. We will be listed overseas soon. If it is not urgent, who will transfer it?" ◆ Truth The truth seems to come from the experience of only those who have already bought. A case on Xinhuanet shows how an investor was cheated: in June 2004, after attending a financial management lecture held by a property brokerage company, Mr. Lin in Shanghai bought 50000 shares of a company's equity at 4.2 yuan per share (RMB). The company said that it would be listed on NASDAQ before November 28 of that year, and the share price could rise to $4 after listing. Mr. Lin signed the equity transfer agreement and soon got the equity holding card issued by an equity custody company. In September 2004, the equity holding card was replaced with an all English so-called "American equity certificate". At the end of 2004, the joint-stock company was still not listed in the United States. Mr. Lin, who was becoming suspicious, called a property brokerage company to ask, and was told that the agency business of the company had ended. He had to directly ask a joint-stock company about listing. When being questioned, the joint-stock company said that the conditions were not yet ripe and the listing was still in preparation. Since then, Mr. Lin has repeatedly made telephone inquiries, and the joint-stock company has tried every means to evade, repeatedly stressing that it is going to be listed and should wait patiently. According to the agreement at that time, if the company could not be listed due to various reasons, the joint-stock company promised to buy back the company's net asset per share by floating up 12% that year. By March 2005, Mr. Lin had decided to redeem his shares and asked the joint-stock company to fulfill its commitment to buy back shares at a premium of 12%. The joint-stock company agreed, but told Mr. Lin that the company's net asset per share in the previous year was only 1 yuan, that is, only 1.12 yuan per share could be used to buy back the equity. Feeling cheated, Mr. Lin reported the case to the police. The police investigation found that the share price of the stock purchased by Mr. Lin was 4.2 yuan per share, of which the brokerage company withheld 2.5 yuan as a service fee, but only 1.7 yuan was actually paid to the stock company that transferred the equity. 　　 "All these stories have a common feature, that is, whether these companies can make money depends on whether they can be listed. However, as far as we know, many of these joint-stock companies listed on equity exchanges are not very large in size and are unlikely to be listed on overseas exchanges. Although GEM has no requirements for performance, it has high requirements for growth, and these companies do not have With special advantages. " Liu Bingjun, general manager of Suntech International Investment Co., Ltd., which is engaged in the listing of domestic enterprises in Singapore, believes that.