Financial News
Written by: Zhang Weilun
2019-11-25 10:55
Last updated: 2019-11-25 10:56China Feihe (6186), which was attacked by the short-selling institution GMT last Friday, issued a clarification announcement that night to respond to the other party’s allegations. The company resumed trading this morning, the stock price was as high as 7.13 yuan, the latest report was 7.01 yuan, up 11.6%, the turnover was 404 million yuan, and the turnover was 60.4 million shares.
According to research firm GMT Research, China Feihe has a strong revenue growth and a large amount of cash. It has never paid dividends in the past five years, which is in line with the characteristics of fraud. It is recommended that investors avoid it.
The company issued a five-page clarification announcement at night, pointing out that the other party’s allegations were unfounded or misrepresented.
Feihe responded within the company, stating that the joint sponsor has conducted independent due diligence on the company's financial and business conditions disclosed in the prospectus.
Said to have more than 8.2 billion yuan in cash
At the same time, it is pointed out that the historical financial information as of 2016, 2017, 2018 and the end of June 2019 contained in Appendix 1 of the Prospectus are audited by external nuclear data Ernst & Young and an unqualified audit report is issued. The joint sponsor has conducted independent due diligence on the financial information disclosed in the prospectus.
The company has obtained the certificate issued by the major cooperative banks in the Mainland on the balance of RMB deposits in these bank accounts on September 30, stating that in six banks, it has a deposit balance of RMB 8.229 billion.
China Feihe was listed on the 7th and was attacked and accused of fraudulent feature stock suspension
Feihe issued a five-page clarification announcement that the short-selling agency accused of no facts based on the next Monday's resumption of trading
Flying crane hollowing out mechanism
