Busen Shareholding Stake In The Fight To Restart The Starting Price Of About 159 Million Yuan

In 2017, the Chongqing Security Technology Co., Ltd., which was invested in 1 billion yuan by Busen (002569.SZ), fell into an awkward situation that the holding power was forced to auction, and the starting price was only about 159 million yuan.

Busen shares recently announced that the Shanghai city first intermediate people's Court of the "auction notice" will open the public auction to see all 22 million 400 thousand shares of Busen shares held by technology, accounting for 16% of the total shares of Busen.

Reporters entered the auction website to see that the starting price is about 159 million yuan, the assessment price of about 228 million yuan.

The starting time is 10 April 27th.

The starting price is determined by the average closing price of the 20 trading days before April 27, 2019, multiplied by the total number of shares.

The auctioneer told the China business newspaper that the current starting price is the display price, which will be modified before the auction because the stock price fluctuates greatly.

In March 25th, Busen stock certificate Dai pan flash to the China business newspaper reporter said, there is no auction intention party and Busen shares to negotiate, if the interested party pays the deposit, the relevant information court can see, the company is not clear.

It is understood that this equity auction began with an 250 million yuan debt dispute between technology and Warburg trust.

In October 2017, Zhao Chunxia controlled the technology of the company, which invested 1 billion 66 million yuan to sell 22 million 400 thousand shares of Busen shares and became its controlling shareholder.

In November 2017, aforesaid technology used the pledge of the above shares to the Warburg trust for financing, and thereafter failed to fulfill the obligation to buy back.

The court's enforcement ruling indicated that Warburg trust applied to the court for enforcement, and the court decided to make a mandatory auction last December.

The auction which was scheduled for February this year was suspended because the court received an application for objection from the outsider.

The auction will continue in April 27th.

Pan flash said that the application for objection was put forward by the investors in the technology field, and the suspension and continuation were decided by the court.

Is there any possibility of a further suspension? Pan's flash is unpredictable.

The auctioneer said they could not rule out the possibility that information would be released in time if there was any change.

The person also said that after the auction, the buyer would remit the money into the court appointed account, and the court would allocate the money to the application executor Warburg trust.

Reporters call the technology and see the industrial and commercial registration telephone, failed to get through.

Pan Shanshan said that the technology is currently operating normally and will not affect the auction.

Busen shares said that its technology holdings were different from its controlling shareholders. Busen shares remained independent of its controlling shareholders in terms of assets, business and finance. As of now, Busen's daily operations and production activities are normal, and this matter will not have a significant adverse impact on the normal production and operation of Busen shares.

At present, the auction is still in the stage of publicity. The follow-up will involve links such as auction, payment, court ruling and pfer of stock rights. If the above procedures are completed, the controlling shareholders of Busen will change, and Busen shares will fulfill the obligation of information disclosure according to the relevant provisions of the listed companies' acquisition management measures.

Zhao Chunxia is now chairman of Busen stock and Secretary of the board of directors (Acting).

In March 25th, Pan Shanshan told reporters that Zhao Chunxia's position has not changed.

If Busen's share control is handed over, will Zhao Chunxia still serve in the company? Pan said that if the controlling shareholder changes, the management will adjust accordingly.