Music Watch suspended more than 9 months finally resumed .In the evening of January 23, LeTV Network Bulletin said the termination of major asset restructuring, the stock resume trading January 24.
On the morning of the same day, LeTV held an investor's briefing on the termination of major assets reorganization and the operation of the Company in the interactive session of Shenzhen Stock Exchange. After the termination of the reorganization of LeTV, the stock price after the resumption of trading of Leslie, the change of de facto controller of the Company and the debt problem Etc. Sun Hongbin, chairman of LeTV, and Liu Shuqing, the general manager of LeTV Network, answered questions from investors online.
After a long period of suspension, investors such as Lotte Media came as the result of the music industry's failure to reorganize, difficulties of music network management and Sun Hongbin's 'willingness to lose the gamble.' Prior to this, the industry generally had to bearishly think of the stock price trend after the resumption of trading.
When talking about the future of Music Watch at the briefing, Sun Hongbin said: 'I will try my best to hope that I will not regret it. But if there is no solution, I can only regret it.'
'Unable to judge the stock price after resumption of trading'
At yesterday's briefing, LeTV responded to the resumption time: Please pay attention to company announcements. In the evening, LeTV announced that the stock resumed trading on January 24. No major asset restructuring will be planned within two months.
Since the suspension of trading on April 17, 2017, there has been a profound change in the operating conditions of LeTV and the investors are most concerned about the stock price.At the beginning of the briefing, investors asked about the issue of LeTV shares, Unable to judge the resumption of share price.
For how to stabilize the stock price, Sun Hongbin said the stock price trend is affected by multiple factors. At this stage, the company will focus on solving the company's financial constraints and supply chain problems, with a view to business recovery and stability. At the same time, music Watch also prompts to investors Pay attention to the investment risk, especially the investment risk under the methods of margin trading, equity pledge and so on.
LeTV has been lowered the target price by a number of agencies.Jia Yuetting, the largest shareholder of LeTV.com, has pledged almost all the shares it holds, which could lead to a change in the company's control if the stock price drops below the pledged liquidation line after the resumption of trading.
LeTV said that at present, Jia Yueting LeTV's largest shareholder, holding 25.67%, Sun Hongbin actually controlled Sunac 8.56% stake in China Music Watch, Sunac China has yet to express further intention to increase holdings.
If the company's share price continued to decline, Jiayue Ting in accordance with the terms of the agreement to make up the pledge to the pledge .If you do not make up the margin on time, pledged institutions have the right to dispose of the pledged equity .Jiayue Ting did not provide the company pledged equity disposal plan, For the company's largest shareholder.
Plans to use the car company shares to resolve related arrears
According to LeTV, it is estimated that the net profit attributable to the shareholders of listed companies accumulatively accumulated in the whole year of 2017 will be a loss.
TV sales volume fluctuated due to the combination of factors such as the extremely tight cash flow of the Company and the sluggish market demand in 2017. According to LeTV, LeTV TV has not been thrown away by the traditional TV companies, and the company has now made clear the strategic planning of LeTV.
Music is also facing another thorny problem related debt.LeTV Financial Director Zhang Wei said the financial department of listed companies, as of November 30, 2017, the listed company and Mr. Jia Yueting controlled by the formation of a large number of accounts receivable Other receivables, prepayments, etc. The balance of the Company's related arrears reached RMB7,531 million, involving more than 50 related parties, of which, LeTV Group, a related party of Lotte Pictures, owed arrears 17.1 billion yuan.
Zhao Kai, the deputy general manager of LeTV, said although the company is actively collecting the above-mentioned related party arrears, there is still a risk of repossession. If there is no new capital, the company will face difficulties in operation.
In order to solve the current existing related party arrears of listed companies, LeTV claims that using the equity of automobile companies (including Faraday Future, Lucid, Le Soleil) to settle the related arrears by means of repossession of debts is the current plan promoted by listed companies.
Beijing News reporter yesterday contacted Jiayue Ting, but as of press time, it did not on whether the auto company shares to repay the debt.
For the debt issue, Sun Hongbin said that he was informed about the connected transaction of LeTV but the fault was that the debt owed by the related party to the listed company could not be effectively repayable.
Sun Hongbin also stressed at the meeting that he and Jiayue Ting have always maintained good communication and there is no contradiction between individuals.
The company faces operating difficulties, is there any risk of delisting? LeTV candid, according to the relevant laws and regulations and the company's actual future operations, the company there are various possibilities, investors are required to pay attention to the relevant risks.
Sun Hongbin: sometimes also want to lose gambling clothing
Sun Hongbin said at the meeting that "gold sentence" frequent. Some investors asked Sun Hongbin, 'now still feel engaged in new music will be a lifetime regret?' In this regard, Sun Hongbin said he would do his best, hope without regret, but If we still have no solution, then we can only regret it and we have many regrets in our lives.
January 15, 2017, Sun Hongbin carrying more than 150 billion yuan to aid LeTV. 'Now one year into the ceremony, Sunac to music as a broken heart.' Some investors asked Sun Hongbin, regret into the music Watch.
Sun Hongbin said that doing business always makes a profit and loss, doing anything has risk, and if there is no risk there is no reward. If the risk is controlled to zero, it can only save the money to the bank. No one thought of the changes, we can only encounter what problems to solve any problem. People actually can not predict the future, only constant response, adjustment. Faced with the difficulties, frankly, the result is our life Attitude
When it comes to the future of LeTV, Sun Hongbin said: "Sometimes people have to dare to teach the sun and the moon to exchange new days, and sometimes they may want to lose.
Focus 1
Terminate the reorganization LeTV video impact on the music network geometry?
Investors were asked to explain at the briefing session. What is the reason for the termination of the acquisition by MTV? What kind of arrangements will be made for the follow-up of Major Asset Reorganization Program of MTV?
LeTV said the company based on the music for the equity situation and the current business situation of the comprehensive judgments, the decision to terminate the acquisition of music video.
At the end of 2014, LeTV announced that it plans to inject its LeTV movie business into its listed companies in the next year, and in May 2016, LeTV announced its trading plan, saying LeTV will inject RMB 9.8 billion into listed companies.
However, half a year after the announcement of the trading plan, on November 8, 2016, LeTV announced that the project is not expected to be completed in 2016, the parties are discussing the valuation of pricing, does not rule out the possibility of price cuts there may be At this point, the music video into the rest stage.
Since then, the music video music parent company LeTV Holdings have been facing the dilemma of capital rupture, suppliers debt collection, music and television injection also ran aground.
In January last year, Sun Hongbin 15 billion yuan has been drawn into the whirlpool of funds has been vortex music, was considered 'White Knight'. Sunac China through its acquisition of LeTV 15% stake in the company, the price of 1.05 billion yuan, although this move Let the outside world pay attention to the value of the music industry. However, it can not be ignored that the valuation of the music industry at this moment is only 7 billion yuan, down nearly 1/3 compared with that of the 1.9 billion yuan injected into the listed company.
'This failure does not mean that the reorganization will not be injected into the future,' senior market analyst Fu Liang said, because the shares of the company was frozen, or mortgage, affecting the film industry into the listed company, but for Sun Hongbin, it is necessary to obtain music Net controlling stake, starting from the music video industry is a better way to become the major shareholder of music as the industry, in the future after the injection into the music network can enhance the control of music network.
Over time, the value of the LeTV and LeTV industry dropped sharply. He pointed out that the equity interest in the sale of Jia Yunting may not only be a problem of liquidation, but may be insolvent, complicating the complex capital relationship.
Focus 2
Will there be capital into the next step?
At the briefing, Music Watch did not clear the resumption of time.Last night, the music net hair bulletin said the company shares resume trading on January 24. After the resumption of trading, investors are most concerned about the stock price.
On April 17, 2017, LeTV announced that it has not resumed trading for more than 9 months due to the suspension of major asset restructurings. During the suspension of the music eco-crisis, the delay in the return of Jia Youting and the failure of LeTV's injection, The resumption of music after the stock price has a negative impact.
Previously, Shigekura held LeTV fund company has repeatedly lowered its valuation, the latest valuation as low as 3.91 yuan to music after the transfer of 15.33 yuan when the suspension of the calculation, LeTV valuation fell nearly 75 %.
Music as the resumption of trading, investors pay special attention .Shanghai, a public fund manager told reporters that after the resumption of trading Budie is affirmed .For 'there may be money knife licking blood' argument, he believes that 'bargain-hunting at great risk, It is hard for anyone to drag a 'dead body' forward, 'he said flatly,' not to mention dropping to three bucks and not falling in love with three cents. '
And even voices worried that the music video plunge will drag down the market for such concerns, senior securities lawyer Wu Lijun that music event has been fermented for a long time, the impact of the GEM index will be more limited.Liu Li Jun further analysis, the music as the internet The electronics and information sector will be more seriously affected, with overall decline of about 20% since the music video network was suspended.
'Whether it is Jiayue Ting, Sun Hongbin, or freeze the court, banks and other equity capital, it is difficult to accept a substantial share price decline.' Fu Liang, senior market analysts pointed out that in this case, it is likely that the appropriate price will be There is capital to enter.Which does not rule out Sun Hongbin in the stock price is low when entering, take the opportunity to rationalize the capital relations, Sun Hongbin follow-up operation to clear the obstacles.
Focus 3
Sun Hongbin and financial innovation is the most hurt?
Yesterday, some investors asked Sun Hongbin, for the future of LeTV, is to forget the beginning, dare to teach the sun and the moon for a new day, or recognize the gamble sufferer, romantic always beaten? Sun Hongbin replied, 'Sometimes people want Dare to teach the sun and the moon for a new day, and sometimes also want to lose gamble. 'This sentence then spread throughout the network.
In January 2017, Sun Hongbin took a $ 15 billion strategic stake in Music Fund, which was deeply involved in the capital chain crisis, and became the second largest shareholder of Music Watch, which received great attention. LeTV Holdings and Jia Youting have promised that before December 31, 2017, However, this month on the 19th, the suspension of 9 months of music Watch suddenly announced the termination of the acquisition of music video.
According to the financial report released by Rongchong in August last year, in 2016, LeTV achieved operating revenue of 1.098 billion yuan, net profit attributable to shareholders of the parent company of 145 million yuan, only about the net profit (520 million yuan) promised in the reorganization 1/4. In addition, as of the end of the first quarter of 2017, other receivables of LeTV reached as much as 1.7575 billion yuan, of which 1.178 billion yuan was owed from LeTV.
Prior to the unsuccessful music reorganization, Sunac had reported loss data in its annual report, and Sunac previously announced in its announcement that its new investments in LeTV and LeTV ended in a six-month period ended June 30, 2017 in terms of equity Law recorded recorded a loss of 392 million yuan.In addition, the financial innovation also mentioned, the new investment in music Watch and Music as impairment provision of 1.11 billion yuan.
For Sun Hongbin himself, the potential loss of LeTV investment also includes the change in the stock price of LeTV, which was initially valued at 35.39 yuan per share, while LeTV shares have dropped to 30.68 yuan per share before the suspension.
Yesterday, Sun Hongbin also admitted that he was informed about the related party transaction of LeTV but that the wrong judgment was that the debts owed by the related party to the listed company could not be effectively repayed. When asked whether he regretted his stake in LeTV, he said that business always had an earning There are indeed no changes in the music network did not expect anyone, they can only encounter any problem to solve any problem.
Focus 4
Music Live Control change probability how much?
Music Watch currently has a large number of pledged shares, if the stock price breakdown led to institutional liquidation forced liquidation, then both for Jiayue Ting, Sun Hongbin or music Watch investors, will face the risk.
According to the music third quarter 2017 earnings announcement, the current largest shareholder Jiayue Ting holds 1.024 billion shares, accounting for 25.67% of which pledged number of 1.020 billion shares, accounting for 99.54% of the shares held by Jiayue Ting. , Jia Yueting held by the music network all the shares were frozen.
To the music before the suspension of the closing price of 15.33 yuan / share calculation, Jiayue Ting pledged LeTV shares market value reached 15.6 billion yuan. If the agency's latest valuation calculations, Jiayue Ting pledged book value of just 4.004 billion yuan.
LeTV January 19 notice that the stock resume, if the company shares fell sharply, and Jia Yunting can not be timely additional security, the financial institutions will have the right to dispose of the pledged shares, and the direct result of changes in the actual controller.
Yesterday, LeTV claimed that at present Jiayue Ting did not expressively hold the disposal of the equity interests in LeTV as well as did not say that it will not pay up the guarantee for the pledged shares pledged by the pledged institution. If Jia Yueting does not make up the margin any more, The pledged Music Watch equity will be pledged by the pledge in accordance with the terms of the agreement to deal with accordingly.
It should be noted that a part of the equity interests of Jiayue Ting is in a judicial freeze, and Wu Lijun said that after the equity freeze, it can not be transferred and therefore can not be completed and there will be no liquidation. If Jia Yunting does not make any action, the actual controller can not be changed In the future, if the court judicializes the frozen stake in Jiayue Ting, it will result in the change of the actual controller.
In addition to being frozen by the courts, there is also a part of Jia Youting's interest in mortgage loans. In this case, the creditor may initiate a liquidation to pay off. If Jiayue Pavilion faces a liquidation, it may cause assets to be forcibly sold at a low price. The impact of devaluation will also be expanded. However, there is still good news for LeTV, which will help Rongchuang to lower costs and clarify the complicated capital relations of LeTV currently.
Focus 5
Is there any investor confidence in LeTV?
According to the current valuation of 3.999 billion shares and raised funds, Lotte Capital estimates the market value after the downgrade to be only Rmb15.6bn, down 75% from its suspension.
Mr. Dong, an investor who has invested in LeTV shares, told reporters that his investment risk is his own. He still has confidence in LeTV. 'It mainly depends on the progress of equity and needs to see the management face out of the crisis.' "Mr. Tung said it is not convenient to disclose the details He thought it was his own judgment on such companies is not correct, lack of understanding of the risk of start-up companies, he did not think that is caused by Jiayue Ting his loss. 'Jiayue Ting do too much. Not focused on the big screen, did not focus on The first big screen to do it. Had to do a big screen, do cell phones, cars can not do. Only a big screen and cell phone success, can do the car.
Investor Wang bought 2000 shares of LeTV stock, when the time of purchase was 34 yuan a, he also said, 'lose it, lose lose.'
If LeTV shares fell too large, investors can not initiate a claim lawsuit?
According to Liang Zhengda, a lawyer with Ningxia Trust Law Firm, 'There are grounds for claim lawsuits. If the listed company is suspected of fraud, there are various situations in which the subject of compensation and liability may be compensated, and the law also has corresponding compensation subjects and rules.' , If there is no relevant evidence, investors can only 'willing to bet lose clothes'.
Lawyer Wang Zhibin, a partner at Shanghai Minglun Law Firm, told the reporter that under the existing securities laws and related judicial interpretations, there are only three situations for investors to file a lawsuit for claims. The first one with the relevant responsible person constitutes a false statement , The second is the existence of insider trading, and the third is to constitute the manipulation of the market behavior. 'So far, there is no clear insider music transactions, manipulate the market situation. As there is no false statement, so far no regulatory investigation and investigation Concluded, investors do not have the preconditions to sue on the basis of false statements.
