LeTV will be partially sold.
The main business of LeTV is Lerong Zhixin Electronic Technology Co., Ltd. (hereinafter referred to as 'Lerong Zhixin'), LeTV Holdings has approximately 18% equity, and LeTV (300104, SZ) is its major shareholder. As a result of LeEco Holdings 1. The debt problem, the above 18% equity was frozen by the judiciary and entered the judicial auction process.
The preliminary work required for the auction process was completed in February of this year, but it has only recently been officially listed. The Daily Economic News reporter found that the auction date of the equity is scheduled to be held on September 21.
The reporter noted that according to the asset assessment report, the valuation of the entire equity of Lerong Zhixin is only about 1.8 billion yuan, which is a big drop from the 27 billion yuan when Rongchuang increased capital in early 2017. In addition, Le Rong has a new 10% The proceeds from the equity auction need to repay China Minsheng Trust Co., Ltd. with a loan principal and interest of about 1.1 billion yuan, but the starting price is only 131 million yuan. Since the court public announcement on August 20, the above auction has not been registered.
'LeTV' plans to auction three companies' equity
As far as LeTV's subsidiary Le Rongzhi is concerned, this year, it attracted Tencent, and many giants such as TCL participated in the capital increase of 3 billion yuan. The matter is still in progress.
In the process of advancing the capital increase, LeTV has repeatedly announced that it may lose new control over Le Rong. On the one hand, this capital increase will dilute its new equity participation in Lerong to 33%. LeTV Holdings owns a new 18% stake in Lerong, which will likely be 'dropped' at a lower price.
In this year's semi-annual report, LeTV.com indicated that 18.38% of the shares held by Leyi's new shareholder LeTV Holdings are frozen and some or all will enter the judicial auction process.
The auction is about to begin. The information of the People's Court Litigation Asset Network shows that the auction of the equity held by Beijing Sanzhongyuan to Leshi Holdings will officially begin on September 21. This equity auction involves three shares of the company of LeTV, which are LeTV. The film has a 21.8122% stake, with a starting price of 531 million yuan and an estimated value of 759 million yuan.
LeTV Holdings holds a capital of RMB 26.18 million from a company with a starting price of 109 million yuan and an estimated value of 157 million yuan.
Xinle Shizhijia Electronic Technology (Tianjin) Co., Ltd. (now Le Rongzhixin) has a capital contribution of RMB 31.25 million, which accounts for 10% of the total equity of Lexie Holdings, and the starting price is RMB 131 million. 1.87 billion yuan.
LeTV Holdings has pledged its pledge of 10% equity interest in Lerong, and the total loan interest of China Minsheng Trust Co., Ltd. for Lerong Zhixin is approximately 1.1 billion yuan. Therefore, the proceeds from this part of the equity auction will be used for Le Rongzhi. The new loan will be repaid to China Minsheng Trust Co., Ltd., and the related party of the non-listing system will be offset against Lerong’s new debt. LeTV.com previously announced that the final auction transaction amount is still uncertain.
"Daily Economic News" reporter noted that the other 8% stake in Lerong Zhixin owned by Leshi Holdings is also in the auction. The auction of 'a company' has a capital contribution of 26.184 million yuan, according to the survey report below. 'A company' is making a new deal for Le Rong. According to the LeTV announcement in May this year, LeEco Holdings holds a total of 57.43 million yuan in capital for the new share of Le Rong, the auction of the 'a company' capital plus Le Rongzhi The new 10% equity capital, totaling 57.429 million yuan, is almost identical.
This may mean that LeTV Holdings has almost entered the auction process for all of Lerong’s new shares. The 10% equity involved in the creditor is China Minsheng Trust Co., Ltd., and can offset the debt of the listed company. Another 8% stake Will it also compensate LeTV Holdings for the debt of listed companies? The reporter asked LeTV's public relations, the other party said that it should learn from LeEco Holdings. The reporter called LeTV Holdings public telephone, but as of press time, the telephone has not been connected.
A red highlight word is attached to the above-mentioned target survey form published by the auctioneer: 'Proposal bidders rational bidding.'
Valuation fell sharply
"Daily Economic News" reporter noted that as the main business of LeTV, Le Rong's new valuation can be described as a significant decline.
First of all, LeEco Holdings was able to obtain 1.1 billion yuan from China Minsheng Trust Co., Ltd. with a 10% stake. The current 10% equity evaluation price is only 187 million yuan, which is a drop in the bucket. In addition, LeTV Holdings III The total evaluation price of the auction items is 1.1 billion yuan, which is also slightly insufficient compared to the 6.7 billion yuan debt of the listed company, and it cannot be confirmed that it can be fully compensated.
At one time, the equity of Lerong Zhixin Company was worth 10 billion yuan. At the beginning of 2017, the main entity controlled by Sunac China took RMB 3 billion to subscribe for the newly added registered capital of RMB 31.445 million. Less than the new total auction capital of Lerong, the new valuation of Lerong is as high as 27 billion yuan before this capital increase.
Since 2018, the LeTV network crisis has deteriorated, the TV business has also been affected, and a large amount of debt has been owed to suppliers. In this context, Lerong has launched a new round of capital increase in early 2018, taking into account the market environment, In terms of new performance and various challenges, LeTV has initially communicated with investors from all parties and intends to raise funds based on valuations of more than 12 billion yuan.
However, in the follow-up consultation process, the valuation dropped rapidly, from RMB 12 billion to RMB 3 billion, and was adjusted to RMB 9 billion. According to the assessment report at the time, the evaluation agency used the market-based law and gave the evaluation conclusion. The recommendation is 9.6 billion yuan. This valuation is also quite high, as as of December 2017, Le Rong’s new net assets have been negative.
In this judicial auction, the appraisal agency used the asset-based method to evaluate the new equity of Lerong, and selected October 31, 2017 as the base date for the evaluation. According to the data of the book value of the total shareholder's equity at the time of the end of the session, 1.745 billion yuan. Finally, Le Rong gave a new valuation of 1.872 billion yuan.
However, according to LeTV's semi-annual report, Lerong's new net assets for the first half of the year were negative 2.2 billion yuan. For this judicial auction, if it is based on the assessed price, it will only need less than 200 million yuan to get a new 10% stake in Lerong.