Chairman Feng Henian "lost contact", Minsheng Securities "three-year listing" hangs

　　Sino-Singapore Jingwei Ma Jing Wei Wei

　　The news that Feng Henian, chairman of Minsheng Securities, was taken away by relevant departments to assist in the investigation continued to ferment.

Sino-Singapore Jingweixiang people close to Minsheng Securities confirmed that the

been determined , and more information will be announced later.

　　Feng Henian, who has 18 years of regulatory work experience, has been at the helm of Minsheng Securities for nearly 6 years.

During this period, Minsheng Securities performed well, especially its investment banking business, and its industry ranking has risen from 34th in 2016 to 11th in 2020.

Today, the head has "lost contact" and once shouted how Minsheng Securities, which has landed in the capital market for three years, will realize its dream?

At the same time, in the face of the fact that the major shareholder Oceanwide Holdings has pledged nearly all its equity and is subject to judicial freezing, where will Minsheng Securities go?

In 2020, the salary will exceed 20 million yuan

　　Feng Henian, born in the 1960s, has nearly 18 years of regulatory work experience. He has served as Deputy Director of the Legal Department of the China Securities Regulatory Commission, Director of the Unlisted Public Company Department, Director of the GEM Issuance Supervision Department, Secretary of the Party Committee and Director of the Shandong Securities Regulatory Bureau.

According to public information, Feng Henian, Wang Zongcheng and Zeng Changhong, who were recently sacked, all have experience in the issuance supervision department of the GEM of the China Securities Regulatory Commission.

　　Feng Henian

went to Shanghai. Since then, he has served as an executive director of China Tonghai International Finance Co., Ltd. and a director of China Oceanwide Holdings Group Co., Ltd. (hereinafter referred to as Oceanwide Holdings).

Feng Henian took office as chairman, party secretary and president of Minsheng Securities in December 2016.

　　According to the annual report of Oceanwide Holdings from 2017 to 2020, after Feng Henian went to sea, the company's pre-tax remunerations were 2,810,500 yuan, 6,024,000 yuan, 6,034,400 yuan, and 6,024,000 yuan respectively.

Since the 2021 annual report of Minsheng Securities does not disclose the annual salary of each executive of the management, Feng Henian's 2021 annual salary is unknown.

　　However, Sino-Singapore Jingwei noticed that Feng Henian's remuneration should be more than the above.

According to the 2020 annual report of Oceanwide Holdings,

Before April 30, 2021, the above-mentioned equity incentive plan and transfer of shares have been completed.

Six years at the helm, from 34th to 11th in investment banking

　　Minsheng Securities was established in 1986 with a registered capital of 11.456 billion yuan.

Feng Henian has been at the helm for 6 years since he joined Minsheng Securities in 2016.

　　Judging from the financial report, Minsheng Securities' performance has continued to improve since 2016. Except for 2018, the year-on-year growth rate of revenue and net profit has both exceeded 30%.

At the same time, the revenue structure of Minsheng Securities is also gradually changing. Investment banking and self-operated business have fluctuated since 2016 and have gradually become the main contributors to performance.

Wind shows that from 2017 to 2020, the proportion of revenue of Minsheng Securities brokerage business fell from 24.81% to 15.88%; the proportion of credit business fell from 34.72% to 15.74%, but the proportion of

　　Among them, the

.

The 2021 annual report shows that in terms of equity financing business, Minsheng Securities completed 31 IPO projects and 18 refinancing projects throughout the year; as of the end of 2021, the number of IPO projects under review reached 37.

In terms of debt financing business, 61 projects of various types including corporate bonds, corporate bonds and ABS will be completed in 2021.

　　It is worth noting that Feng Henian once stated at the Minsheng Securities Strategy Conference held in Shanghai in February this year that the company has begun preparations for listing and

.

　　Now that the leader has been taken away for investigation, can Minsheng Securities' IPO dream come true?

Wang Jianhui, a senior industry figure, told Sino-Singapore Jingwei that this situation mainly depends on whether the matter of the person who was taken away for investigation is related to the current company.

If it is an "old account" that does not involve the current company, it is mainly faced with changes in executives, and the impact is controllable.

If it is related to the current institution, it also depends on the nature of the problem, which may involve later rectification. If you apply for an IPO later, you may be supervised and inquired about relevant information. "

.”

Deeply caught in the risk of equity pledge by major shareholders

　　However, Sino-Singapore Jingwei noticed that in addition to the "worries" caused by Feng Henian's being taken away for investigation, the

.

Before the "capital increase and introduction of war" in 2020, Oceanwide Holdings had an absolute controlling stake in Minsheng Securities, with a shareholding ratio of 87.645%. Since then, in order to resolve debt risks and optimize the equity structure, Oceanwide Holdings introduced Shanghai state-owned enterprises as strategic investors. Its shareholding ratio dropped to 31.03%, and Minsheng Securities was no longer consolidated and disclosed separately.

　　However, it should be noted that, according to the 2021 annual report of Oceanwide Holdings,

According to the annual report, Oceanwide Holdings currently has 5 outstanding major lawsuits or arbitrations involving changes in the equity of Minsheng Securities, with a total amount of 1.157 billion yuan involved.

One of them is under enforcement, and the rest are under trial or arbitration.

What was enforced was the dispute over the equity transfer between Oceanwide Holdings and Zhuhai Longmen Minsheng Securities. Oceanwide Holdings warned in its annual report that the company's assets may be auctioned.

　　According to the data, as of the end of 2021, the total number of shareholders of Minsheng Securities is 47. Although Oceanwide Holdings is no longer the controlling shareholder, except for the second shareholder, Shanghai Fengquanyu Enterprise Management Co., Ltd., which holds 13.49% of the shares, the rest of the shareholders hold 13.49% of the shares. Below 5%, it is still in a dominant position.

　　Xu Feng, a lawyer from Shanghai Jiucheng Law Firm, told Sino-Singapore Jingwei that in general, changes in controlling shareholders have a greater impact on the company's operations.

However, if it is the actual controller, even if it is not the controlling shareholder in terms of equity, the company's management, business ideas and management concepts will also change due to the occurrence of equity pledge or judicial freezing.

　　Wang Jianhui mentioned that it is necessary to look at the relationship between the pledge or freezing of the largest shareholder's equity and the company as a whole.

In addition to the risk of shareholder change, it may affect the effectiveness and implementation of the relevant plan when the largest shareholder votes to agree to it at the technical operation level.

At the same time, if the brokerage itself has flaws in risk control, it may face penalties from the regulatory authorities.

(For more reporting clues, please contact the author of this article, Ma Jing: email majing@chinanews.com.cn) (China-Singapore Jingwei APP)

(The opinions in this article are for reference only and do not constitute investment advice. Investment is risky, and you need to be cautious when entering the market.)

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