Tagged: industry

Property management industry enters the era of merger?

The property company merger and acquisition drama continued to be on.
On March 4, Yida China (03639) issued a notice saying that it had sold all equity of Yida service in its property sector to Longhu property, with a transaction cost of 1.273 billion yuan.
After the transaction is completed, BDC will no longer hold any rights and interests of BDC services, and BDC services will no longer be a subsidiary of Yida China and will be separated from the comprehensive financial statements.
Source: Yida China announcement

Property management industry enters the era of merger?
According to the public data, Yida service was founded in 1996 and is a wholly-owned subsidiary of Yida China, mainly engaged in residential, commercial and industrial park property management services. As of December 31st, 2020, the total assets and net assets of Yida service are 393million yuan and 167million yuan respectively.
China has said that the novel coronavirus pneumonia will have a negative impact on the property sales business. The sale will enable the group to quickly recover funds and make up for the shortage of short-term liquidity through selling an auxiliary business line, and at the same time, establishing a cooperative relationship with the buyer. In addition, the net proceeds of the sale are intended to be used to repay group liabilities.
According to the latest data, the revenue of Yida service in 2020 is 481 million yuan, excluding the pre tax profit of 62million yuan, and the area of the pipeline is 16.636 million square meters. Longhu property has achieved 2.49 billion yuan in the first half of 2020, and it is expected to reach 6 billion yuan in the whole year, ranking in the forefront of the industry.
Longhu property also said that the acquisition of Yida service is win-win cooperation, in line with the layout of Longhu property City, and both sides can form organic complementary services products to achieve long-term benign development.
It is worth mentioning that, in the acquisition, Yida service has made performance commitment to Longhu property. As of December 31st, 2024, the book net profit of Yida service and its subsidiaries will not be less than RMB 71.47 million. If the performance commitment cannot be completed during the period, the liquidated damages for the service of Yida reach 14.24 times the difference.

Sino-U.S. Semiconductor Industry

According to the news on the website of the China Semiconductor Industry Association on March 11, after several rounds of discussions and consultations, the Chinese and American Semiconductor Industry Associations announced today that they will jointly establish the “Sino-U.S. Semiconductor Industry Technology and Trade Restriction Working Group.” The industry establishes a timely communication information sharing mechanism to exchange policies related to export control, supply chain security, encryption and other technologies and trade restrictions.

The two associations hope to strengthen communication and exchanges through the working group to promote deeper mutual understanding and trust. The working group will follow fair competition, intellectual property protection and global trade rules, resolve the concerns of the Chinese and American semiconductor industries through dialogue and cooperation, and make joint efforts to establish a stable and resilient global semiconductor value chain.

The working group plans to meet twice a year to share the latest developments in technology and trade restriction policies between the two countries. Based on the areas of mutual concern of both parties, the working group will explore corresponding countermeasures and suggestions and determine the content that needs further research. This year’s working group meeting will be held online, and face-to-face meetings will be held in the future depending on the situation of the epidemic.

According to the results of the consultation, the two associations will each appoint 10 semiconductor member companies to participate in the working group to share relevant information and conduct dialogues. The two associations will be responsible for the specific organization of the working group.

Hundreds of Billion Stars Company’s song ends?

Yangchun arrives in March as scheduled, but Wuhan Hongxin Semiconductor Manufacturing Co., Ltd. (hereinafter referred to as Wuhan Hongxin), which is in trouble, seems to be still experiencing a cold winter.

Recently, it was reported that Wuhan Hongxin’s senior management informed the internal group that “the company has no plan to resume work and resume production” and required all employees to apply for resignation before leaving get off work on February 28, 2021.

Hundreds of Billion Stars Company's song ends?

According to Qixinbao’s data, after a series of changes, Wuhan Hongxin’s shareholders are currently Wuhan Xingong Technology Development Co., Ltd. and Wuhan Lingkong Port Economic and Technological Development Zone Technology Investment Group Co., Ltd. After equity penetration, the above two companies are controlled by state-owned assets in Dongxihu District, Wuhan.

After the government takes over, how will it deal with this “hot potato”? Is the news of the employee being dismissed true? Does this mean the dissolution of Wuhan Hongxin? On February 28, 2021, a reporter from the “Daily Economic News” came to the Wuhan Hongxin project site and saw that the original signboard with the 13 characters “Wuhan Hongxin Semiconductor Manufacturing Co., Ltd.” had been removed. A Wuhan Hongxin subcontractor told reporters, “It is disbanded and there will be no Hongxin anymore.”

Regarding related matters, on February 28, a reporter from the “Daily Business News” called Wuhan Hongxin’s official telephone number many times, but the calls were all unanswered. On the Wuhan city message board, in response to citizens’ questions about Wuhan Hongxin, the Dongxihu District of Wuhan City’s latest reply on February 8, 2021 (that is, before the Spring Festival) was “The project is being coordinated.”

Site visit: the original Wuhan Hongxin signboard has been removed

Hundreds of Billion Stars Company's song ends?

With an investment of up to 128 billion yuan, it was once launched as a star project in Wuhan and invited Jiang Shangyi, a man in the semiconductor industry who had served in TSMC and SMIC, as the general manager… The once glorious Wuhan Hongxin has now ended up in a feather.

The semiconductor industry information website Jiwei.com reported on the information provided by people familiar with the matter that Wuhan Hongxin’s senior executives notified in the internal group: “Combined with the current situation of the company, the company has no plan to resume work and production. After the company’s research and decision, all employees are requested to do so in 2021. Apply for resignation before the end of work on March 28, and complete the resignation procedures before the end of work on March 5, 2021; leave personnel can apply online.” In response to the above news, the reporter called the company’s official telephone number and several local government department telephone numbers , And went to the scene to inquire, but did not obtain the exact information. On March 1, 2021, a reporter from the “Daily Economic News” called the Propaganda Department of Dongxihu District, Wuhan. The staff said that we did not know about this and did not receive any news. When the reporter asked further, the other party said, “It (Wuhan Hongxin) is in our jurisdiction, but we don’t have any caliber to release it.”

According to previous media reports, under the endorsement of Jiang Shangyi, a large number of engineers came here, and Wuhan Hongxin did not hesitate to double the salary to retain talents. The report also said that among the engineering team, there were a lot of 3 million yuan and 5 million yuan (annual salary). During the peak period, the number of employees in Wuhan Hongxin once expanded to more than 400.

The current number of employees of Wuhan Hongxin is not known. According to the 2019 annual report of Wuhan Hongxin disclosed by the National Enterprise Credit Information Publicity System, the number of employees who paid five insurances at that time was 203.

Facade of Wuhan Hongxin Semiconductor Project Photo source: Photo by reporter Zhang Mingshuang
Is the news of the dismissal of employees true? Does this mean that Wuhan Hongxin is completely dissolved? What is the current situation of Wuhan Hongxin? In order to find out, on the afternoon of February 28, 2021, a reporter from “Daily Business News” came to the site of Wuhan Hongxin Project and saw that the entrances and exits of multiple construction sites had been closed, and the side of the project adjacent to Wangan Avenue was the main entrance of the construction site. , Looking inward from the gate, no one can be seen. When the reporter visited the project on September 3 last year, although the project was in a state of suspension, some people still entered and exited the site.

A large number of vehicles are parked in the office area of ​​Wuhan Hongxin Project in September 2020. Photo source: Photo by reporter Zhang Mingshuang
A security guard at the gate prevented the reporter from entering the construction site. When the reporter asked about the situation of Wuhan Hongxin, the security guard said that there was no Wuhan Hongxin inside, and there was no one on the construction site. Regarding whether Wuhan Hongxin has disbanded employees, it said that he has just arrived and does not know the relevant situation.

Wuhan Hongxin built a prefab house with a red roof and white walls on the side of Linchuanggu Road of the project as the company’s office space. The reporter saw in the office area that there was no car parked in the parking lot at the door, and the door sign composed of 13 characters of “Wuhan Hongxin Semiconductor Manufacturing Co., Ltd.” had been removed.

In the office area of ​​Wuhan Hongxin Project, the signboard at the door has been removed. Photo source: Photo by reporter Zhang Mingshuang
In the office room, a suspected front desk staff member asked the reporter not to enter the office area. The reporter asked whether he was an employee of Wuhan Hongxin, but the staff did not answer. There is a self-service vending machine in the office, but there is no word related to Wuhan Hongxin, and the posted epidemic prevention and control notice also does not indicate the signing party.

When the reporter was visiting the project, only a few security guards were walking around inside and outside the project. The above-mentioned security guards came again and asked the reporter to leave quickly, but they refused to disclose their work unit or service unit.

On February 28, Mr. Zhao (pseudonym), a construction subcontractor of the Wuhan Hongxin project, told reporters that the employees of Wuhan Hongxin have been disbanded and there will be no Hongxin company anymore. The new (shareholder) company is planning to resume work. , But there are other plans for continuing to do semiconductor projects, and it is still unclear.

According to Mr. Zhao, Wuhan Hongxin started to default on the project payment in 2020, (the subcontractor) could feel that the company basically couldn’t stick to it. After inquiring about the information from the company’s internal staff, it was found that the employees were also distracted. Before the Spring Festival of the Year of the Ox, Mr. Zhao also went to Wuhan Hongxin site, and there were dozens of people in the project department. But Mr. Zhao found that everyone was ready to go their separate ways.

There has been some progress in subcontract payment. At present, Mr. Zhao has received about 80% of the subcontract payment, and the remaining project payment will be settled in the second half of this year.

The government department previously replied: the project is being coordinated and promoted

Since July 2020, the government of Dongxihu District of Wuhan City “exposed” Wuhan Hongxin’s capital fracture, which has attracted public attention for more than half a year. During this period, the company has successively experienced changes in personnel and shareholders.

According to Qixinbao’s data, Jiang Shangyi no longer serves as the director and general manager of Wuhan Hongxin. He also issued a statement through his lawyer, claiming that he had resigned from all positions in Wuhan Hongxin due to personal reasons in June 2020, and Wuhan Hongxin had also accepted Jiang Shangyi’s resignation. At present, Jiang Shangyi has returned to SMIC again-in early February 2021, SMIC announced that Jiang Shangyi served as the company’s vice chairman.

Another aspect of Wuhan Hongxin’s changes is the shareholders. In November 2020, Wuhan Xingong Technology Development Co., Ltd. (hereinafter referred to as Wuhan Xingong) replaced the original Beijing Guangliang Blueprint Technology Co., Ltd. and Wuhan Lingkong Port Economic and Technological Development Zone Industrial Development Investment Group Co., Ltd. and became the sole shareholder of Wuhan Hongxin.

By the end of December 2020, Wuhan Xingong’s shareholding has been reduced to 90%, and the other 10% is held by Wuhan Lingkong Port Economic and Technological Development Zone Technology Investment Group Co., Ltd. However, after the equity penetration of the above two shareholders, they were all controlled by the State-owned Assets Supervision and Administration Bureau of the People’s Government of Dongxihu District, Wuhan City. In other words, the state-owned assets of Wuhan Dongxihu have fully taken over Wuhan Hongxin.

So, for the current situation of Wuhan Hongxin, what are the plans of Wuhan Dongxihu District government departments? On February 28, the reporter of “Daily Economic News” saw that Wuhan Hongxin’s official website could no longer be opened. According to the company phone number in the historical snapshot of the webpage, the reporter made multiple calls and no one answered it.

Judging from public information, Wuhan Hongxin is currently entangled in lawsuits and has caused the company’s assets to be frozen. Specifically, in addition to the previously new ASML scanning lithography machine that has not been activated because of the 582 million yuan debt, a civil ruling published by China Judgment Document Network in October 2020 shows that because Shengpin Precision Gas (Shanghai) In the dispute over the sale and purchase contract between the company and Wuhan Hongxin, the People’s Court of Dongxihu District, Wuhan City, Hubei Province ruled to freeze 15.31 million yuan in deposits in Wuhan Hongxin Bank, holding 5% of the equity of a company, and a factory in Wuhan Hongxin.

Image source: Screenshot of Judging Document Network
However, the reporter saw on a recruitment website that just after the Wuhan Hongxin thunderstorm, Wuhan Hongxin was still recruiting in August 2020, and the date of the latest recruitment position was shown as October 16, 2020.

For the future of Wuhan Hongxin, what plans does Wuhan Dongxihu state-owned assets have? On the Wuhan city message board, some citizens also asked about Wuhan Hongxin issue. The latest reply from Dongxihu District of Wuhan City on February 8, 2021 stated that “the project is being coordinated.”

Integrated Circuit Industry: Two Days of Ice and Fire

The thunderstorm in Wuhan Hongxin triggered the concern of relevant departments on investment chaos. In October 2020, the National Development and Reform Commission spokesperson Meng Wei once stated that the National Development and Reform Commission will focus on four areas of work in the next step: one is to strengthen the service and guidance for the construction of major integrated circuit projects, and to do a good job in planning and layout; the second is to speed up implementation Several policies to promote the high-quality development of the integrated circuit industry and the software industry in the new era should promptly introduce supporting measures; the third is to establish a long-term working mechanism of “early combing, early detection, early feedback, and early disposal” to reduce investment risks in major IC projects ; Fourth, in accordance with the principle of “who supports and who is responsible”, those who cause major losses or trigger major risks shall be notified and held accountable.

The integrated circuit industry is still a key industry supported and encouraged by the state. On February 26 this year, at a press conference held by the State Council Information Office, Minister of Science and Technology Wang Zhigang pointed out that the integrated circuit industry is an important foundation for the high-quality development of China’s economy. , It must be the focus of China’s R&D, including scientific and technological work.

According to statistics from the China Semiconductor Industry Association, from January to September 2020, China’s integrated circuit industry sales amounted to 590.58 billion yuan, a year-on-year increase of 16.9%. This growth rate is more than twice the global rate during the same period. In addition, data from the General Administration of Customs shows that in 2020, the value of my country’s imported integrated circuit products is as high as 350.036 billion U.S. dollars, an increase of 14.6% year-on-year; the value of semiconductor manufacturing equipment imported during the same period is 25.351 billion U.S. dollars, an increase of 15.4% year-on-year.

What is the current development situation and industry situation of China’s integrated circuit companies? As a leading domestic integrated circuit manufacturing company, at an investor relations event on February 5, 2021, Zhao Haijun, the co-CEO of SMIC, said that the integrated circuit industry in 2020 can be described as “two days of ice and fire.” On the one hand, the “home economy” triggered by the epidemic has strengthened people’s demand for the Internet of Everything. Chip consumption has far exceeded expectations, and semiconductor companies in various countries are facing rare market opportunities. On the other hand, due to geopolitical factors, the upstream and downstream of the industrial chain are turbulent, the business of global semiconductor companies is facing interruption, and the innovation and development of the entire industry are also affected.

“In the longer term, the international semiconductor ecological environment has undergone tremendous changes in recent years. Moore’s Law, which has supported the vigorous development of electronic products for decades, has approached the physical limit. With the advent of the post-smartphone era, the market’s The requirements are also diversified. There are many types of chips and great changes.” Zhao Haijun said.

At present, various cities are still enthusiastic about the layout of the integrated circuit industry, including Wuhan City where Wuhan Hongxin is located. In October 2020, Wuhan City issued the “Wuhan City’s Several Policies to Accelerate the High-Quality Development of the Integrated Circuit Industry”, encouraging integrated circuit companies, universities and scientific research institutions to build core technology research carriers for integrated circuits, and for newly approved national technological innovations in the field of integrated circuits The center and the State Key Laboratory provide a one-time funding of 5 million yuan.

Two new rules for insurance industry to be implemented today

Two new rules for the insurance industry came into effect on February 1.

 

In addition to the recent frequent advertisements of old critical illness insurance products in the circle of friends, which always remind the implementation of the new regulation of critical illness insurance on February 1, Internet insurance also ushered in the new regulation of supervision on the same day.

New rules for Internet insurance market

Two new rules for insurance industry will be implemented today: Internet insurance and critical illness insurance

The “measures for the supervision of Internet insurance business” (hereinafter referred to as the “measures”) issued by the CIRC defines “Internet insurance business”, that is, “insurance business activities in which insurance institutions conclude insurance contracts and provide insurance services relying on the Internet.”

 

According to the measures, the insurance business that meets the following three conditions at the same time is the Internet insurance business: first, insurance institutions sell insurance products or provide insurance brokerage services through the Internet and self-service terminal equipment; second, consumers can independently understand the product information through the sales page of the self operated network platform of insurance institutions; third, consumers can independently complete the insurance behavior.

 

Generally speaking, the measures emphasize that institutions and personnel are licensed. According to the measures, Internet insurance business should be carried out by insurance institutions established according to law, and other institutions and individuals are not allowed to carry out Internet insurance business. An insurance institution shall not carry out Internet insurance business beyond the business scope specified in its license (record form).

 

It is worth noting that, in order to effectively implement the principle of licensed operation, the measures has made a strict and clear definition of self operated network platform: self operated network platform refers to the network platform established by insurance institutions in accordance with the law to operate Internet insurance business independently and enjoy complete data rights. Only the network platform set up by the head office of an insurance institution is a self-supporting network platform. The network platform set up by branches of an insurance institution and non insurance institutions with equity, personnel and other related relations with an insurance institution is not a self-supporting network platform and shall not operate Internet insurance business.

 

According to the research report released by Bank of China Securities, the measures emphasize licensed operation, standardize the Internet insurance business environment, and benefit the two types of companies. Firstly, the licensed Internet insurance sales platform benefits from the early channel layout, license value and traffic advantages; secondly, the traditional insurance companies with online and offline integration development are expected to broaden the Internet insurance field with the help of the original brand effect and offline channel resources.

 

It is worth noting that Articles 52 and 58 of the Measures stipulate in principle the insurance products and business areas sold through the Internet. The CIRC will separately stipulate the insurance coverage and relevant conditions for insurance institutions to sell insurance products through the Internet according to the development stage of Internet insurance business and the service guarantee needs of different insurance products.

 

Wang Min, executive deputy general manager and Secretary of the board of directors of Zhongan online (06060. HK), the first Internet insurance company in China, said earlier that the measures not only set a rigid bottom line, but also set a flexible boundary and reserved sufficient space for development. I believe the introduction of the measures is of great significance to the healthy development of the whole industry and the upgrading and innovation of global insurance industry supervision.

 

The old version of critical illness insurance products all stopped selling

 

According to the “Specification for the use of disease definition of major disease insurance (revised version in 2020)” issued by China Insurance Industry Association and China Medical Association (hereinafter referred to as the new specification), from February 1, 2021, major disease insurance contracts signed mainly for adults (18 years old and above) shall comply with the new specification, and all companies shall not continue to sell major disease insurance contracts based on the old specification Serious illness insurance products.

 

On the basis of the original definition of 25 kinds of serious diseases, the new standard added three kinds of severe diseases, including severe chronic respiratory failure, severe Crohn’s disease and severe ulcerative colitis, and improved and expanded them to 28 kinds of severe diseases. At the same time, it scientifically graded three kinds of core serious diseases, including malignant tumor, acute myocardial infarction and stroke sequelae, and added the corresponding definitions of three kinds of mild diseases And expanded the scope of protection.

 

At the same time, according to the latest medical progress, the new standard also expands the coverage of eight diseases, including major organ transplantation, coronary artery bypass grafting, heart valve surgery and aortic surgery, and improves and optimizes the definition of seven diseases, including severe chronic renal failure.

 

As for the upper limit of compensation proportion for mild diseases, the upper limit of insurance amount proportion for three kinds of mild diseases is 30%. If an insurance company adds mild diseases beyond the new standard in its major disease insurance products, the corresponding insurance amount shall be reasonably set by the insurance company itself.

 

For thyroid cancer, which is more concerned by the outside world, the new standard does not exclude it, but classifies it according to the severity of the disease, and pays for it according to the severity of the disease. For some early-stage malignant tumors that were excluded from compensation in the old standard, the new standard “malignant tumor – mild” was also included in this time according to the above classification principle, such as skin malignant tumors without lymph node and distant metastasis other than melanoma, and prostate cancer with TNM stage of T1N0M0. From this point of view, the protection of consumers is more comprehensive.