their knowledge of related conditions for listed companies

Cao Zhongming shares this year's "break year", investor's "lost years", is a major shareholder of listed companies and their executives ", now". Statistical data show that as of November 20, this year the a-share listed companies largest shareholder stake reduction up to $ 6.06 billion shares, for a total value over $ 83 billion, executives to reduce cash in the amount of nearly $ 10 billion. In accordance with thisKind of situation, taken together over billions of dollars this year will be no news, its funding as a result of pressure on equities. Restricted shares after the ban, reduced stake is the rights of shareholders and executives. As long as no violation, when and under what price reduction, major shareholders and executives enjoyed absolute autonomy. If, however, when its share price in excess of benefitReduction approach to arbitrage, is open to question. A few days ago, HTC announced the release of shares does not exceed the number 440 million shares swtor power leveling, the price increase of not less than $ 11.34 plans, and Hongda Hongda industrial shares shareholders pledged to subscribe for the shares of the total number of 26.4% (116.3 million shares). Massive issuance of listed companies, large shareholder heavily hit "help"Such cases more common in the market. But HTC share big shareholder's participation will increase, obviously not the case a "simple". Public information displays, from December 30 until June 30 this year star wars the old republic power leveling, in just six months time, HTC share substantial shareholder Hongda industrial bulk trading system 9 times by shangzhengsuo Trojan and reduce its stake 151.6 million shares, cashAmount at around $ 2 billion. Previous cash hasn't attained the age of 5 months ' time, big shareholders to participate in private placement, its big reduction of cash in on the left hand, right hand moves involved in the private placement, look very "contradiction". In front of the reduction of Hongda industrial is not, it holds 424 million shares of listed companies, 41.08% per cent of the total share capital, in the relative position of control. After the reduction,Shareholder's stake fell to 26.39%. Hongda industrial commitment to increase participation in, on the one hand is obviously a means to attract other investors to join, on the other hand there are also holding status considerations. In fact, if HTC industry really optimistic about the prospects of a listed company, want to strengthen the status of its holding, it clearly should not be such a huge amount to reduce. However, this bizarre scene isHas happened. In fact, the crux of the problem is that "price". According to author calculations, Hongda industrial average prices well above $ 13, and those of their participation in the increase of only $ 11.34, and because it sells more less balance, large shareholders obtain cash of up to hundreds of millions of Yuan, of which, implemented by large shareholders sell high buy low carry over at least 200 million Yuan, And the number of its holdings and does not reduce the number and focus of this is the issue. In fact, leveraging increased for arbitrage is not only HTC share a substantial shareholder. Major shareholder, actual control of listed companies or related parties by reducing cash and increase participation in "two aspects" and implement many arbitrage. In addition to Hongda industrial, aerospace, mechanical and electrical shares, Rainbow, public listingDivisions of major shareholders or related parties is one of the "leader". As shareholder or the actual holding of people, their knowledge of related conditions for listed companies, obviously comprehensive and in-depth than the ordinary investors, on the question of whether or not to participate, how to increase participation in, also in a very favourable position, not to mention also through reduction and increased profit. Hongda industrial holdingsAnd increased, although there was no violation, but it is the walk on the edge of the law, is also a "touch ball" behavior. More important is that such behavior is contrary to the securities market on which "Excellencies," principle, is unfair to the small and medium-sized investors. If you do not carry similar Hongda industrial acts prohibited, then more "Hongda industrial" which is the probability of the event.New head office, the SFC said it would further improve the first measures on the Administration and financing of new shares, I propose, for arbitrage phenomena should be similar to the Hongda industrial control, avoiding major shareholders of some listed companies took advantage of a profit-making of laws and regulations, thus undermining the interests of.