On July 6, Beijing energy clean energy (00579. HK) announced that the company had received a letter from the controlling shareholder, Beijing Energy Group (hereinafter referred to as Jingneng group), considering privatization of the company and delisting on the stock exchange.
According to the announcement, the potential offeror of privatization and the persons acting in concert hold 71.4% of the equity of Beijing energy clean energy, and the details and terms of the offer have not yet been implemented.
Privatization refers to the delisting of the listed company by the controlling shareholder through the acquisition of the shares circulating in the market. The listed company will no longer be a public company but become a "private" company.
According to the research and analysis of HSBC, the average p / E ratio of Beijing energy clean energy in recent years is only 0.5 times, and its fund-raising ability is limited. Therefore, it may withdraw from the market or merge the assets within the group more effectively, and prepare to be listed in a shares in the future.
As a result, the agency raised the target price of Beijing energy clean energy from HK $1.3 to HK $2.1, maintaining its "hold" rating.
In addition to Jingneng group, Huaneng Group, CGN group and Huadian Group, one of China's "five big and four small" power groups, recently announced the privatization of their Hong Kong stock new energy platform.
A person from the wind power department of Huaneng Group told the interface news that one of the main reasons for the delisting of energy enterprises in Hong Kong stock market is that the valuation of new energy companies is low, and the financing support capacity for developing new projects is insufficient, "it is better to increase the return to parent profit after privatization".
The asset value of new energy sector in Hong Kong stock market is undervalued, which is mainly affected by policy risks such as the price reduction in recent years and the rapid growth of new energy subsidy arrears.
In February this year, all conditions for the privatization of Huaneng new energy were reached, and then it was delisted from the Hong Kong stock exchange, which became the largest privatization transaction in the history of Hong Kong listed energy companies.
In March, CGN announced the privatization of CGN new energy (01811. HK). CGN is the largest nuclear power operator in China and the third in the world.
At the end of May, CGN New Energy announced that it had not yet received a clear privatization proposal from a potential offeror, and internal discussions on possible privatization were still in progress.
In June, Huadian Group plans to merge Huadian Fuxin (02858. HK) with another subsidiary and make an offer to privatize all the issued shares of the company.
Huadian Fuxin said that the company has been unable to obtain capital through equity financing and has lost the main advantage of listing platform due to its lack of external equity financing capacity.
Founded in August 2010, Jingneng clean energy is a holding company of Jingneng group. It was listed on the main board of Hong Kong Stock Exchange in December 2011. The company's business covers gas-fired power generation and heating, wind power generation, photovoltaic power generation, small and medium-sized hydropower and other clean energy. It is the largest gas-fired thermal power supplier in Beijing and a leading domestic wind power operation enterprise.
By the end of 2019, the total installed capacity of Jingneng clean energy holdings is 9622 MW. Among them, the installed capacity of gas is 4702 MW, that of wind power is 2398 MW, that of PV power generation is 2072 MW, and that of medium and small hydropower is 450 MW.
Founded in 1993, Jingneng group is a wholly state-owned enterprise managed by Beijing SASAC, with a registered capital of 20.4 billion yuan. By the end of 2018, the group had a total asset of 274.7 billion yuan and a total profit of 4.36 billion yuan.
The four listed companies of Jingneng group are Jingneng clean energy, Jingneng power (600578. SH), Haohua energy (601101. SH) and Jingneng real estate (600791. SH).