news

The A-share repurchase boom continues, with the amount implemented this year exceeding 120 billion

2024-08-06

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

Securities Times reporter Kang Yin

After more than 100 listed companies launched repurchase plans in July, A-shares have once again seen a repurchase boom since August. As of August 5, more than a dozen listed companies have launched repurchase plans in three trading days.

According to Wind data statistics, as of the evening of August 5, the repurchase amount of listed companies since August was 6.632 billion yuan, and the repurchase amount this year has reached 121.874 billion yuan, of which 10 companies have repurchased more than 1 billion yuan.

On the evening of August 5, Wankai New Materials, Limin Shares, Tongwei Shares, Jianlang Hardware, Jingji Zhinong, Haoshangni and many other companies disclosed announcements on the progress of stock repurchases. Tongwei Shares announced that as of July 31, the company had repurchased a total of 65.1849 million shares of the company, accounting for 1.4479% of the company's total share capital, and the cumulative repurchase amount was 1.325 billion yuan. Jingji Zhinong announced that as of July 31, the company had repurchased a total of 7.072 million shares of the company's stock through centralized bidding transactions, accounting for 1.33% of the company's current total share capital, and the total amount of funds paid was 97.1752 million yuan.

Since August, more than a dozen companies have disclosed their repurchase plans. On the evening of August 5, Shenma Co., Ltd., Liaogang Co., Ltd., and Feiwotai Co., Ltd. disclosed their repurchase plans.

Shenma shares announced that it plans to repurchase the company's shares for 150 million to 200 million yuan, with the repurchase price not exceeding 9.12 yuan per share. The repurchased shares will all be used to reduce registered capital and be cancelled in accordance with the law. Feiwotai announced that it plans to use its own funds to repurchase the company's shares, with the total amount of funds to be repurchased not less than 50 million yuan and not more than 100 million yuan.

In addition, since August, companies such as Bestmed, Maide Medical, Guangri Holdings, and Innotech have successively disclosed their share repurchase plans.

Wind data shows that more than 1,800 A-share listed companies have repurchased shares this year, covering the fields of electronics, pharmaceuticals and biology, power equipment, computers, etc. Among them, the listed companies with the largest repurchase amount include WuXi AppTec, Sanan Optoelectronics, CATL, SF Holding, Baosteel, and Jiuan Medical, with the cumulative repurchase amount exceeding 1 billion yuan.

The repurchase actions of listed companies are inseparable from policy guidance and encouragement. Since the beginning of this year, a number of relevant policies have been introduced. In April this year, the State Council issued the "Several Opinions on Strengthening Supervision, Preventing Risks and Promoting High-Quality Development of the Capital Market", proposing to study the inclusion of listed companies' market value management into the internal and external assessment and evaluation system of enterprises, and guide listed companies to cancel their shares after repurchasing them according to law.

In May this year, the CSRC revised and issued the "Regulations on Strengthening the Supervision of Listed Securities Companies", which proposed to encourage the formation of a mechanism for implementing share repurchases, and actively improve shareholder returns and optimize governance structures through multiple dividends and repurchase cancellations in one year. In addition, the Shanghai and Shenzhen Stock Exchanges also called on listed companies to actively carry out special actions of "improving quality, increasing efficiency and focusing on returns" and "improving both quality and returns". The special actions require listed companies to pay attention to investor returns, and repurchase is a "must-have option".