Category: Money tips Release Date: 2006-01-06
Vanke shares reform proposal was first introduced Bermuda put warrants. Bermuda warrant is the right of way line between European and American warrants warrants warrants between the standard of the Bermuda warrants are usually listed in the warrant date and expiration date to set a line between the right multi-day, named "Bermuda" It is because Bermuda is located in between the U.S. mainland and Hawaii. Later, the meaning of Bermuda warrants warrants can be extended to the survival of pre-specified number of trading days during the period of the right line, for example, the above-mentioned virtual Bermuda warrants, the right line can be set on December 10, 2005, 2006 February 10 day, April 10, 2006, June 10, 2006 and so on. Bermuda Warrants Warrants give the holder due to more rows on the right choice, so the same price terms, European-style warrants high, but should be lower than American-style warrants equal terms.
Vanke is a special kind of Bermuda warrants an extension of the meaning of the Bermuda warrants, the exercise price set its 3.59 million (with the last trading day before the suspension closing price of the same), duration of 9 months after the listing to allow warrant holders Vanke Bermuda duration warrants in the last five trading days of the right line.
Vanke's Bermuda put warrants as A shareholder of the right price, there is likely to become "a white elephant "------ tasteless, abandoning the" unwilling. " As the put warrants fell only be realized when the value of warrants listed so only 9 months later,
Vanke A, share price remains below 3.59 yuan, China Vanke warrants in order to reflect the value of its price. The real estate sector researchers is widely predicted that, from the Vanke forecast for next year's performance of view, Vanke A shares should be maintained at 3.59 yuan or more, that is the major shareholder, China Resources Group, to pay the right price when you do not need. In fact, the Vanke Group, China Resources shareholders in this way are forced to pay the right price, because of the major shareholding ratio is low, and is the holder is also the year of Vanke shares purchased at a premium.
If the flow of the shareholders in order to obtain a price intended to "suppress" Vanke shares, as 10 stocks only to send seven copies of warrants, if the calculation Vanke 3.59 yuan before the suspension flow to shareholders "cost price", then fall from the stock put warrants The "right price" are insufficient to cover the circulation of all the shareholders value of the stock losses. As a result, the circulation of the shareholders Vanke China Vanke A shares rose only in to make a profit, and if the stock price rose to 3.59 yuan more than the flow of Vanke has not been shareholder in effect, from the major shareholders to pay the right price. So the shareholders on how the circulation of Vanke acquired through free put warrants benefit from this? It is only through the secondary market transactions. Warrants listing is a transaction price, since shareholders Vanke warrants the cost of distribution is zero, so you can sell the warrants in the secondary market, a profit, but the Vanke circulation of this part of the interests of shareholders are not paid by major shareholders right price, but by other investors on the secondary market to pay.
Thus, Vanke China Vanke A distribution of shareholders next year, if they think stock prices, you can choose to continue to hold stocks, while China Vanke warrants a premium selection of high point in the secondary market to sell warrants.
