BYD returns to a shares yesterday

The report (reporter Jiang) yesterday evening, BYD Co., Ltd. A-share IPO was approved by the SFC Commission.　　This means that the 3-year-old BYD A-share return plan finally fell to listen. According to a prospectus disclosed by BYD last week (May 5), BYD plans to raise more than 79 million shares in the Shenzhen Stock Exchange to fund 2.192 billion yuan, which will be invested in the lithium-ion battery project of Shenzhen BYD Lithium Battery Co., Ltd. Shenzhen Automotive Development and production base project and BYD Automotive Co., Ltd. to expand the variety and auto parts construction projects.　　The total investment of the above three projects is 5.383 billion yuan. The three-year return road has been postponed a few times. Publicly available data show that July 31, 2002, BYD issued a listing on the Hong Kong board. 2007, BYD Holdings subsidiary BYD Electronics Co., Ltd. was split listing in the Hong Kong motherboard. Since then in 2008, BYD said the return of a shares will, but because of poor market performance and other reasons reluctantly postponed. July 2009, BYD announcement, the board of directors through the return of a shares issue, the relevant materials subsequently reported to the CSRC for approval.　　In July 2010, BYD postponed A-share issuance plan, extending the effective period of the resolution on a-share plan for 12 months. Mr Buffett's aura of success slipped in September 2008, and China-US energy Holdings, the Warren Buffett's company, announced the sale of BYD's stake, which amounted to $230 million trillion.　　The brand effect of Mr. Buffett's stake and the capital market's rise in valuations have led to a rapid growth in the company's share price, which rose from HK $8.4 per share to the highest 85.5 Hong Kong dollar per share, or 917.86%. But for the return of a shares, auto industry Securities analysts pointed out that because the company's performance decline is obvious, BYD has missed the best return window. According to the latest statistics, BYD's April 2011 car sales fell 12%, down to 40,100 vehicles, and March car sales fell 41% year-on-year. In fact, BYD's performance since 2010 is not satisfactory, 2008-2010 three years, BYD attributable to the parent company's shareholder net profit of 1.021 billion yuan, 3.794 billion yuan and 2.523 billion yuan, 2010 net profit reduced by 1.27 billion yuan, the decline is 33.48%. At the same time, the overall gross margin of the company's business fell from 21.79% in 2009 to 17.78%, down 4%.