Smick big shareholder wants to reduce shareholding

Smick (002162) announced that the company's largest shareholder, Mick Industrial Co., Ltd. and the second largest shareholder Pacific Digital Co., Ltd. is proposed in the next six months to total reduction of the company's shares of less than 50 million shares, about 11.96% of the total shares of the company. Smick industry and Pacific Digital are the 100% subsidiaries of the Li Zixiong Industrial group, the actual controller of the Mick Industrial group.　　After the reduction of the total number of industrial and Pacific Digital Holdings will remain more than 60%, the company's absolute holding position, the actual control will remain unchanged. The company said that the company's stock, which is based on the demand of the indirect controlling shareholder, was determined by the industry and Pacific Digital Holdings. In addition to Li Zixiong, shareholders of Smick Industrial group include some institutional and personal financial investors, including Morgan Stanley and Western Pacific holding companies. As financial investors, particularly institutional investors, are mostly motivated by the acquisition of investment income, and fund companies generally have the Fund's investment period rather than permanent ownership of the company, so after more than 10 years of long-term investment, some investors to Smick Industrial Group expressed the proposed disposal of some or all of the investment. The method of disposal will buy back some of the shares to its shareholders through the rice industry group.