Dandong Xintai Electric Co., Ltd. (hereinafter referred to as ‘XTEC’ or ‘the Company’) received administrative punishment from China Securities Regulatory Commission (‘CSRC’) for fraud share offering on 5 July, 2016, and it was suspended for listing from 6 September, 2016. According to Item (12) of Article 13.4.1 and Article 13.4.11 of the Rules Governing the Listing of Stocks on the Growth Enterprise Market of the Shenzhen Stock Exchange (2014 Revision), and as approved by the 77th work meeting of the Listing Committee of Shenzhen Stock Exchange (‘SZSE’), SZSE decided on the delisting of the Company on 23 June, 2017.
Trading of the Company's shares will be entered into delisting transitional period for 30 trading days from 17 July, 2017, or from the next trading day after the decision on maintaining the delisting made by the Appeal Review Committee of SZSE if the Company applies for review. During the delisting transitional period, the Company’s stock abbreviation will be changed into ‘XTEC Delisting’, and the stock price fluctuation limit will be 10 percent. The Company's shares will be delisted from the very next day upon the expiry of the delisting transitional period. SZSE kindly reminds investors to pay attention to relevant risks and make rational investment.
The Company is the first company to be delisted from the ChiNext board, and also the first one to be delisted due to fraud share offering in China capital market. According to relevant regulations of SZSE, there is no system for re-listing of ChiNext board listed companies, and fraud share offering is featured by uncorrectable errors and irremovable influence, so the Company doesn’t meet the conditions for re-listing. The Company will be delisted forever without any opportunity for re-listing.
Related principal from SZSE indicated that the delisting system for listed companies is an important fundamental system in the capital market, which plays an important role in purifying the market environment, optimizing the allocation of resources and protecting investors’ legal rights. SZSE will comply with the requirements of strict supervision by laws to firmly implement the delisting system, and take a zero-tolerance attitude toward the companies that should be delisted, so as to ensure the implementation of the principle of ‘one occurs and one delisted’ and effectively maintain the market order.
Related principal from SZSE expressed that SZSE will actually take charge of the delisting work, and handle the delisting of the Company legally, smoothly and properly by the measures as follows: revealing the delisting risk via multi-channels; urging the Company to do well its delisting work; strengthening the protection for investors’ legal rights, and actively and properly handling the consultation, complaint and visit of investors; doing well the supervision on trading during the delisting transitional period; restricting the trading of stocks held by relevant shareholders; urging the sponsor to implement the advance compensation plan; and doing well the delisting of the Company and its connection with National Equities Exchange and Quotations (‘NEEQ’).
