Conversion refers to a joint-stock company converting its capital reserve into share capital. According to the constant total assets, it is assumed that every 10 share is increased by 3 shares. If a shareholder holds 4,000 shares before the increase, the shares of the shareholder will become 5,200 shares after the donation, that is to say, 1200 shares will be given to the shareholder. After the transfer, the rights will also be removed, and the stock price will fall. The specific stock price should be calculated according to the number of shares transferred and held, as well as the stock price before the transfer, but the total assets of shareholders remain unchanged.
The ex-dividend formula for the issuance of new shares in Shanghai Stock Exchange is: ex-dividend reference price = (previous closing price × original share capital+issue price × additional share capital) ÷ (original share capital+additional share capital). The original share capital here refers to the total share capital of the company, but does not include the issued B shares. The ex-dividend formula of Shenzhen Stock Exchange is: ex-dividend reference price = (closing price on filing date × original total share capital+issue price × number of additional shares) ÷ total share capital after ex-dividend. The total share capital here does not include the issued B shares.