The planned transfer of the company's equity can improve the financial structure and enhance the current shareholders' equity per share, which may be beneficial.
There are problems in the company's operation, and it may be bad for important shareholders to reduce their holdings and pass on investment risks.
Equity transfer is a civil legal act in which shareholders of a company transfer their shareholders' rights and interests to others for compensation according to law, so that others can obtain equity.
Generally speaking, equity transfer is good news for current holders and bad news for off-exchange retail investors. After the equity registration, dividends and rights issues are required. After most companies distribute shares and pay dividends, stocks will generally fall for a long time.
In the past, the circulation of China's non-tradable shares market was restricted by the National Securities Law and other laws and regulations, and the transfer of equity was very difficult. According to the regulations, more than 5% of the total share capital is transferred by the split-share transfer clearing center, and less than 5% is not transferred in principle (the underground passage after public relations of the exchange is not counted).