This article comes from the WeChat public account: Zhengjingshe (ID: zhengjingshe) author: Gu white, formerly titled” after the encounter Blackstone flattery, SOHO China those years of honor, Pan Shiyi want to relive it, “title figure from: IC photo
There is only a distance between Pan Shiyi and the public idol.
In the 25-year journey, SOHO China has glorified the first half, and the second half has been committed to the shadow of Pan Shiyi’s desire to “run the road.” Now that Blackstone intends to take over, Yu Pan and his wife and SOHO China are a happy event. However, before the acquisition of boots, SOHO China also needs to appease the mood swings in the capital market.
On May 4, affected by the news of the suspension of the privatization talks of the Blackstone Group, SOHO China’s stock price fell 25.6% to 2.75 Hong Kong dollars per share, and the current decline is not decreasing.
First, encounter black stone killing
The news that Blackstone wants to take over SOHO China has been circulating for half a year. By the time of the “acquisition suspension” on May 4th, the stock price of SOHO China rushing back and forth was a test of the heart.
On October 30, 2019, Pan Shiyi will sell eight “SOHO” series of commercial properties in Beijing and Shanghai, and the news of Blackstone’s intention to acquire, once the news of SOHO China’s share price quickly ushered in a strong rise Rose 27.07%. Although SOHO China immediately issued an announcement and denied it, the curiosity of the market has been provoked.
It is worth mentioning that SOHO China used the wording in the announcement quite profoundly: “No decision has been made on whether to conduct a potential transaction, and no formal agreement has been entered into with any party to implement the potential transaction.”
The straightforward understanding of this sentence is that the transaction is being talked about, and the money is not yet in place.
Afterwards, some media revealed that SOHO China is considering selling the rights and interests of China’s office building for 8 billion US dollars. The buyer is a buyer group formed by Blackstone Group and GIC. In the list for sale, eight SOHO core assets, including SOHO China’s Guanghua Road SOHO, Wangjing SOHO Tower 3, and Shanghai SOHO Fuxing Square, are prominently listed.
By March 2020, the storyline that has been hidden in the mist has been further enriched. The exposed details of the relevant transactions show that Blackstone will once again pay approximately US $ 8.7 billion for SOHO China ’s privatization plan, including SOHO China ’s US $ 4 billion in privatization funds and US $ 4.7 billion in debt.
The success of the transaction will directly determine the ending of Pan Shiyi’s “running road”.
But for now, a sudden new crown epidemic has made the plot change. On May 4th, foreign media reported that the company’s prospects were full of uncertainty due to the impact of the epidemic. Blackstone’s negotiations on the privatization of SOHO China have stalled.
Affected by this, SOHO’s stock price fell 25.68% that day, hitting a two-month low. Although the stock price rebounded slightly thereafter, the overall trend of the stock price remained negative. As of the close on May 6, SOHO China closed down 1.61% to close at HK $ 3.05 per share, with a market value of HK $ 15.86 billion.
A brokerage analysis said that the 26% drop in SOHO China ’s share price on May 4 was an excessive adjustment, because some investors regarded the news as Blackstone will cancel the plan to privatize SOHO China, but SOHO China will be on May 9. A monthly report will be issued, and relevant rumors may be announced at that time.
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