Interface News Reporter | Zou Wenrong
Interface News Editor |
The first insurance fund of the new year is here.
html On January 4, Zijin Property & Casualty Insurance Co., Ltd. (hereinafter referred to as: Zijin Insurance) issued an announcement on the insurance capital listing of Huaguang Huaneng (600475.sh).announced that on January 2, Zijin Insurance purchased 47.1947 million A-shares of Huaguang Huaneng through an agreement transfer, accounting for 5.0012% of the A-share capital of the listed company. Before this move, Zijin Insurance did not hold any shares in Huaguang Huaneng.
Source: Zijin Insurance announced that
participated in the placard raising. Zijin Insurance stated that based on the closing price of Huaguang Huaneng A shares on January 2, 10.63 yuan/share, the company’s holdings of Huaguang Huaneng A shares have a market value of RMB 502 million. , accounting for 2.5% of the company's total assets at the end of the third quarter of 2023.
As of that day, the book balance of Zijin Insurance’s equity assets was 4.731 billion yuan, accounting for 23.61% of the total assets at the end of the third quarter of 2023.
It can also be learned from Huaguang Huoneng’s previous announcement that the above-mentioned transaction has been promoted as early as August 2022. Zijin Insurance’s disclosure this time has reached the final stage of completing the equity transfer.
On August 25, 2022, Huaguang Huaneng disclosed for the first time that the controlling shareholder Guolian Group planned to transfer its shares of no more than 25% of the total share capital of Huaguang Huaneng, totaling 236 million shares, through a public solicitation of transferees.
In November 2023, Guolian Group finally finalized the two equity transferees, China State-owned Enterprise Structural Adjustment Fund Phase II Co., Ltd. (hereinafter referred to as: State-owned Enterprise Structural Adjustment Fund Phase II) and Zijin Insurance, and signed a transfer agreement.
According to the arrangement, the transfer price this time is 8.35 yuan per share. The National Research Fund Phase II and Zijin Insurance received 14.6166% and 5.0012% of the equity of Huaguang Huaneng respectively, with corresponding transfer payments of 1.152 billion yuan and 394 million yuan.
Source: Huaguang Huaneng announced that after the transfer of
, Guolian Group will still be the controlling shareholder of Huaguang Huaneng, while the National Research and Development Fund Phase II and Zijin Insurance will be promoted to the second and third largest shareholders.
On January 2, 2024, Guolian Group and Zijin Insurance completed the transfer procedures and registration for this share transfer. If calculated based on Huaguang Huaneng's closing price of 11.3 yuan per share on January 4, Zijin Insurance has made a profit of 139 million yuan this time.
As for the intention of raising the placard, Huaguang Huaneng’s past announcements show that the equity change was based on Zijin Insurance’s development strategy and recognition of Huaguang Huaneng’s future development prospects and investment value to expand its own investment business layout. At the same time, we provide comprehensive support to entity enterprises in Jiangsu Province to promote the healthy, stable and sustainable development of Huaguanghuan Energy and assist Huaguanghuan Energy to enhance its industrial competitiveness.
It is also worth mentioning that although Huaguang Huaneng is the first insurance fund to be listed in the new year, it has become the consensus of insurance funds to increase the equity market, and the second insurance fund to be listed in the future may be coming in the near future.
Wuxi Bank (600908.sh) disclosed that the Wuxi Supervision Bureau of the State Administration of Financial Supervision and Administration has approved Great Wall Life’s shareholder qualifications and agreed that Great Wall Life will increase its holdings of Wuxi Bank shares within six months from the date of approval.
According to the provisions of the "Interim Measures for the Equity Management of Commercial Banks", if investors and their related parties and persons acting in concert individually or collectively intend to hold for the first time or cumulatively increase their holdings by more than 5% of the total capital or total shares of a commercial bank, they must report to the China Banking Regulatory Commission or the Bank in advance. Approved by its dispatched agency.
Prior to this, Great Wall Life had increased its holdings in Wuxi Bank many times. As of the end of the third quarter of 2023, its holdings in Wuxi Bank had reached 4.54%.
A recent research report from Dongguan Securities pointed out that Great Wall Life may be one step away from raising its name. The last A-share bank with insurance capital was Hua Xia Bank eight years ago. The current valuation level, volatility and dividend rate of the banking sector are very consistent with the long-term funding requirements of insurance capital. Insurance companies are expected to increase their holdings in banks. Stocks earn relatively stable investment returns.
Since the insurance fund raising activity picked up in 2023, Great Wall Life has already become a "frequent customer" in the insurance fund raising activity.
In early June 2023, Great Wall Life successively raised shares in Zhejiang Communications (002061.sz) and Zhongyuan Expressway (600020.sh), and has since increased its holdings many times. As of the end of the third quarter of 2023, Great Wall Life's shareholding ratio in Zhejiang Jiaotong Technology has increased to 7.30%; as of December 20, 2023, Great Wall Life's shareholding ratio in Zhongyuan Expressway has also increased to 8%.
The various actions of Zijin Insurance and Great Wall Life are just a microcosm of insurance capital’s optimism about the equity market.
"On the whole, insurance institutions have strong confidence in equity investments next year and have a more positive attitude towards macroeconomics and fixed income investment confidence." Recently, the Insurance Asset Management Association released the "Insurance Asset Management in 2024 and the First Quarter of 2024" "Industry Investment Confidence Index Survey" mentioned.
According to the association’s survey statistics, the equity investment confidence index of insurance institutions in the third quarter and fourth quarter of 2023 is 56.67 and 57.72 respectively, which has increased for two consecutive quarters.
In addition, the equity investment confidence index of insurance funds for 2024 and the first quarter of 2024 is 61.01 and 61.14 respectively. Among them, the confidence value of domestic policy environment (liquidity, etc.), the overall trend of A-shares and stock valuation exceeds 60.
