02-05-2012, 06:03 PM
Wow...Qingmei closed at S$0.067. That values the company at 679,824,874*0.067= S$45.5 million. The company based on the HY2012 (ending 31Dec2011) results had cash balances of RMB437,568,000 (S$87.51 million). I got a written assurance from August Consulting (the IR firm for Qingmei Group Holdings Limited and the principal contact for the Group’s shareholders in Singapore) which I am presenting below:
"Please rest assured that our financial statements and cash flows for FY2011 are in order as certified by our auditors, BDO Limited. Qingmei is committed to corporate governance and we continue to uphold a high level of corporate transparency toward our shareholders.
We had on 18 April 2012 guided that our sales and profit for 3QFY12 will be affected due to a slowdown in the China domestic market arising from intensified competition and industry consolidation. Our customers are also more prudent in placing orders due to the current market conditions. Nevertheless, we expect to remain profitable for FY2012.
Apart from the abovementioned profit guidance, we are not aware of any information not previously announced concerning the Group which might explain the change in the price of the Company’s shares. Changes in share price is subject to market forces and is something that is not within our control under the current market sentiment.
Thank you for your loyal support for the Group. We understand your concerns and hope that you will bear with us during this challenging period. We will be able to provide a more detailed update when we announce our 3QFY2012 results on or before 9 May 2012 via SGXNet.
Could not stop myself from adding to my holdings today. The price was simply ridiculous. I guess this will be a case of going double OR going bust...
"Please rest assured that our financial statements and cash flows for FY2011 are in order as certified by our auditors, BDO Limited. Qingmei is committed to corporate governance and we continue to uphold a high level of corporate transparency toward our shareholders.
We had on 18 April 2012 guided that our sales and profit for 3QFY12 will be affected due to a slowdown in the China domestic market arising from intensified competition and industry consolidation. Our customers are also more prudent in placing orders due to the current market conditions. Nevertheless, we expect to remain profitable for FY2012.
Apart from the abovementioned profit guidance, we are not aware of any information not previously announced concerning the Group which might explain the change in the price of the Company’s shares. Changes in share price is subject to market forces and is something that is not within our control under the current market sentiment.
Thank you for your loyal support for the Group. We understand your concerns and hope that you will bear with us during this challenging period. We will be able to provide a more detailed update when we announce our 3QFY2012 results on or before 9 May 2012 via SGXNet.
Could not stop myself from adding to my holdings today. The price was simply ridiculous. I guess this will be a case of going double OR going bust...