With the public’s attention to the incident, Loctek also appeared an anecdote. Previously, on the follow-up development, take a fresh look.
The first quarter: On Saturday, the capital market thundered, and the chairman angered Ping An Asset Management.
On Saturday, August 29th, Xiang Lehong, the chairman of Lego, suddenly sent out a circle of friends, announcing that "the fund managers of Ping An Asset Management are not welcome to invest in the company. Young people don’t do their homework, old three and old four. "
Xiang Lehong also sent a message on his snowball, describing the ins and outs of the matter.
Loctek is headquartered in Ningbo, Zhejiang, and its main business focuses on smart office, healthy office and smart home products with linear drive as the core. It was listed on the Growth Enterprise Market in December 2017.
In 2017-2019, the company’s net profit remained at around 60 million yuan, and its performance was released rapidly in the context of this year’s epidemic. In the first half of the year, it achieved a net profit of 68.15 million yuan, exceeding the net profit of last year and increasing by 1.9 times year-on-year. Since the beginning of this year, the company’s share price has soared. Just the day before the chairman angered Ping An Asset Management, it closed on Friday, August 28, and Lego shares have reached a record high, closing at 90.54 yuan/share, with an increase of nearly three times during the year.
Chairman Xiang Lehong is also the actual controller of Loctek and concurrently the general manager of the company. According to the resume, Xiang Lehong was born in 1971, with a double bachelor’s degree from Ningbo Normal University (now Ningbo University) and University of Electronic Science and Technology of China; Guanghua School of Management, Peking University, double master’s degree from cheung kong graduate school of business; City University of Hong Kong DBA study experience; Senior MBA in Tsinghua University Wudaokou Finance College.
Chairman Xiang is also a temperament middleman. From singing "Fly Higher", we can know the ambition of Chairman Xiang.
The second season: Ping An made a move to "turn bones into cotton palms", and Lego shares were "overwhelming"
On August 30th, Zhang Liang, the stock investment manager of Ping An Asset Management, responded to the anger of Chairman Xiang, and the second quarter started.
Chairman Xiang immediately responded in the circle of friends. "Let me have a bite to eat, and I will definitely respond."
After that, Chairman Xiang issued a long response.
The third season: Ping An’s asset management died down, and Yuege suddenly fell into "besieged on all sides"
Although Chairman Xiang responded to Ping An Asset Management’s investigation of video connection at that time with a long article, Ping An didn’t make a response again. However, around Lego shares, a new situation has emerged.
First, some peers suddenly voiced that they would be "elegant" in the face of investment banking research.
Then someone sent a negative message against the chairman.
Chairman Xiang responded by laughing and cursing.
Suddenly, someone went to the CSRC to report insider trading in Loctek.
The most exasperating thing is that after the market opened on Monday, August 31st, Loctek fell for two days in a row, and finally saw blood again on September 2nd.
The fourth season: Maotai becomes the protagonist, and the chairman wants to report the case …
Originally, it was a story between Loctek and Ping ‘an, but suddenly it was inserted into Maotai, and it seemed that there was no sense of disobedience.
It happened that Chairman Xiang himself changed his style of painting and whispered softly. Most importantly, Chairman Xiang mentioned Maotai himself.
The story should have ended here, but Chairman Xiang voiced again in the circle of friends, saying that "someone wants to’ kill’ me" and "will report to the relevant departments".
How will the plot go in the future? At present, we can only wait.
Fanwai: Mrs. has increased her holdings in large quantities, and American enterprises have investigated 337.
In the third quarter, it was mentioned that Loctek was reported to be suspected of insider trading, involving Jiang Yi, the wife of Chairman Xiang.
Jiang Yi has continued to increase his holdings of his own company’s shares since February 2018. At present, Xiang Lehong and Jiang Yi hold nearly 60% of the shares of listed companies.
According to media reports, on June 15th, The Politburo Standing Committee (PSC) and Li Keqiang, Premier of the State Council of the People’s Republic of China of the Communist Party of China attended the opening ceremony of the 127th Canton Fair in Beijing, and had video connection with three foreign trade enterprises, one of which was Loctek.
Since June 12th, Loctek has made great strides from 31.66 yuan/share. On June 16th, Loctek issued a stock price change announcement. The closing price of the company’s stock trading on June 12th, 15th and 16th, 2020 was more than 20% off the value. According to the relevant regulations of Shenzhen Stock Exchange, it was an abnormal fluctuation of stock trading.
The voice of doubt thinks that matters such as high-level inspections and visits are usually arranged several months in advance, during which they have to be reviewed by several levels of governments and coordinated with some ministries. Implementation is only the last step, so it is impossible for Loctek to connect with the Prime Minister. Jiang Yi suddenly increased his holdings and bought in a big way one month before the connection, which inevitably gave people the feeling of Gua Tian Li Xia. Therefore, reporting insider trading to the CSRC may come from here.
From the trading day before the Prime Minister’s connection to the trading day before Chairman Xiang’s anger and safety, Loctek’s share price soared by 318% in two and a half months. From May 19 to May 29, 2020, Jiang Yi increased his holdings of 888,500 Loctek shares, accounting for 1.02% of the total issued share capital, with a book income of 55.13 million yuan, which was nearly 6.5 million yuan higher than the non-net profit deducted by Lego shares in 2019.
On July 23, 2020, Loctek announced that on July 20, 2020, American Versa Products Inc (hereinafter referred to as "Versa Company") filed a 337 investigation application with ITC in accordance with Section 337 of the US Tariff Act of 1930, accusing Loctek. Inc. ("American Lego"), Loctek Ergonomic Technology Corporation ("Loctek") and Zhejiang Loctek Smart Drive Technology Co. ("Lego Intelligent Drive"), The certain height-adjustable desk platforms and components there exported to, imported from and sold in the United States infringe its patent right (U.S. registered patent No.10485336), and request ITC to initiate a 337 investigation and issue a general exclusion order or a limited exclusion order and a prohibition order.
According to the provisions of Section 337 of the United States Tariff Act of 1930, the object of investigation is the infringement of American intellectual property rights by imported products and other unfair competition in import trade. In practice, most of the 337 investigations involving infringement of intellectual property rights in the United States are aimed at patent or trademark infringement, and a few investigations also involve copyright, industrial design and layout design infringement of integrated circuits. Other forms of unfair competition include infringement of trade secrets, counterfeiting, false advertising, and violation of anti-monopoly laws.
Loctek said that the products involved in this 337 investigation are electric lifting platform products independently developed, designed and produced by the company. There are many models of lifting platform products exported by the company. The products involved in this lawsuit involve two models of electric lifting platform products. In 2018, 2019 and January-June 2020, the sales of the above two products in the United States accounted for 0.05%, 0.09% and 0.1% of the total sales respectively. The sales of the above two products in the United States accounted for 0.1%, 0.23% and 0.27% of the company’s total sales in the United States, respectively, accounting for a small proportion. This survey will not have a substantial impact on the company’s operations.
As early as March 30, 2017, Varidesk Company initiated a 337 investigation application to the United States International Trade Commission (USITC) for Lego lifting platform products. On August 29, 2017, Varidesk and Lego finally reached a settlement, and Lego lifting platform products continued to be exported to the US market.
What is the outcome of this 337 investigation? Wait and see.