Rimba Raya’s Sustainable Peatland Farmer Field School

Central Kalimantan, INDONESIA, Dec 5, 2020 – (ACN Newswire) – In November 2020, Rimba Raya Biodiversity Reserve (Rimba Raya) conducted training sessions aimed at strengthening the capacity of Farmer Groups (KT). The goal was to help them to improve their skills in cultivation and agriculture through our Peatland Farmer Field School (Peatland-FFS). The sessions were attended by 2 Farmer Groups; Harapan Jaya from Jahitan Village, and Hijau Bakung Permai from Baung Village.



HARAPAN JAYA Farmer Group and the preparation of an area of 0.5 ha, Jahitan Village


HIJAU BAKUNG PERMAI Farmer Group and land preparation covering an area of 17 x 50 meters, Baung village



This activity is a continuation of a Peatland-FFS training program held in September 2020 conducted by Rimba Raya in collaboration with the National Peatland Restoration Agency (BRG). The farmer group from Rimba Raya working area participated at that time. Aside from focusing on improving farming skills, participants were trained in preparing their land for agricultural development without the use of traditional 'slash and burn' methods.

During our most recent training sessions, Rimba Raya encouraged farmers to build on their traditional ecological knowledge with a focus on non-destructive land use and the development of areas according to soil suitability. The efficient production of nutritious food while ensuring forest preservation, was strongly encouraged.

The farmers were taught how to make organic fertilizers and pesticides using organic waste from their immediate environment. "Crop and forest burning actually eliminates beneficial microorganisms and nutrients, as it releases unwanted carbon dioxide into the atmosphere," said Sylviana Andhella, Executive Director of Rimba Raya.

"Land preparation without burning and the use of organic fertilizers for agricultural practices will reduce carbon emissions and support the balance of microorganisms. This is in alignment with our project objective to reduce carbon emissions," Andhella explained.

Additionally, the farmers were empowered to manage their own farmers organization. This included the election of; a chairman, secretary and treasurer by the group members. These positions were then ratified by the local village government.

During the training sessions, farmer groups were asked to develop relationships to encourage cooperation and net-working between other groups around the project area. This allows them to share information, experiences and valuable lessons learned which are beneficial to all farmers.

"I am thankful that Rimba Raya included our farmer group in this initiative. We have learned how to make organic fertilizer and our understanding of horticultural farming techniques has grown. We are eager to develop our farms using these strategies with the hope that we will be more successful so that we can set an example to other community farmers," said Ardiansyah Ardian, head of Hijau Bakung Permai farmer group of Baung Village.

About Rimba Raya

The Rimba Raya Biodiversity Reserve is the largest REDD+ project in the world, protecting nearly 65,000 hectares of peat swamp forest in Central Kalimantan, Indonesian Borneo and avoiding more than 130 million tons of carbon emissions. Rimba Raya is a living example of an economically viable alternative to deforestation.

Rimba Raya develops livelihood programs in surrounding villages (addressing all 17 of the UN Sustainable Development Goals) to provide education, employment and hope for the future. Rimba Raya is also the world's largest privately-funded orangutan sanctuary, and an InfiniteEARTH Project. Visit https://rimba-raya.com.

Contact:
Nisa Jalil, Vice President for Public & Government Relations
E: nisajalil@rimba-raya.com, PT. Rimba Raya Conservation

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

UK Tech Firm Launches Covid & Vaccination Passport

MANCHESTER, UK, Dec 4, 2020 – (ACN Newswire) – British technology company VST Enterprises has today confirmed it has developed the worlds first secure 5 In 1 digital health passport and wallet. V-Health Passport(TM) is a crucial 'safe technology enabler' in reviving global economies, home lives and helping Governments, business and industry to start returning to work and normality.











The cross border, cross corporation V-Health Passport(TM) can be used by international Governments, consumers and companies to authenticate a persons true identity, their Covid test results and vaccinations. This 'enabler' allows them to prove their test and/or vaccination status. Uniquely the V-Health Passport(TM) has its own contact tracing capability using anonymised data, whilst also protecting citizens data and privacy with a concept in the vein of 'self sovereign identity'.

Manchester headquartered VSTE have innovated the V-Health Passport(TM) to be the most secure digital health passport and wallet in the world, but at the same time multi functional and future proof to deal with all future pandemics;

The V-Health Passport(TM) has 5 key 'enabling' features to its technology;

– Powered by the worlds most secure cyber security coding technology VCode(R) it is the worlds most secure 'next generation' code scanning technology using a closed loop system with end to end encryption and 2.2 Quintillion collision free codes (A VCode(R) can only exist once due to being encoded from a centralised system).
– V-Health Passport(TM) is a test agnostic system so it can record results from all global Covid testing manufacturers and protocols from PCR to rapid antigen and antibody testing.
– V-Health Passport(TM) also has its own unique contact tracing capability 'True Contact(TM)' built within the technology designed for travel, sports stadiums, venues, factories, offices and construction sites.
– The ultra-secure platform can now also hold vaccination records of all the major vaccination manufacturers which will be crucial in a person validating they have been vaccinated, the vaccine type, batch, dosage and date.
– Uniquely V-Health Passport(TM) is the only health wallet and cross border platform in the world that is multi-functional and GDPR compliant. It allows acts like 'self sovereign identity', meaning a citizens personal data is protected and they choose what they want to share and with whom they want to interact or authorise.

But at the same time tech boss Louis-James Davis – CEO of VST Enterprises warned of the potential dangers and reliance on using QR code scanning technology within any form of health passport for airline travel or entry into a venue or workplace which could lead to potential security breaches of personal data and information.

It follows the hack and breach earlier this year of the former Australian Prime Minister Tony Abbot whose Quantas airline boarding card was hacked and details revealed including his passport number, mobile phone number and Qantas airline messages referring to the former PM.

Louis-James Davis went on to state that both bar codes and QR codes – which represent first and second generation technology – are unsecure and vulnerable to hacking.

"QR codes were originally developed as a scanning technology for close proximity car parts tracking, a world away from Identity and banking use cases and now digital health passports. It was then used to skip the input of websites in marketing and promotional purposes. They were simply never designed with security or privacy in mind… they are simply not fit for purpose and should not be used at all in any form for delivery of sensitive information, travel or event tickets or health passport. QR codes can be subject to a process called 'Attagging or 'cloning.' Louis-James Davis said.

Davis also warned that the public will not tolerate breaches of their personal data and information along with their already existing and heightened concerns over privacy during the pandemic. He continued;

"Attagging is where a 'genuine QR code' is replaced by a 'cloned QR code' which then redirects the person scanning that code to a similar website where personal data can be intercepted and breached. The problem is that serious that in India alone there are over 1 BILLION fraudulent financial transactions each day using QR codes. As the scanning user journey is the same, it is only tech savvy individuals that may notice the domain name has changed."

As reported by a recent Forbes Magazine investigation, it is predicted that over 11 Million households in the US alone will scan a QR code this year and the majority of them, some 71% of people who have interacted with a QR code will not know if it is the start of a malicious hack. It is envisaged that over 5.3 Billion QR codes will be redeemed this year making it one of the fastest growing tech scanning interactions and also posing one of the greatest cyber threats.

QR codes can be cloned and redirected to other information points or websites. Often criminals and hackers will exploit this by putting a fake QR code over a genuine QR code. So a QR code for example on scanning would link to the genuine website www.similardomain.com but a fake QR code can be made up printed off and placed over the genuine code to redirect to www.similar-domain.com at this point the member of the public is tricked into entering their personal information, private data and financial information. The rogue website looks and feels exactly like the genuine one and is made to mirror it precisely.

VCode(R) which is the ultra secure digital code which powers the V-Health Passport(TM) cannot be cloned. Even if it was printed off, or a photograph was taken and placed over a VCode(R) or V-Health Passport(TM) it simply wont scan as it works on a call and response system of information between the code and web platform to verify location of the code, user ID and time and date and much more."

Louis-James Davis said; "We developed and built the V-Health Passport and health wallet to be the most secure technology on the planet that you could use as a health passport where you could combine your test status, vaccination record, boarding pass, airline ticket, music or sports ticket all in one app.

With V-Health Passport(TM) we wanted to provide functionality and greater mobility to allow citizens to return to work, be fit to fly or return to the sports stadiums. But at the heart of the technology was the ability to protect and respect data privacy of the individual.

The lack of engagement and interaction by the public with Government track and trace app/s over the pandemic was over privacy, security of data and the tracking of a persons live location. This is why we have built a unique system in the vein of 'Self Sovereign ID' with the ethics of privacy & security by design. The V-Health Passport(TM) puts the citizen in control in a way which they share information with who, when and where."

By having a technology health wallet which confirms your Covid test status and your vaccination record/s it then becomes a 'safe technology enabler' to assist Governments, companies, consumers and organisations to resume greater mobility and returning life back to normality. But critically this technology will help revive and restore economic prosperity.

V-Health Passport(TM) will help employers safely return their employees back to their offices, factories and warehouses. It will facilitate airlines to allow their passengers to be fit to fly and avoid the need for quarantine restrictions. At the same time it will ensure their airline ticket or boarding pass is secure and won't be hacked.

V-Health Passport(TM) will allow sports fans to return to the stadiums at capacity and not at the current socially distanced crowd protocols of 2000 fans. It will help get the hospitality sector back on its feet welcoming customers back. Because of the way V-Health Passport(TM) is designed – based on interaction and incentive – the hospitality sector can engage with with unique offerings and discounts to its customers.

V-Health Passport(TM) will help the Live music and entertainment sectors resume their concerts and performances in arenas, stadiums and theatres. They will be safe in the knowledge that fans have either been tested or vaccinated and can authenticate their status.

A citizen will be able to share their health pass and confirm their Covid test status, or present their vaccination record. They will also be able to show their credit score, work permit or visa, scan their travel or event pass. At the heart of each interaction they will have peace of mind that their data and information is highly secure and ultimately, they control who sees what, who scans what, where and when.

For more information on V-HEALTH PASSPORT(TM).
https://v-healthpassport.co.uk

For more information on VCode(R) and VPlatform(R) technology please visit
https://www.vstenterprises.com

For all media enquiries
Please contact Gerard Franklin – Head Of Communications & External Relations
M: 07885 388398 e: gerard@vstenterprises.com
VST Enterprises Ltd | The Lexicon | Mount Street | Manchester | M2 5NT

SOURCE: VST Enterprises Ltd & VHealth Passport

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

BTX Capital Announces $3M Investment in Partnership with TheAPIS, an Open Source API Platform

CALIFORNIA, USA, Dec 4, 2020 – (ACN Newswire) – TheAPIS, an open source, decentralized API platform, has announced a $3 million strategic investment from BTX Capital, a leading crypto investment bank. With their new partnership, they aim for a new era in which developers receive a share in the profits made by companies that benefited from the economies of scale and network effects they made possible.





TheAPIS is a developer-built platform that manages communications between DApps and blockchains via only a few simple APl calls, reducing the inherent complexity of blockchain protocols. The goal of their APISCore product is to manage these intricacies, to eliminate the entry barrier to dApp creation by connecting APIS to their conventional backend or even the No-Code/Low-Code app builder. The APIS empowers connectivity to multiple blockchains with the same API calls, rendering chain-agnostic implementations, with cost-free chain-switching. With cross-chain interoperability supported by APIS-Unified, projects have the capability to scale their products across various blockchains in a decentralized manner.

"We are excited to continue our synergistic relationship with BTX and are grateful for all they've already done for our current growth. We believe a future in which developers own equity in the databases that they make popular is a fairer and better future for the Web. BTX is fully aligned with us in our vision," said Calvin Pak, CEO of TheAPIS. BTX Capital is providing APIS with access to its investment, trading and advisory arms and is now in the process of connecting the network to prominent ventures and developers around the DeFi and Web3 communities.

BTX's tokens are fully locked for the following year, with the TheAPIS team reserving the right to extend the lock-up at any time over the following year. Both partners agreed that the optional extension can help ensure that incentives of the BTX and TheAPIS teams are fully aligned with TheAPIS community owners. "Our community owners are our highest priority shareholders, a non-negotiable feature of the journey of TheAPIS," Pak added.

Initially, TheAPIS would ensure that third parties are able to access data from Ethereum and Filecoin, and all other relevant blockchains with uptime guarantees. It is expected that more blockchains would be supported on the platform.

For more information, please visit the official websites.

About TheAPIS

TheAPIS offers a developer-friendly platform that serves as a turn-key solution for indexing and querying public blockchains, namely Ethereum and Filecoin. Open-sourced, developers will be able to create API packages that serve every category of blockchain applications – from DeFi to Oracle to File Storage. For more information, please visit TheAPIS official website: www.theapis.io

About BTX Capital

BTX Capital is a leading crypto investment bank offering technical consulting services across the blockchain spectrum. Its staff comes from listing departments for top crypto exchanges and top token funds. Through their consulting services on the offering of plans and personnel and their in-house marketing department, BTX Capital strives to provide the most effective services to empower top-tier blockchain projects to meet the demands of first-tier exchanges. For more information, please visit the BTX Capital official website: www.btxcap.com

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Tonghai Financial Awarded CarbonCare ESG Label

HONG KONG, Dec 4, 2020 – (ACN Newswire) – China Tonghai International Financial Limited ("Tonghai Financial" or the "Group"), is pleased to announce that it has been supporting partner of 2020 CarbonCare ESG Label and earned The CarbonCare ESG Label granted by CarbonCare InnoLab in recognition of its excellence in the sustainability development and efforts towards a greener future.



Ms. Mandy Lo, Associate Director – PR and Communications of Tonghai Financial (center) attended the award ceremony and accepted the award






Tonghai Financial had been playing active role in important environmental issues. The CarbonCare ESG Label signifies the success of the Group's effort in sustaining a green environment, and also a ringing endorsement of the commitment in providing a high standard of Environmental, Social, Governance (ESG) report for stakeholders. With the theme of "Race to Zero for Sustainable Recovery", CarbonCare Label 2020 aims to rally leadership and support from businesses, cities, regions and investors worldwide for a healthy, resilient, zero carbon recovery after the pandemic. Looking ahead, the Group will respond to the call by promoting environmental conservation in the communities and raising green awareness among its employees, so as to further enhance long term sustainability as well as contribute to the green development of the society.

The CarbonCare ESG Label, awarded by CarbonCare InnoLab and certified by Carbon Care Asia, aims to recognise corporations that afford high standards of reporting and credible plans for reporting improvements. The quality of the Label and the integrity of the Protocol are overseen by an expert advisory panel comprising leading academics and professionals in the field of carbon management and sustainable development in Hong Kong.

About China Tonghai International Financial Limited
China Tonghai International Financial Limited (the "Company", Stock Code: 00952.HK) is a Hong Kongbased financial services group which is listed on the Main Board of The Stock Exchange of Hong Kong Limited. The Company was publicly listed in Hong Kong in 1997 and joined the big family of Oceanwide Holdings Co., Ltd. (Stock Code: 000046.SZ) in 2017. Tonghai Financial is committed to building a comprehensive, full-licensed integrated financial platform. The core businesses of the Company are brokerage business, interest income business, corporate finance business, asset management business and investments and others businesses. The Company strives to become the ideal partner for both corporate and individual investors in Hong Kong and China. The Company also offers premier one-stop financial services to its clients. The Company continued to provide capital markets services through its representative office or the wholly-owned foreign enterprise in Shenzhen, Shanghai, Shenyang, Ningbo, Dalian, Beijing, Chengdu, Hangzhou and Xiamen of the PRC and through its networks of Global Alliance Partners network and Oaklins International.

For further information, please contact:
China Tonghai International Financial Limited – PR and Communications
Jane Chan Tel: (852) 2217-2888 Email: jane.chan@tonghaifinancial.com
Mandy Lo Tel: (852) 2217-2753 Email: mandy.lo@tonghaifinancial.com
Charlie Chan Tel: (852) 2217-2504 Email: charlie.chan@tonghaifinancial.com


Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Shenzhen Global Investment Promotion Conference to be held December 8

SHENZHEN, CHINA, Dec 4, 2020 – (ACN Newswire) – The 2020 Shenzhen Global Investment Promotion Conference is sponsored by the Shenzhen Municipal Government and undertaken by the Shenzhen Municipal Bureau of Commerce. It will officially start in Wuzhou Guest House on December 8th.

Since the beginning of this year, Shenzhen has actively overcome the impact of COVID-19, improved the business environment and promoted the projects of domestic and foreign investment enterprises. Shenzhen also plans to consolidate its position as a target of foreign investment by providing an attractive package of incentive policies, including land, talents, industry, technology and business environment.

"The conference is an extremely important platform to showcase the ambition of the city, a pilot demonstration area of socialism with Chinese characteristics, and to give further impetus to its trajectory," commented a spokesman of the city's Commerce Bureau.

The conference, to be held annually, is bound to become a must-attend attraction for global investors seeking to tap into new opportunities arising from China's reform and opening up.

According to the official, despite the ongoing global COVID-19 pandemic, cyberspace has facilitated efforts which, after months of hard work, has resulted in a group of investment projects which will be signed on the site.

The conference is attracting senior executives from around 300 companies and institutes, including 65 Fortune Global 500 companies.

Besides the main venue in Shenzhen, parallel sessions in eight cities across five continents, including New York, London, Tokyo, and Sydney will be held, truly a testament to the impact Shenzhen has on the world stage.

After 40-years of development, official figures continue to show the vanguard of China's reform and opening-up remains one of the country's top investment destinations with the city utilizing $7 billion foreign investment in the first 10 months of this year alone, up 7.58 percent from a year before.

According to officials, the city's already impressive investment environment will be even further improved.

The Commerce Bureau is accelerating legislation on the promotion of foreign investment, which will offer better protect of legal rights and interests of foreign investors.

Furthermore, according to the city's Planning and Natural Resources Bureau, the city government will ensure ample supply of land space for industrial use and lower land costs for investors.

And on top of even that, the city's HR and Social Security Bureau tells us that overseas professionals in Shenzhen, who fall in to the categories of high-end talents and urgently needed talents, will be able to enjoy a subsidy on personal income tax equivalent to that in the neighboring Hong Kong SAR.

Media Contact:
Sherry Tang, swj@commerce.sz.gov.cn
Commerce Bureau of Shenzhen Municipality

Source:
http://www.sz.gov.cn/cn/xxgk/zfxxgj/zwdt/content/post_8314390.html

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Industry’s First 5G Terminal Slicing Solution Demonstrated

SHANGHAI, Dec 4, 2020 – (ACN Newswire) – UNISOC, with China Mobile, ZTE and other industry chain partners, jointly completed an application demonstration of the world's first 5G terminal slicing target solution, which indicates that 5G terminal has been equipped with the slicing capability and can provide personalized and customized services for 5G users. The demonstration took place at the 8th China Mobile Global Partner Conference, from November 19 to 21, on an independent 5G SA network designed and deployed by China Mobile, with ZTE 5G system equipment and the 5G terminal chipset by UNISOC.





The terminal slicing solution enables 5G terminals with enhanced service capabilities based on multiple business granularities such as APP ID, FQDN, IP triplet, and customized DNN. This means that slicing selection can not only provide differentiated service based on different services, but can also effectively isolate the same type of traffic and even provide differentiated and personalized services to different users on the same type of service, and support new service models such as cloud gaming, real-time video broadcasting, HD video playback and so on.

The solution is designed with a modem-centric system architecture, which enables the process of matching service feature attributes and network slicing in the modem, making subsequent capacity expansion flexible and efficient, sensitive to the business attributes and providing a variety of options for users. The new system is designed to be flexible and scalable for high-quality slicing services.

The demonstration uses an online speed measurement business scenario to visually compare the experiences of non-sliced network access and slice-assured network access. The comparison demonstrates excellent 5G slice-assured performance across categories in terms of the downlink peak rate, packet loss rate and latency in securing typical 5G services, fully realizing the slicing selection and modem-centric solutions for 5G terminals. The demonstration results showed that even with overloaded cell blocks built into the demonstration scenario, 5G slice users could still enjoy smooth download rates, extremely low packet loss rates and ultra-low latency service experiences.

Network slicing is the core technology of 5G, empowering various vertical industries. It is a powerful tool for generating new businesses, innovating business models, and increasing the value of the network. As a leading chip designer in China, UNISOC and its partners have jointly completed the end-to-end 5G network slicing application and modem-centric solution, which will promote the industrialization of slicing technology and will greatly facilitate the digital transformation. 5G development has brought vitality to a variety of industries and has led to the booming development of related industries and markets.

About UNISOC
UNISOC is a leading fabless semiconductor company committed to R&D in core chipsets for mobile communications and AIoT. With 4,500 staff, 17 R&D centers and 7 customer support centers in locations around the world, UNISOC is one of the largest chipset providers for IoT and connectivity devices in China, a global top 3 mobile chipset supplier, and the leading 5G company in the world. Please visit http://www.unisoc.com.

Media Contact
Yueying Tang, PR Team
e: yueying.tang@unisoc.com
UNISOC Technologies Co., Ltd

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Hemp Advocates Believe Incoming Biden Administration Will Signal More Opportunities for Hemp Industry: Hemp, Inc. Reports

LAS VEGAS, NV, Dec 4, 2020 – (ACN Newswire) – Hemp, Inc. (OTC PINK: HEMP), a global leader in the industrial hemp industry with bi-coastal processing centers, reported today hemp advocates believe the incoming Biden administration will support the hemp industry based on its previous dealings with the U.S. Department of Agriculture (USDA) and hemp's ability to reduce carbon dioxide levels as noted in the article "Hemp Advocates Encouraged by President-Elect Biden's USDA Transition Team" posted on Hempgrower.com.

"Once the President-Elect Biden is in office, I believe the hemp industry will see major policies implemented favoring our industry and the timing couldn't be better as we rev up to launch one of our most aggressive marketing campaigns to date. Our goal has always been to produce top-of-the-line CBD and CBG smokable products and CBD consumption options that fit consumer lifestyles and deliver unparalleled results so we're definitely excited for what's to come," says Bruce Perlowin, CEO of Hemp, Inc. (OTC: HEMP).

The article states, "The Biden administration recently named Robert Bonnie, USDA's Under Secretary for Natural Resources and Environment in the Obama administration, to lead efforts to implement agency policies, set management agendas, and select personnel." Hemp advocates previously found Bonnie to be very supportive of the hemp industry in past discussions.

According to Jonathan Miller, general counsel for industry association Hemp Roundtable, Robert Bonnie met several times with hemp representatives to discuss critical issues of concern to the industry. "While it is hard to say what this will mean during the Biden administration, what we do already know is that the hemp industry will get a fair hearing during the transition process," said Miller.

Additionally, Geoff Whaling, National Hemp Association's (NHA) board chairperson, has already reached out to Bonnie and the rest of the 17-person team to advocate for hemp. The article noted that "Whaling has updated the USDA transition team on the agency's interim final rule for hemp and industry and state challenges to it. He has also discussed the industry's concerns with the Drug Enforcement Agency's interim final hemp rule designating hemp byproducts as a controlled substance and what it sees as the agency's efforts to avoid public input on the rule."

To read the full article, visit https://bit.ly/39EO0zC.

Hemp, Inc. expects to aggressively ship out its product line to stores, across the country, over the next 30-60 days. To date, the King of Hemp(R) product line consists of Bubba Kush hemp; CBD Pre-rolls, Fortified CBD Pre-rolls, CBD and CBG Caviar/Moon Rocks; and Diamonds (which are 96%-98.7% CBD, the only product like this in the marketplace today). Midnight Express-Find Your Freedom pre-roll line, Hemp, Inc.'s second brand, is also launching and will also later include a total of 50 brands. As of today, some of those brands will include the Daring and Dashing Smith Brothers (the legendary and infamous smugglers from South Florida); the Dockmaster; The Barron of Barges; The Duke of Dope; Carol the Courier; Al the Good Bad Guy; The Golden Dragon Lady; Randy the Racer; Boston Billy; Dopey Don the Genius; and, more.

According to Perlowin, they are the smugglers of yesteryear and will each have their own special strains, blends and flavors.

The other King of Hemp(R) products already in the market are its Diamonds and Crumbles (smaller Diamond pieces) are dabbable CBD products, derived from a golden-hued high CBD, THC-free distillate taken directly from the hemp plant that includes blends of valuable terpenes. Diamonds and Crumbles promise to deliver the strongest, most potent effects of any other product from the line containing between 96% and 98.7% pure CBD.

The Company's website for its King of Hemp(R) line (www.kingofhempusa.com) also has CBD oil tinctures available for purchase. The tinctures are available in two flavors, Natural and Peppermint, and contain full-spectrum hemp oil extracted from the flowers and leaves of hemp plants sustainably sourced from Colorado. They are also compliant with the regulations created by the Colorado Department of Agriculture in regards to industrial hemp. The tinctures contain 0.3% or less THC and are compliant with the 2018 Farm Bill.

To learn more, go to the King of Hemp(R) website at https://bit.ly/3oowK5t.

Hemp, Inc.'s newest division, Medical and Recreational Marijuana, is also underway to enter the cannabis market in 2021 once marijuana is fully legalized across the country. According to Perlowin, banks and merchant account providers will be more open and accepting of marijuana companies. Right now, the banking regulations for marijuana companies are very draconian. "I've known so many banks to close accounts merely because they were associated with the industry. Anyway, we don't know if we'll wait for full legalization yet but that decision won't discount the building out of facilities and preparation for it. After legalization occurs and large scale marijuana grows are underway, this division will already be positioned as the 'go-to' consultant due to our industry expertise," said Perlowin.

According to Nielsen, market researchers project 2020 sales in the current smokable-hemp market to reach $70 million to $80 million. This category includes loose CBD flower, hemp-CBD pre-rolls, cigars and other inhalables.

To see one-minute videos of Hemp, Inc.'s current activities, visit Bruce Perlowin's personal Facebook fan page, where he shares posts of Hemp, Inc.'s activities around the country. Additionally, follow Hemp, Inc. on Instagram (https://bit.ly/39QTzLt) and on Twitter (https://bit.ly/36ARwJe).

Those interested in King of Hemp(R) pre-rolls; hemp-derived CBD tinctures; Caviar; Diamonds; should visit www.kingofhempusa.com or email sales@kingofhempusa.com.

To view the webinar featuring Hemp, Inc.'s CEO, Bruce Perlowin, visit https://bit.ly/3mFTPAc.

This press release continues, to read the complete release, please visit https://bit.ly/3oiUFU3.

WHAT IS HEMP, INC.?

What is Hemp, Inc.? With a deep-rooted social and environmental mission at its core, Hemp, Inc. seeks to build a business constituency for the American small hemp farmer, the American veteran, and other groups experiencing the ever-increasing disparity between tapering income and soaring expenses. The Company is on a mission to be a powerful engine for social change and economic revival, worldwide, by providing hemp products that are eco-friendly, sustainable and healthy. Hemp, Inc. executives believe there can be tangible benefits reaped from adhering to a corporate social responsibility plan. Visit Hemp, Inc. at hempinc.com.

Contact:
Hemp, Inc.
855-436-7688
ir@hempinc.com

More Contacts:
flower@hempinc.com
hempu@hempinc.com
ctinney@hempinc.com



Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Hidden Arbitrage Opportunities behind Privatisation of CIMC-TianDa (0445.HK) May Significantly Increase Probability of Approval

HONG KONG, Dec 3, 2020 – (ACN Newswire) – On 30 November, CIMC-TianDa issued a joint announcement regarding, among other matters, the dispatch of privatisation scheme circular.







According to the announcement, Sharp Vision, a wholly-owned subsidiary of CIMC, and Expedition Holding, as the joint offerors, made a privatisation proposal to CIMC-TianDa. The privatisation price is HK$0.266 per share, a 20.36% premium to the closing price of HK$0.221 on the last trading day.

Assuming that Sharp Vision will not exercise the right to convert its convertible bonds, the joint offerors and their concert parties hold 12.574 billion shares, representing approximately 75.58% of the issued share capital of CIMC-TianDa, while independent shareholders hold 4.064 billion shares, representing approximately 24.42% of the issued share capital. The maximum amount of cash consideration required to effect the privatisation proposal will be HK$1.082 billion.

As shown in the announcement, the joint offerors and their concert parties have appointed ABCI Capital, Zhongtai Capital and Donvex Capital as their joint financial advisers (FA) in connection with the privatisation proposal. In its announcement issued on 19 October, CIMC-TianDa has appointed Gram Capital Limited as the independent financial adviser to advise the Independent Board Committee.

The fact that a total of four financial companies provide professional advice in a privatisation case of this magnitude is groundbreaking, which reflects the determination of the joint offerors and their concert parties for a successful privatisation scheme.

As shown in the shareholding structure, Sharp Vision is a wholly-owned subsidiary of CIMC, while Expedition Holding is wholly-owned by Macao QiXin Investment Management Limited whose shareholders are CNIC of SDIC, TUS-S&T Service Group, and Tus-Financial Group. These three SOEs are strong shareholders with extensive experience and professional talents in the fields of international investment and M&A, national strategic investment, private equity investment in emerging industries, start-up investment, asset management, and financial investment banking services. The combination of QiXin Investment and the four competent financial advisers demonstrates the resolution of CIMC and SDIC in succeeding the privatisation deal.

CIMC-TianDa plans to be privatised by way of a scheme of arrangement, a higher probability of success

There are two main ways to privatise a listed company in Hong Kong – one is by way of a scheme of arrangement and the other is by way of a voluntary general offer.

These two privatisation ways share one thing in common, which is that the controlling shareholders, as the joint offerors, and their concert parties, don't get to vote, even if they hold a majority of shares. In fact the success of a privatisation proposal depends on the votes of independent shareholders.

The difference is that, in the case of privatisation by way of a voluntary general vote, it requires not only the approval of independent shareholders through voting at the extraordinary general meeting (EGM), but also that independent shareholders should, on the basis of their shareholdings, accept the offer made by the offerors. When the offer period ends, the offerors will have to obtain acceptances which in aggregate represent no less than 90% in value of the shares for which the offer is made.

It is quite a demanding requirement to satisfy. Some shareholders may find the offer price unattractive, while others may not even notice the offer information. As a result, the threshold for privatisation by way of a voluntary offer is very high, which is generally less appealing to independent shareholders.

Relatively speaking, privatisation by way of a scheme of arrangement in Hong Kong stock market stands a higher probability of success.

Based on public information on the HKEX website, from January 2019 to September 2020, 33 privatisation offers had been announced by companies listed on the HK's stock exchange (excluding those made by H-share companies). Among which, all the 11 privatisation proposals announced in 2019 were completed with shares delisted. For the 22 offers announced during the nine months ended 30 September 2020, one offer closed without being privatised, seven were successfully completed, one is pending listing withdrawal, and 13 are ongoing. Out of the 33 privatisation offers, only three were made through voluntary general offers, while the remaining 30 were made by way of schemes of arrangement.

Moreover, based on the SOE privatisation cases, it can be concluded that privatisation by way of a scheme of arrangement is more likely to succeed. We'd like to elaborate on it with two typical examples, a successful one and a failing one. On 27 September 2018, Sinotrans Shipping (0368.HK) made an announcement, proposing the withdrawal of its listing and privatisation by way of a scheme of arrangement. At the EGM held on 13 December 2018, 99.3% of the shares held by independent shareholders were voted in favour of privatisation, and only 0.7% of the shares were voted against it. At the Court Meeting held on the same day, 95.8% of the votes held by independent shareholders voted in favour of privatisation, while only 2.0% voted against it. As the conditions were fulfilled, the listing of Sinotrans Shipping on the Hong Kong Stock Exchange was withdrawn on 16 January 2019 and the privatisation was completed.

Another SOE privatisation proposal is that on 12 December 2018, Harbin Electric Company (1133.HK) and its parent company, Harbin Electric Corporation, made a joint announcement that Harbin Electric Corporation would make a voluntary conditional cash offer to acquire all the issued H Shares of Harbin Electric Company (i.e. by way of a voluntary general offer). The H Share Offer was HK$4.56 in cash for each H Share. In the following process, although the deal was approved at the general meeting of shareholders, the offer failed to meet the 90% threshold for acceptance of independent shares within the prescribed period, thus declaring the privatisation unsuccessful. The company's share price plunged from around HK$3.80 all the way to the lowest HK$1.45, with a cumulative decline of over 60%.

The latest quotation of Harbin Electric, which is still listed, is HK$2.52 per share, lower than the privatisation offer price proposed by the offeror two years ago. The market risks associated with a failed privatisation offer can be extremely significant. Unless the assets of the target company are of particularly high quality, or unless the majority shareholders and their concert parties believe that the timing is right, the chances of going private again are actually slim.

State-owned enterprise privatisation adopts the more successful, more reliable and much easier approach. Actually, it should also exemplify the deep sense of responsibility of any offeror to safeguard the interests of all shareholders.

However, we could return to the analysis of the privatisation case of CIMC-TianDa. the Company chose the scheme of arrangement for its privatisation proposal in accordance with its circular.
For the priviatisation under a scheme of arrangement, two conditions as below shall be firstly fulfilled:

(1) at the Court Meeting of privatisation, the scheme shall be approved by more than 75% of the votes cast by the independent shareholders present at the meeting;
(2) at the Court Meeting of privatisation, the scheme shall not be against by more than 10% of the votes cast by the independent shareholders present at the meeting.

In addition, we are required to pay attention to the matters in relation to the place of incorporation as it is necessary to satisfy relevant requirements stipulated by that place apart from the above two conditions to undertake the privatisation by the way of a scheme of arrangement. Many investors are often hindered by blind spots due to lack of professional expertise, ultimately influencing their investment decisions and judgments, which is common for the privatisation at Hong Kong share market.

We would take the privatisation of CIMC-TianDa as an example. The circular indicates that the Company is a listed company incorporated in Cayman Islands. In accordance with Section 86 of Companies Law of the Cayman Islands, a listed company in Cayman Islands has to fulfil the requirement for proposed privatisation: more than 50% of the shareholders present at the Court Meeting approve the privatisation proposal, no matter the number of the shareholding held by such shareholders, commonly referenced to as Clause of "Head Counting".

Under this situation, where the privatisation proposal is approved by voting at the general meeting and the court meeting and other conditions for privatisation have been fulfilled (Clause of "Head Counting"), the independent shareholders could just await until the listed company takes over their shares in accordance with the remaining procedures and returns them the considerations. In conclusion, once the conditions of the privatisation have been fulfilled, the shareholding of independent shareholders shall be taken away ultimately. No matter whether these independent shareholders have participated in the voting or voted against the proposal, they shall comply with the final resolution passed by the general meeting and the court meeting on the basis of the "Majority Rule".

Where the companies incorporated in PRC are desirous to undertake privatisation by means of a scheme of arrangement, they don't have to abide by the Clause of "Head Counting". Meanwhile, in accordance with the Company Law of the People's Republic of China, the shares of the medium and small shareholders shall not be taken over by mandatory offer. Regarding the listed companies registered in mainland China, the independent shareholders are protected to proactively submit their application of acceptance for their shares in accordance with relevant offer and transfer their shares to an offeror even the privatisation is approved by votes at the general meeting. Otherwise, the independent shareholders who have not accepted the offer will become the shareholders holding the non-negotiable shares after their listed company delists in accordance with the privatisation procedures.

Identifying the arbitrage opportunities behind the privatisation, the "winner-takes-all" will elevate the success rate of privatisation

With the above discussions, we could observe that the listed companies registered in Cayman Islands have the strength to approach privatisation more easily and they are privatised more completely if they succeed in privatisation. Moreover, it is important that it is easier for them to achieve cohesion and win-win situation with independent shareholders and avoid the chance of intense wrangling and severe confrontation.

Coming back to the perspective of market and transactions, it is more likely to produce the fixed mode of arbitrage as it is more predictable. In other words, it is more likely to attract leading investment companies or individual and investment organisations to increase the share capital to facilitate the approval of relevant proposal and realise the expected return of the consideration in the offer of privatisation in short term.

With conclusion and summarisation of numerous privatisation cases, we found that as long as the privatisation proposal is implemented by means of a scheme of arrangement(instead of the voluntary general offer), companies are the listed companies registered in Cayman Islands(required to comply with Section 86 of the Companies Laws of Cayman Islands) and the dominant controlling shareholders and their persons acting in concert work together to expedite and implement such project, the implied essence is "winner-takes-all" under the principle of the privatisation.

Now we could consider and reason from the perspective of a qualified leading investment company or individual or a professional organisation and approach to understand purely in terms of expected rate of return or expected annualised rate of return and assets allocation.

As the circular demonstrates, the court meeting and the EGM shall be convened within this month. If it is approved successfully, the shareholding of each independent shareholders shall be delisted on the stock exchange with the procedures on 25 January of next year and effect on the same day as expected. The independent shareholders are expected to receive the cash cheque paid by the offerors and their concert parties of the privatisation on or before 1 February of next year.

At the court meeting and the EGM, if the privatisation proposal is passed, alternatively, after the "Showdown", the subsequent procedures shall be followed as routine and the uncertainties will be eliminated. On that basis, the share price of CIMC-TianDa is likely to soar close to HKD 0.2666 per share after the proposal is passed and it is the period to realise fastest growth of the rate of return.

So now let's do some calculations. Based on the closing price of CIMC-TianDa at HK$0.245 on 1 December, the privatisation implied an absolute return of 8.57% after the resolution was passed. We will roughly take 8% as the expected rate of return for the calculation. From 2 December to 28 December (the first trading day when the voting result is announced), there are only 27 calendar days. The expected annualised rate of return appropriately exceeds 100%., It is impossible not to attract their attention from large capital allocation perspective.

If they do, the biggest risk they face is actually the rejection of the privatisation proposal. Then just work hard in the direction to get the privatisation proposal passed. What should we do? It's very simple. There are only three action points: (1) Observe market trends and seek for conspirators; (2) Buy the shares, attend the general meetings and court meetings as independent shareholders, and vote in favor of the privatisation proposal; (3) Reasonable assumptions and verification, analysis shows that investors who buy into the first two ideas are mostly shareholders.

In fact, the most critical point is the third point, we might as well have a logical deduction.

If independent shareholders expect that the privatisation proposal will not be passed (or the probability of passing is low), the most favorable option for them (in order to avoid risks) is to sell at the current price, rather than to hold onto the shares and wait until the general meeting and the Court Meeting to cast an objection. Because based on rationality and human nature, they most likely will not harm themselves. Therefore, those who will not sell but will vote at the shareholders meeting can be regarded as a negligible small group.

The second type refers to those who hold onto the shares but will no vote at the shareholders meeting, which we can ignore as they will not affect the polling result.

The third type refers to those who have sold the shares. Since shares have been sold, the person loses the voting right and has no impact on the result.

The last type refers to the major crowd, who are holding onto or are continuous buying, and are joining the shareholders meetings to cast the votes. Given their motives and reasons are very sufficient and necessary, which have been discussed above, we will skip the explanation here.

To come to a direct and simple conclusion: opponents will tend to sell; investors who are in favor of the privatisation proposal and can obtain their expected returns on the basis of approval, or form a sound arbitrage model, will prefer hold onto or to continuous buy the shares.

This is driven by the underlying rule of "winner takes all". Under this rule, the probability of the privatisation proposal being passed has been repeatedly blessed and consolidated on the basis of the relatively high probability.

After the announcement of the privatisation proposal of CIMC-TianDa on 4 October, its trading volume continued to be dynamic, as opposed to its previous silent status and the stock price was stable. From a trading perspective, once an investor is willing to sell, then there are always investors on the other side willing to buy. Because the selling power is always lower than the buying power for position accumulation within a certain price range, this causes the stock price to trade sideways. The relatively larger trading volume than the previous period indicates the continuous trading momentum.

Understanding the logic and motives behind the trading and knowing the "calculations" of the core traders in the market is the best answer and explanation for understanding this phenomenon.

We believe, even ordinary investors who will not participate in the voting, should consider the free-rider strategy – a bold attempt to ride on the privatization of CIMC-TianDa for some profits.


Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Moonstake Collaboration Webinar: “The future of blockchain: the case of Neo3”

SINGAPORE, Dec 3, 2020 – (ACN Newswire) – Moonstake will hold a joint webinar with NEO, "The future of blockchain: the case of NEO3" on 3rd of Dec, 2020. It will be held from 3PM Singapore/Beijing time.





NEO, also known as Ethereum in China, launched the mainnet three years ago and has been in stable operation for over three years. This year, NEO announces the NEO3 testnet, which further enhances network security and governance.

In this webinar, we will talk about recent NEO efforts, focusing on NEO3 functions and smart contract systems. In addition, NEO's participation in BSN (Business Service Network, an organization that promotes blockchain strategy in China) and will also introduce IWA (InterWork Alliance, an NPO that promotes blockchain innovation, in which Microsoft, Accenture, IBM, Nasdaq, etc. participate).

Moonstake and NEO signed a partnership in July this year with the aim of promoting staking activity together with developing blockchain. Please Join us for a joint webinar with NEO, a leader in the global blockchain industry.

About this Webinar:
TOPIC: "The future of blockchain: the case of Neo"
DATE & TIME : 3rd of Dec, 3PM in Singapore/Beijing time (GMT+8)
SPEAKERS:
– Shogo Ishida, Advisor of Moonstake
– Denis Suslov, Neo Ecosystem Growth Manager

IN THIS WEBINAR, YOU WILL LEARN:
– Neo3
– Neo File System
– Neo decentralized identity
– Organizations that Neo joined recently: BSN (China) and IntertWork Alliance (USA)
– Q&A

Pre-registration is required to participate, so please register from the link below. RSVP Today to take advantage of this free webinar.
https://us02web.zoom.us/webinar/register/WN_AWAeDMySTeuq7OWHxXx9LA

About Moonstake

Moonstake was recently established to develop a staking pool protocol to satisfy increasing demands in regional and global blockchain markets. Moonstake develops a staking pool protocol and provides business services through partners and companies.

Moonstake aims to be the largest staking pool network in Asia by providing an active environment for crypto asset holders. Establishing a clear partnership roadmap with Moonstake represents another significant milestone for continuing to strengthen ties with leading platforms across Asia's burgeoning Distributed Ledger Technology (DLT) ecosystem. Partnership has been announced with Emurgo, Ontology and NEO to boost staking adoption, Binarystar, Japan's biggest blockchain hub, OIO Holdings Limited (SGX: OIO), a Singapore Catalist-Listed company. Industry's reputed advisors, such as Lisk and Lawrence Lim of RAMP DEFI support Moonstake's innovative journey.

With the full-scale operation in August, we expanded our business and as of November, our total staking assets exceeded over $90 Million. https://www.moonstake.io/

About NEO

NEO is an open-source platform driven by the community. It utilizes blockchain technology and digital identities to digitize and automate the management of assets using smart contracts. Using a distributed network, it aims to create a smart economy by building infrastructures of the next-gen Internet and creating a solid foundation for mass blockchain adoption. https://NEO.org

Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Hidden Arbitrage Opportunities behind Privatisation of CIMC-TianDa (0445.HK) May Significantly Increase Probability of Approval

HONG KONG, Dec 3, 2020 – (ACN Newswire) – On 30 November, CIMC-TianDa issued a joint announcement regarding, among other matters, the dispatch of privatisation scheme circular.







According to the announcement, Sharp Vision, a wholly-owned subsidiary of CIMC, and Expedition Holding, as the joint offerors, made a privatisation proposal to CIMC-TianDa. The privatisation price is HK$0.266 per share, a 20.36% premium to the closing price of HK$0.221 on the last trading day.

Assuming that Sharp Vision will not exercise the right to convert its convertible bonds, the joint offerors and their concert parties hold 12.574 billion shares, representing approximately 75.58% of the issued share capital of CIMC-TianDa, while independent shareholders hold 4.064 billion shares, representing approximately 24.42% of the issued share capital. The maximum amount of cash consideration required to effect the privatisation proposal will be HK$1.082 billion.

As shown in the announcement, the joint offerors and their concert parties have appointed ABCI Capital, Zhongtai Capital and Donvex Capital as their joint financial advisers (FA) in connection with the privatisation proposal. In its announcement issued on 19 October, CIMC-TianDa has appointed Gram Capital Limited as the independent financial adviser to advise the Independent Board Committee.

The fact that a total of four financial companies provide professional advice in a privatisation case of this magnitude is groundbreaking, which reflects the determination of the joint offerors and their concert parties for a successful privatisation scheme.

As shown in the shareholding structure, Sharp Vision is a wholly-owned subsidiary of CIMC, while Expedition Holding is wholly-owned by Macao QiXin Investment Management Limited whose shareholders are CNIC of SDIC, TUS-S&T Service Group, and Tus-Financial Group. These three SOEs are strong shareholders with extensive experience and professional talents in the fields of international investment and M&A, national strategic investment, private equity investment in emerging industries, start-up investment, asset management, and financial investment banking services. The combination of QiXin Investment and the four competent financial advisers demonstrates the resolution of CIMC and SDIC in succeeding the privatisation deal.

CIMC-TianDa plans to be privatised by way of a scheme of arrangement, a higher probability of success

There are two main ways to privatise a listed company in Hong Kong – one is by way of a scheme of arrangement and the other is by way of a voluntary general offer.

These two privatisation ways share one thing in common, which is that the controlling shareholders, as the joint offerors, and their concert parties, don't get to vote, even if they hold a majority of shares. In fact the success of a privatisation proposal depends on the votes of independent shareholders.

The difference is that, in the case of privatisation by way of a voluntary general vote, it requires not only the approval of independent shareholders through voting at the extraordinary general meeting (EGM), but also that independent shareholders should, on the basis of their shareholdings, accept the offer made by the offerors. When the offer period ends, the offerors will have to obtain acceptances which in aggregate represent no less than 90% in value of the shares for which the offer is made.

It is quite a demanding requirement to satisfy. Some shareholders may find the offer price unattractive, while others may not even notice the offer information. As a result, the threshold for privatisation by way of a voluntary offer is very high, which is generally less appealing to independent shareholders.

Relatively speaking, privatisation by way of a scheme of arrangement in Hong Kong stock market stands a higher probability of success.

Based on public information on the HKEX website, from January 2019 to September 2020, 33 privatisation offers had been announced by companies listed on the HK's stock exchange (excluding those made by H-share companies). Among which, all the 11 privatisation proposals announced in 2019 were completed with shares delisted. For the 22 offers announced during the nine months ended 30 September 2020, one offer closed without being privatised, seven were successfully completed, one is pending listing withdrawal, and 13 are ongoing. Out of the 33 privatisation offers, only three were made through voluntary general offers, while the remaining 30 were made by way of schemes of arrangement.

Moreover, based on the SOE privatisation cases, it can be concluded that privatisation by way of a scheme of arrangement is more likely to succeed. We'd like to elaborate on it with two typical examples, a successful one and a failing one. On 27 September 2018, Sinotrans Shipping (0368.HK) made an announcement, proposing the withdrawal of its listing and privatisation by way of a scheme of arrangement. At the EGM held on 13 December 2018, 99.3% of the shares held by independent shareholders were voted in favour of privatisation, and only 0.7% of the shares were voted against it. At the Court Meeting held on the same day, 95.8% of the votes held by independent shareholders voted in favour of privatisation, while only 2.0% voted against it. As the conditions were fulfilled, the listing of Sinotrans Shipping on the Hong Kong Stock Exchange was withdrawn on 16 January 2019 and the privatisation was completed.

Another SOE privatisation proposal is that on 12 December 2018, Harbin Electric Company (1133.HK) and its parent company, Harbin Electric Corporation, made a joint announcement that Harbin Electric Corporation would make a voluntary conditional cash offer to acquire all the issued H Shares of Harbin Electric Company (i.e. by way of a voluntary general offer). The H Share Offer was HK$4.56 in cash for each H Share. In the following process, although the deal was approved at the general meeting of shareholders, the offer failed to meet the 90% threshold for acceptance of independent shares within the prescribed period, thus declaring the privatisation unsuccessful. The company's share price plunged from around HK$3.80 all the way to the lowest HK$1.45, with a cumulative decline of over 60%.

The latest quotation of Harbin Electric, which is still listed, is HK$2.52 per share, lower than the privatisation offer price proposed by the offeror two years ago. The market risks associated with a failed privatisation offer can be extremely significant. Unless the assets of the target company are of particularly high quality, or unless the majority shareholders and their concert parties believe that the timing is right, the chances of going private again are actually slim.

State-owned enterprise privatisation adopts the more successful, more reliable and much easier approach. Actually, it should also exemplify the deep sense of responsibility of any offeror to safeguard the interests of all shareholders.

However, we could return to the analysis of the privatisation case of CIMC-TianDa. the Company chose the scheme of arrangement for its privatisation proposal in accordance with its circular.
For the priviatisation under a scheme of arrangement, two conditions as below shall be firstly fulfilled:

(1) at the Court Meeting of privatisation, the scheme shall be approved by more than 75% of the votes cast by the independent shareholders present at the meeting;
(2) at the Court Meeting of privatisation, the scheme shall not be against by more than 10% of the votes cast by the independent shareholders present at the meeting.

In addition, we are required to pay attention to the matters in relation to the place of incorporation as it is necessary to satisfy relevant requirements stipulated by that place apart from the above two conditions to undertake the privatisation by the way of a scheme of arrangement. Many investors are often hindered by blind spots due to lack of professional expertise, ultimately influencing their investment decisions and judgments, which is common for the privatisation at Hong Kong share market.

We would take the privatisation of CIMC-TianDa as an example. The circular indicates that the Company is a listed company incorporated in Cayman Islands. In accordance with Section 86 of Companies Law of the Cayman Islands, a listed company in Cayman Islands has to fulfil the requirement for proposed privatisation: more than 50% of the shareholders present at the Court Meeting approve the privatisation proposal, no matter the number of the shareholding held by such shareholders, commonly referenced to as Clause of "Head Counting".

Under this situation, where the privatisation proposal is approved by voting at the general meeting and the court meeting and other conditions for privatisation have been fulfilled (Clause of "Head Counting"), the independent shareholders could just await until the listed company takes over their shares in accordance with the remaining procedures and returns them the considerations. In conclusion, once the conditions of the privatisation have been fulfilled, the shareholding of independent shareholders shall be taken away ultimately. No matter whether these independent shareholders have participated in the voting or voted against the proposal, they shall comply with the final resolution passed by the general meeting and the court meeting on the basis of the "Majority Rule".

Where the companies incorporated in PRC are desirous to undertake privatisation by means of a scheme of arrangement, they don't have to abide by the Clause of "Head Counting". Meanwhile, in accordance with the Company Law of the People's Republic of China, the shares of the medium and small shareholders shall not be taken over by mandatory offer. Regarding the listed companies registered in mainland China, the independent shareholders are protected to proactively submit their application of acceptance for their shares in accordance with relevant offer and transfer their shares to an offeror even the privatisation is approved by votes at the general meeting. Otherwise, the independent shareholders who have not accepted the offer will become the shareholders holding the non-negotiable shares after their listed company delists in accordance with the privatisation procedures.

Identifying the arbitrage opportunities behind the privatisation, the "winner-takes-all" will elevate the success rate of privatisation

With the above discussions, we could observe that the listed companies registered in Cayman Islands have the strength to approach privatisation more easily and they are privatised more completely if they succeed in privatisation. Moreover, it is important that it is easier for them to achieve cohesion and win-win situation with independent shareholders and avoid the chance of intense wrangling and severe confrontation.

Coming back to the perspective of market and transactions, it is more likely to produce the fixed mode of arbitrage as it is more predictable. In other words, it is more likely to attract leading investment companies or individual and investment organisations to increase the share capital to facilitate the approval of relevant proposal and realise the expected return of the consideration in the offer of privatisation in short term.

With conclusion and summarisation of numerous privatisation cases, we found that as long as the privatisation proposal is implemented by means of a scheme of arrangement(instead of the voluntary general offer), companies are the listed companies registered in Cayman Islands(required to comply with Section 86 of the Companies Laws of Cayman Islands) and the dominant controlling shareholders and their persons acting in concert work together to expedite and implement such project, the implied essence is "winner-takes-all" under the principle of the privatisation.

Now we could consider and reason from the perspective of a qualified leading investment company or individual or a professional organisation and approach to understand purely in terms of expected rate of return or expected annualised rate of return and assets allocation.

As the circular demonstrates, the court meeting and the EGM shall be convened within this month. If it is approved successfully, the shareholding of each independent shareholders shall be delisted on the stock exchange with the procedures on 25 January of next year and effect on the same day as expected. The independent shareholders are expected to receive the cash cheque paid by the offerors and their concert parties of the privatisation on or before 1 February of next year.

At the court meeting and the EGM, if the privatisation proposal is passed, alternatively, after the "Showdown", the subsequent procedures shall be followed as routine and the uncertainties will be eliminated. On that basis, the share price of CIMC-TianDa is likely to soar close to HKD 0.2666 per share after the proposal is passed and it is the period to realise fastest growth of the rate of return.

So now let's do some calculations. Based on the closing price of CIMC-TianDa at HK$0.245 on 1 December, the privatisation implied an absolute return of 8.57% after the resolution was passed. We will roughly take 8% as the expected rate of return for the calculation. From 2 December to 28 December (the first trading day when the voting result is announced), there are only 27 calendar days. The expected annualised rate of return appropriately exceeds 100%., It is impossible not to attract their attention from large capital allocation perspective.

If they do, the biggest risk they face is actually the rejection of the privatisation proposal. Then just work hard in the direction to get the privatisation proposal passed. What should we do? It's very simple. There are only three action points: (1) Observe market trends and seek for conspirators; (2) Buy the shares, attend the general meetings and court meetings as independent shareholders, and vote in favor of the privatisation proposal; (3) Reasonable assumptions and verification, analysis shows that investors who buy into the first two ideas are mostly shareholders.

In fact, the most critical point is the third point, we might as well have a logical deduction.

If independent shareholders expect that the privatisation proposal will not be passed (or the probability of passing is low), the most favorable option for them (in order to avoid risks) is to sell at the current price, rather than to hold onto the shares and wait until the general meeting and the Court Meeting to cast an objection. Because based on rationality and human nature, they most likely will not harm themselves. Therefore, those who will not sell but will vote at the shareholders meeting can be regarded as a negligible small group.

The second type refers to those who hold onto the shares but will no vote at the shareholders meeting, which we can ignore as they will not affect the polling result.

The third type refers to those who have sold the shares. Since shares have been sold, the person loses the voting right and has no impact on the result.

The last type refers to the major crowd, who are holding onto or are continuous buying, and are joining the shareholders meetings to cast the votes. Given their motives and reasons are very sufficient and necessary, which have been discussed above, we will skip the explanation here.

To come to a direct and simple conclusion: opponents will tend to sell; investors who are in favor of the privatisation proposal and can obtain their expected returns on the basis of approval, or form a sound arbitrage model, will prefer hold onto or to continuous buy the shares.

This is driven by the underlying rule of "winner takes all". Under this rule, the probability of the privatisation proposal being passed has been repeatedly blessed and consolidated on the basis of the relatively high probability.

After the announcement of the privatisation proposal of CIMC-TianDa on 4 October, its trading volume continued to be dynamic, as opposed to its previous silent status and the stock price was stable. From a trading perspective, once an investor is willing to sell, then there are always investors on the other side willing to buy. Because the selling power is always lower than the buying power for position accumulation within a certain price range, this causes the stock price to trade sideways. The relatively larger trading volume than the previous period indicates the continuous trading momentum.

Understanding the logic and motives behind the trading and knowing the "calculations" of the core traders in the market is the best answer and explanation for understanding this phenomenon.

We believe, even ordinary investors who will not participate in the voting, should consider the free-rider strategy – a bold attempt to ride on the privatization of CIMC-TianDa for some profits.


Copyright 2020 ACN Newswire. All rights reserved. http://www.acnnewswire.com