Recently, the official website of the China Securities Regulatory Commission showed that the application of AVIC Securities to change its major shareholder or the actual controller of the company was accepted on July 8.
From the perspective of equity structure, AVIC Securities currently has two major shareholders. Avic Investment holds 71.71% of the shares, and AVIC Industry Finance holds 28.29%. Their respective investment amounts are 5.255 billion yuan and 2.073 billion yuan. Avic Investment is a subsidiary of AVIC Industry and Finance Holdings. The actual controller of both companies is AVIC Group.
As the second-largest shareholder of AVIC Securities, AVIC Finance and Industry has seen a continuous decline in revenue and net profit in recent years. It was officially delisted in May this year, becoming the first central state-owned enterprise financial holding company to be delisted.
On May 21 this year, AVIC Industry Finance issued an announcement stating that the company had received the “Decision on the Termination of Listing of AVIC Industry Finance Holdings Co., LTD. ‘s Stocks” made by the Shanghai Stock Exchange, which agreed that the company would voluntarily withdraw the trading of its stocks on the Shanghai Stock Exchange in accordance with relevant regulations and decided to terminate the listing of its stocks. The delisting and delisting date of the company’s stocks is May 27, 2025.
Tianyancha shows that the 28.29% equity stake in AVIC Securities held by AVIC Industry Finance has been judicially frozen twice, with each freeze period lasting for three years. In addition, before AVIC Industry Finance was delisted, AVIC Investment, a subsidiary of AVIC Industry Finance, had already transferred some of its shares in the company.
On May 5th, AVIC Industry Finance announced that its wholly-owned subsidiary, AVIC Investment, plans to transfer 160 million shares (accounting for 5.76% of the total share capital) of AVIC Xi ‘an Aircraft Industry and 22.68 million shares (accounting for 0.47% of the total share capital) of AVIC Airborne to its controlling shareholder, AVIC Industry, through a non-public agreement transfer. The total transfer price is 4.067 billion yuan.
Public information shows that AVIC Industry Finance was listed on the Shanghai Stock Exchange in August 2012. It is a financial services and industrial investment platform affiliated with AVIC, with business covering areas such as trust, securities, futures, and public funds.
In terms of performance, from 2020 to 2023, the total operating income of AVIC Industry Finance was 18.341 billion yuan, 19.084 billion yuan, 18.155 billion yuan and 16.939 billion yuan respectively. The net profits attributable to the parent company were 3.274 billion yuan, 4.471 billion yuan, 1.680 billion yuan and 290 million yuan respectively. In 2024, the performance further declined and the net profit suffered a loss.
Avic Industry Finance stated that the company’s operating performance in 2024 was affected by multiple unexpected factors. Firstly, the company’s business structure underwent transformation and adjustment, resulting in a decline in operating income, handling fees and commission income. Second, due to the influence of external macroeconomic conditions and other factors, the overall asset prices in the market are under pressure, and the book value of the assets held by the company has declined to a certain extent.
The specific plan and subsequent impact of the major shareholder change of AVIC Securities this time still await the approval result of the regulatory authorities and further disclosure by the company. The 2024 annual report of AVIC Securities shows that the company achieved operating income of 1.511 billion yuan in 2024, representing a year-on-year growth of 36%. The net profit attributable to the parent company was 421 million yuan, representing a year-on-year increase of 462.97%. As of the end of 2024, the company’s total assets were 37.82 billion yuan, an increase of 18.82% compared with the end of the previous year.
