Buying the company’s stock has a blood loss, and cross-border communication employees receive more t

（Cross-border communication announcement）

On October 18, 2018, Cross-border Communication received the "Proposal on Internal Employees' Purchase of Company Shares" submitted by the company's then chairman Yang Jianxin and then vice chairman and general manager Xu Jiadong (hereinafter collectively referred to as the proponent):

Based on the company’s good fundamentals and confidence in the company’s long-term development, the stocks of Cross-border Express have good investment value. The proponents issued positive purchases to employees of Cross-Border Express and its wholly-owned subsidiaries and holding subsidiaries. The initiative of Jingtong Stock. And solemnly promise:

1. During the period from October 19th to November 18th, 2018, employees of the company and employees of wholly-owned subsidiaries and holding subsidiaries shall use their own funds (not allowed to use margin financing or securities lending or structured or allocated funds). Etc.) Net purchase of cross-border stocks through the secondary market bidding, and they are still working in the company, wholly-owned subsidiaries, or holding subsidiaries after they have held them continuously for 24 months, such as employees who bought the company’s stocks during the proposed purchase period If losses are actually incurred, the proponents shall jointly compensate them, and the profits shall belong to the employees themselves.

2. If the employee’s net purchase of cross-border stocks after the holding period reaches 24 months, the first 12-month return is less than 8%, and the second 12-month return is less than 12% (excluding the first 8% of the 12 months, the same below), will be made up by the proponent.

If an employee’s net purchase of cross-border stocks for less than 24 months of continuous holding occurs, or if the employee resigns due to personal reasons within 24 months from October 19, 2018, no replenishment will be provided. If you hold for more than 12 months but less than 24 months, and resign due to company reasons, 8% of the first 12 months is valid.

Allegedly, after the proposal was issued, employees responded positively and used their own funds to increase their holdings of the company's stock through the Shenzhen Stock Exchange trading system through centralized bidding.

During the period from October 19th to November 18th, 2018, a total of 50 employees of Cross-border Communication and its wholly-owned subsidiaries and holding subsidiaries increased their shareholdings. The total number of increased shareholdings was 1,667,200 shares, with an average price increase of approximately RMB 11.94 yuan/share, the total amount of increase in holdings exceeded 19.9 million yuan.

Serious losses, 23 employees received 8.35 million compensation

However, it is far from the expectations of the two shareholders. From November 2018 to November last year, the share price of Cross-border Communication fell by about half. Not to mention the income, the employees who increased their holdings did not even protect their principal.

（Screenshot from Flush）

The increase in holdings this time can only be concluded with compensation.

According to the agreement, the proponent shall compensate the employees to be purchased in a lump sum for 20 working days (not later than May 18, 2021) from the start date of the sale period (that is, November 19, 2020) and the date of confirmation of the compensation amount.

As of May 20, there were 23 employees who participated in the proposal to increase their holdings and met the compensation conditions. The compensation amount required was 8.351647 million yuan. The proponent had paid all the employees the completed compensation amount.

This incident is just the tip of the iceberg of the embarrassing situation of cross-border communication.

From the first share of cross-border e-commerce to embarrassment on all sides, what has cross-border communication experienced?

This week, the news that Global Tesco was filed for bankruptcy by the Shenzhen Nanshan branch of the Industrial and Commercial Bank of China came out. The sellers in the industry were sighed, some regretted, and some learned lessons from the previous big sales.

Looking back at the experience of cross-border communication, from the first domestic cross-border e-commerce stock to the embarrassed situation now, the outcome of this company seems to have long been determined. As an industry seller said: "As expected, reasonable."

——Global Tesco was established in 2007

According to public information, during the three-year period from 2012 to 2014, Global Tesco's revenue was 198 million yuan, 466 million yuan, and 1.416 billion yuan, respectively.

——In 2014, Baiyuan Pants Industry acquired Global Tesco

Entering a period of rapid development, revenue has soared 7 times compared with 2012. That year, Global Tesco, which was gaining momentum, was favored by the listed company Baiyuan Pants Industry, which acquired Global Tesco at a price of over 1 billion.

Of course, this 1 billion is not a waste of money. The gambling condition of Global Tesco in the transaction is that the net profit realized from 2014 to 2017 is not less than 65 million yuan, 91 million yuan, 126 million yuan and 170 million yuan, respectively.

——In 2015, "Hundred Yuan Pants Industry" was renamed "Cross-Border Communication"

In June 2015, "Hundred Yuan Pants Industry" officially changed its name to "Cross-border Link", becoming the first cross-border e-commerce company listed on the A-share market. Immeasurable.

——Global Tesco's revenue exceeded 10 billion in 2017

With the injection of capital and the overall improvement of e-commerce development, Global.com has embarked on a glorious period of development. From 2017 to 2018, Global.com's revenue exceeded 10 billion yuan, with net profits of 710 million yuan and 247 million yuan respectively. Accounted for 81% and 58% of the total revenue of listed companies.

——In 2018, Xu Jiadong became the actual controller of cross-border communication

Compared with 2017, Global Tesco's net profit has shrunk by nearly 500 million in 2018. Why is there such a large decline?

Global Tesco’s official explanation is: In the second half of 2017, inventory stocks increased, and the inventory balance increased by about 1.3 billion yuan from the end of the previous year; it also encountered tight liquidity in 2018. In the case of tightening external bank financing policies, the first In the fourth quarter, the peak sales season failed to carry out advertising and promotion as expected, and some historical inventory missed the best sales opportunity. To put it simply, it means that there are too many shops and no money for advertising and promotion, and it ends up in my own hands.

At the same time, in April 2018, Yang Jianxin, Fan Meihua and Xu Jiadong, the actual controllers of the original Baiyuan Pants Industry, signed the "Letter of Intent for Share Transfer", and the two transferred their respective 94.639,500 cross-border shares to Xu Jiadong, with a total value After the transfer of more than 3 billion yuan, the actual controller of the company became Xu Jiadong.

----In 2019, cross-border communication lost 2.7 billion yuan

When funds are tight, more than 3 billion equity transfer fees have to be paid. Cross-border communication in 2019 will be even more difficult!

The annual report of Cross-border Communication shows that in 2019, the revenue was 17.874 billion yuan and the loss was 2.708 billion. The reason for the loss was that the inventory could not be sold, and the provision for bad debts was made. That year, the company's large-amount provisioned assets were impaired by approximately 2.87 billion.

----Cross-border communication loses 3.3 billion in 2020

Cross-border communication in 2020 has suffered a double blow. On the one hand, there is a shortage of funds and debt repayment; on the other hand, under the influence of the global epidemic, there is no money to satisfy business development. Its annual revenue was 17 billion yuan, a year-on-year decrease of 4.77%, and the net profit attributable to shareholders of listed companies was -3.3 billion. Subsequently, it was cross-border by ST.

Talking about the reasons for the loss, Cross-border Communication said that Global Tesco's business has fallen sharply, some businesses have been shut down, and the staff has been reduced by about 3/4. Short-term high severance costs and other losses brought about by the staff reduction caused Global Tesco to lose about 2.5 billion yuan.

Staff severance coupled with compensation for employees to buy stocks and repayment of other external debts have made cross-border communication funds tight.

——In 2021, Cross-border Pass sold Pattoxun and was filed for bankruptcy

In 2021, Cross-border Communication sold the most profitable Pattoson to "self-help" and received a transfer fee of 2.02 billion yuan. The purpose of this transaction is to recover cash to fill the liquidity gap and repay debts.

Looking at it now, these more than 2 billion are still unable to "save" cross-border communication. The news of the recent bankruptcy filed may indicate that the glory of the former boss is over.