Main reference: Story in Securities Times
WE RECENTLY told you that high profile Chinese investor Wang Yawei was going heavy on domestic tourism themes.
So which three A-shares were also heavily impacted by “China’s Warren Buffett” over the past month?
Wang’s hobby of jumping from one major investment idea to another, often at the most opportune moment, is no big secret.
First, a bit about the man who has been nicknamed “China’s Buffett,” especially when he’s on a roll.
A year ago, he left a high-flying job as a star fund manager at China AMC after a 14-year run.
PRC investor Wang Yawei. Photo: SinafinanceWang parted ways with his former employer after hitting a bit of a rough patch in terms of returns on investment despite have a stellar record prior to that, with the stock fund he managed outperforming all PRC equity fund peers. It boasted a stunning return of 890% between 2006 and 2011.
In September of 2012, he set up his own private fund in the southern boomtown of Shenzhen -- Shenzhen Qianhe Capital Management.
His first private equity offering -- FOTIC Yun Feng Securities Investment Pool Fund Trust Scheme – was greeted with an overwhelming market response, amassing some two billion yuan in December and outdoing all prior fundraising totals for top-performing private equity funds.
Although he’s been back in the A-share private fund game for less than half a year, “China’s Buffett” has been making more than a few waves.
According to statistics compiled by The Securities Times, for the year-to-date period, Wang and his private equity fund were listed as the top ten share buyers and sellers for at least 27 A-share listed enterprises.
More specifically, from May 22 to June 17, a period of less than a month, three Shenzhen-listed shares (two mainboard listcos and one ChiNext firm) were of major interest one way or the other to Wang, and all three are currently halted from trading due to “significant shareholder restructuring.”
According to data from the three listcos, over the past month Wang held as much as an 11% stake at one time or another in each of these firms, resulting in not only trading freezes but major share price movements.
Recent China shares performance. Source: Yahoo
Mining safety monitoring and mine engineering equipment maker Shandong Uroica Automatic Equipment Co (SZA: 300099) has been seen as a possible major beneficiary of the nationwide push for enhanced safety in some of China’s most dangerous professions, especially since the new leadership took office earlier this year.
White goods intelligent controllers play Wuxi Hodgen Technology Co Ltd (SZA: 300279) saw its share price surge over 27% in less than a month, shortly after Wang’s believed entrance.
The Jiangsu-based maker of software and systems to perfect the performance of refrigerators, washing machines and more upscale possessions like wine cabinets and soybean milk machines is seen as a promising proxy for the urbanization and rising middle class in China.
Herbal medicine researcher and producer Zhejiang Int'l Group Co Ltd (SZA: 000411) is up over 22% since the start of the year, in large part due to renewed optimism about support for Traditional Chinese Medicine (TCM) as well as Western counterparts by the new national government in Beijing.
The sector is highly fragmented and the leadership is looking to consolidate the industry to groom a few national champions.
See also:
'China's Buffett' Eyeing Big Jump In Domestic Tourism
