The most profitable Beijing-Shanghai high-speed rail company to go public?

Abstract On the morning of July 17, Caixin.com reported that the listing of Beijing-Shanghai High-speed Railway Co., Ltd. (hereinafter referred to as Beijing-Shanghai High-speed Railway Co., Ltd.) is about to enter the actual operation level. China Railway Corporation (hereinafter referred to as China Railway General Corporation) has already started the listing stage. Ready to work. On the afternoon of July 17, in the middle...

In the morning of July 17, Caixin.com reported that Beijing-Shanghai High-speed Railway Co., Ltd. (hereinafter referred to as Beijing-Shanghai High-speed Railway Co., Ltd.) is about to enter the actual operation level. China Railway Corporation (hereinafter referred to as China Railway General Corporation) has already started preparation for listing. jobs. On the afternoon of July 17, the China Railway General Propaganda Department told reporters that "this situation has not been known for the time being."

Beijing-Shanghai High-speed Railway Co., Ltd. was established in 2008. The Beijing-Shanghai high-speed railway was officially opened on June 30, 2011. The planned transportation capacity is 80 million people per year, with a total investment of 220.94 billion yuan. It has been evaluated by the industry as “the total railway”. The company is the most profitable and best quality asset in its hands." At the beginning of the establishment of the Beijing-Shanghai high-speed railway company, when it was listed, it has been receiving much attention from the outside world.

In June 2011, Yu Bangli, then chief economist of the Ministry of Railways, responded to the media at a press conference, saying that the issue of listing of Beijing-Shanghai high-speed rail company "is decided according to the situation of various shareholders and companies."

In July 2016, a Beijing-Shanghai high-speed rail insider told reporters that the “asset division” that had been considered to hinder the listing of Beijing-Shanghai high-speed rail company has also ended. However, the Beijing-Shanghai high-speed rail has abundant cash flow and has not found a good job for the time being. The investment project, the company is not eager to go public. According to the report of Caixin.com, the listing is the main shareholder of China Railway Corporation and the social investors, Ping An Asset Management, Social Security Fund, etc., and gradually reached a consensus on the listing issue.

The Beijing-Shanghai high-speed railway is also the first high-speed rail line in China. In 2008, Cai Qinghua, the then chairman of the Beijing-Shanghai High-speed Railway Company, told the media that the company’s investment return cycle “can repay the principal and interest according to the original calculation time of 14 years.” With the future fluctuation of the fare, the payback period may be shorten.

According to the information disclosed by the shareholders of Beijing-Shanghai High-speed Railway Co., Ltd., the Beijing-Shanghai high-speed railway continued to make profits after turning losses in 2014. The total profit from the four-year period from 2014 to 2017 was 31.17 billion yuan. In addition, Beijing-Shanghai Expressway Company realized dividends for the first time in 2016. Among them, Hebei Jiantou Transportation Investment Co., Ltd., which holds 1.35% of the shares, was awarded 0.06 billion yuan in 2016, and 0.57 billion yuan in 2017. The holdings were 4.51%. Tianjin Railway Construction Investment Holding (Group) Co., Ltd. received approximately RMB 12 million in 2016 and RMB 120 million in 2017.

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