"We Really Don't Know What's Going On" - Nasdaq Halts China Loan Company After 1000% Spike

A few months ago, a tiny Chinese company (that trades on Nasdaq and is part of the Russell 2000) soared 4,500% and then crashed after Bloomberg reported on the 'surprisingly' strong debut. Well, it's happening again... Wins Finance Holdings has exploded 1000% in the last few days and nobody knows why.

No, this is not a Bitcoin-related entity... The company’s market value later tumbled by billions of dollars after Bloomberg reported in March on the mystery.

Last Thursday, the company was worth around $400 million.

On Wednesday, it had a market capitalization of more than $4 billion.

However, after the Chinese loan guarantor (not exactly the kind of business one would expect to be doing well amid record NPLs and a government crackdown on shadow-banking and financial leverage) soared 185% today (and 1000% in the last few days), Nasdaq drew the line, halting the stock demanding more information...

In a statement, the exchange said trading won’t resume until the company has “fully satisfied Nasdaq’s request for additional information.”

Bloomberg reached out to David Rudnick, an investor relations representative for Wins in New York

“We really don’t know what’s going on... I don’t know who would know” what information the exchange needs.

Wins also said in February that it couldn’t explain what had driven up its stock in the initial rally.


Hongcha Wed, 06/07/2017 - 23:18 Permalink

One way to pay off an official in China is to indicate they should put an artwork on auction.  The official consigns some relatively worthless vase.  The guy paying off works the bid up with a partner and voila ... untraceable, whitewashed payola.This thing with WINS may be a back door way to do the same thing, using an equity.  I watch Chinese stocks fairly closely and 100-200% spikes are not at all rare in thinly-traded issues; but I have not seen one this pumped. 

Yen Cross Wed, 06/07/2017 - 23:23 Permalink

 PONZI~ If the company was that valuable why would you take it public? Build the thing up privately first, then take it public with a higher market CAP.  You can borrow money much cheaper from private investors, and don't have all the disclosure rules.  It's not like they need CAPEX to build nuclear reactors.  PONZI

tmosley Wed, 06/07/2017 - 23:24 Permalink

Yet another way to get hot money out of China.One wonders if anyone will ever show up to collect the proceeds, or if they will just sit in some American bank until they are confiscated.

yogibear Wed, 06/07/2017 - 23:31 Permalink

The Federal Reserve has pushed ultra-bubbles everywhere. In the mean time it does  intervention every time the market  tries to correct to fair value. So many plates spinning while the Fed impoverishes what's left of the middle class.

Glasshopper Thu, 06/08/2017 - 00:11 Permalink

Somebody I know - a stock broker in Bangladesh told me a story once of a company that was listed in their exchange whose price had risen some ten fold in a very short period of time and nobody knew why or indeed what this company actually did. So the exchange investigated the company by going to its head quarters listed inChittagong.

Upon arrival the inspectors discovered the address was a wooden barn closed with a large padlock and a common man sitting next to,the lock with keys in hand squatting in front of the door in his longie - a kind of cloth worn like a skirt around the legs. After a big argument with the man with the keys he finally relented and gave the inspectors tors the key to the lick. Upon opening the doors the barn was empty inside.

When this was reported to the exchange the stock price jump continued to rise in a parabola in an even shorter period of time then crashed.

People don't care anymore if a company doesnt do anything so,long as old,investors are still making money new investors will happily depart with their money even though they have no fucking clue what the company does.

francis scott … Thu, 06/08/2017 - 00:53 Permalink


Ha. Ha.A stock manipulation that Nasdaq never heard of before.  Get outta here.   That's all the officials at Nasdaq do:  spend all their time thinking up newways to manipulate their stocks and cheat their internet customers. If you believe that Nasdaq doesn't know what's going on, one day you'llcome home from work and your wife and kids and dog and house won'tbe anywhere to be seen.
zvzzt Thu, 06/08/2017 - 02:52 Permalink

This is outrageous! Find the culprits and throw them in prison for life! Don't they know that market manipulation is reserved for central banks?!