Naibu Global Share Discussion Threads

[irnbru2] 12/1/2015 14:30

So, are these companies/shares supported by City Boy scammers.

[21trader] 12/1/2015 14:29

Would they wait this long to announce good news ?

[nick rubens] 12/1/2015 14:28

Suspended pending an announcement?

May be a special dividend with all that cash in Accounts?

or will they say

"Thanks for the Money UK investors, and goodbye"?

[trentendboy] 12/1/2015 11:03

Hard to read it any differently to above.

Shocking

[soul limbo] 12/1/2015 10:45

Naibu Global International Co (LON:NBU)

As I've repeatedly said here, Chinese stocks on AIM are too risky to go near with a bargepole. The accounts are usually ridiculous, and the view I have formed (for numerous reasons) over the last couple of years, is that some of these stocks have been listed on AIM with the primary purpose being to relieve British investors of our money.

Think about it. What do you actually get when you buy shares in a Chinese company listed on AIM? You're just getting a piece of paper (or electronic equivalent) which purports to give you part ownership of a business in China that you've never seen, and can't even verify exists! The accounts will often be a work of fiction, and hardly any of them pay reliable dividends.

Insiders are usually dumping stock like there's no tomorrow - I've lost count of the number of times that there have been cheap lines of stock in Chinese companies made available to brokers - it's always insiders dumping. Why would insiders dump stock in a company that supposedly is rated on a PER as low as 1?! Simple answer - because the E in PER is completely bogus! The profits aren't real, and I doubt very much that the cash is real also. You won't ever see a penny of the cash claimed to be on most Chinese companies' Balance Sheets, therefore you should write it down to nil when looking at their accounts. In fact, I wouldn't even bother looking at their accounts, do something more useful and enjoyable with your time!

It all stinks to high heaven, and as I've said before loads of times, the inevitable end game for most of these Chinese stocks on AIM, is that they will de-list, then disappear without trace. Gullible shareholders will lose 100% of their money.

[caradog] 12/1/2015 10:15

The failures of Northern Rock and B&B were indeed a sign that there was catastrophic mismanagement in the banking industry with what later turned out to be not just incompetence but significant fraud. Several other banks would have collapsed without the taxpayer coming to the rescue. I agree with topvest, the well publicised Chinese sports shoe fraud in Germany, together with e.g. The delisting of the China Food Company and the suspension of Naibu are signs that the regulator should be getting involved now. There may not be any wrongdoing but the regulators and the LSE would be failing in their duties if they were not having a closer look.

[dr biotech] 12/1/2015 10:14

We there are plenty of examples of UK banks that aren't dodgy. Perhaps if you could point out a few chinese listed AIM stocks that are indeed worthy of investment I would be interested to know them.

Unlucky to all of those that were defrauded here. I can't see this one having a happy ending.

[zangdook] 12/1/2015 08:49

Well I’ve learnt a lesson on these Chinese AIM stocks...
lost money on two being Naibu and Camkids

I lost money on Northern Rock and Bradford & Bingley. Does it follow that all UK banks are going to go bust and be nationalised? I lost money in AFE and AFF - are all Africa-focussed stocks somehow dodgy? Hundreds of companies in many sectors suffered sharp share price falls in 2014. NBU has been suspended, we still don't know the story behind that. Maybe there's a problem, maybe there isn't. CAMK is still trading, and as with 9 out of ten stocks in my portfolio (none China related) you haven't lost any money unless you sell. The reflexive "yellow peril" nonsense is quite unjustified IMV.

[joe say] 12/1/2015 08:22

I'd agree - a very good post that the AIM regulators will no doubt ignore

[21trader] 12/1/2015 08:19

Excellent post topvest

[topvest] 12/1/2015 08:16

Well I’ve learnt a lesson on these Chinese AIM stocks, so thought I would post a warning as far as I see it. There are 3 companies that are ALL very similar. I’m sure there are more than this on AIM but these are the 3 I have come across, and unfortunately lost money on two being Naibu and Camkids because I didn’t spot the “gifted” shares stunt and chose to ignore the warnings until it was too late. I have to say that all the warnings on this Billboard were spot-on.

I haven’t lost much, and done well on Prosperity Minerals and Fortune Oil to nearly balance these two out, but I think of myself as a relatively experienced investor and so I am not pleased with myself for making this error of judgment and will learn by mistake. I will never invest in a Chinese AIM company again.

Naibu, Camkids and China ChainTek (which I don’t know as well, but looks similar). The remarkable similarities are:

- All are connected to the sports shoe market in Fujian Province and listed at a similar time.
- All listed at a very low valuation, fantastic financials and using “lower quality” NOMADs.
- On each listing the Founder inexplicably “gifted” shares to mysterious locked-in holder’s pre-IPO. There is no mention of who these parties are or really why it was done.
- These holders then sold ALL of their shares at the earliest opportunity after good results reported and after the 12 month lock-in.
- Then after about 12-18 months each Company started to make excuses and reduce their cash dividend despite having enormous cash piles.
- The Founder then takes a scrip dividend to regain control of the company as the company valuation is so low that even a pathetic dividend enables him to do this.
- Next step is probably a de-listing. It’s very clear who is winning and who is losing. I’m amazed that the LSE haven’t launched some kind of investigation into what is potentially happening here.

Please help others and add to my list of companies that you think might be up to the same trick, so that investors in these companies are warned of the risks involved. Of course, they could be genuine companies with shareholders’ interests at stake, but I very much doubt it to be honest.

[irnbru2] 11/1/2015 23:47

Mmm, you could have a point.

[spob] 10/1/2015 19:48

The problem with company auditors is they are paid by the company

The problem with company nomads is ...

The problem with company brokers ...


if you're looking for an independent opinion on any company don't seek it from someone paid by the company

[irnbru2] 10/1/2015 19:09

Nope, it is totally corrupt.

The guys that run the show, are making too much, to change anything.

The auditors did a good job though, lol.

[trentendboy] 10/1/2015 18:51

Fraud clear and simple but how could they get away with such blatant actions. AIM is like the wildest. Can we not believe anything.

[soul limbo] 09/1/2015 21:06

certainly a sneaker

[orinocor] 09/1/2015 20:51

Mr Huoyan Lin

Joint founder and executive chairman. Is this man a fraudster?

[hpcg] 09/1/2015 20:39

Because the accounts are fictitious.

[topvest] 09/1/2015 20:37

From the interim results:

"Group balance sheet with cash position of RMB 332.7 million as at 30 June 2014. The Group has no outstanding bank loans or overdue debt."

How can it possibly be in financial difficulties a few months later unless the accounts were fictitious?

The announcement:

"The Non-Executive Directors of the Company have requested suspension of its shares pending clarification of its trading position."

Actually, it implies to me that financial information isn't being prepared or sent to the Board as opposed to the company having run out of cash. If the company had run out of cash "trading position" would have been replaced with "financial position" I think.

Anyway whether the cash exists/doesn't or the owner has decided it's not worth sending information to "HQ" its "game over" in my view.

[loverat] 09/1/2015 20:00

Topinfo - a small time trader?

Not half as bad as this one.....

Stockologist 16 Sep'13 - 15:24 - 7691 of 7693 0 0

My £100 pop in this has become £50 but I'd be minded to put another £100 in here to bring my average down and presumably they have a real plan for this before this tranche

[the stigologist] 09/1/2015 15:03

Anybody spot when the conman made his trade and when he started ramping it ?



TOP Traders Thread !!!! - CR

TOPINFO - 08 Jan 2015 - 13:24:44 - 481866 of 482432

NBU Cash

If you guys like SORB at mkt cap £2.5 million and cash =£7 million (70 Million RMB) then you wanna look at NBU, mkt cap at NBU £6.6 million and £32 million in cash, (315 Million RMB) yes 5 x current mkt cap!!!

[the stigologist] 09/1/2015 15:03

Anybody spot when the conman made his trade and when he started ramping it ?



TOP Traders Thread !!!! - CR

TOPINFO - 08 Jan 2015 - 13:24:44 - 481866 of 482432

NBU Cash

If you guys like SORB at mkt cap £2.5 million and cash =£7 million (70 Million RMB) then you wanna look at NBU, mkt cap at NBU £6.6 million and £32 million in cash, (315 Million RMB) yes 5 x current mkt cap!!!

[the stigologist] 09/1/2015 14:22

lolz

That was his one of his big ramps of the day so his portfolio must be about £3k in total.

pmsl

[21trader] 09/1/2015 13:54

Stig

5000 shares talk about small fry !