Big Banc Split Corp T.BNK

When safe application was made

[Bnkdeal]

I was told by BNK IR person that the safe application was made early June. Then it is really weird for the process takes this long. What is the status of the application? How long is it expected to be completed? We need those information.

[ChupacabraBueno]

"In practice, SAFE approval is usually obtained within two weeks." according to nortonrosefullbright.com (link below). So it would seem that there has been a delay from the "usual" - or at least what was "usual" when they composed that webpage. Some posts here have alluded to a throttling of FX transactions by the Chinese for the purpose of exchange rate stabilization

[Bnkdeal]

Two months .vs. two weeks processing time? Will it be ignored or rejected by safe? Or at least give us a due date, say another two month? Or then end of year?

[herrstock]

I think SAFE is delaying the deal on purpose because of the Yuan situation. If they reject the deal, they would have send it back to Geo Jade to make necessary amendments.I do not think they have the power to sink the whole deal permanently. So I will patiently wait. The approval will come.

[balanda]

Its China they have all the power and could do what they want even permanently if they don't like

[ChupacabraBueno]

The State Administration of Foreign Exchange of the People's Republic of China is an administrative agency tasked with drafting rules and regulations governing foreign exchange market activities, and managing the state foreign exchange reserves [Wikipedia] Notwithstanding all the power & ability to do what they want, most of what they do is for a clear reason. Expediting and/or delaying

[balanda]

Great ....what is the reason to not respond after more than one month if usually is 2 max 3 weeks for approval ??

[ChupacabraBueno]

Exactly what I said - "managing the sate foreign exchange reserves" - by expediting or delaying deals that require FX as required, they can tweak the demand for their currency.