They pay a similar dividend to what you are forecasting. So if you could get your multiple to 4, that’s at least a tripling your price and it gets you to a level where I think your primary shareholders would be happier from a financial point of view and also for any long-term investor. Your stock has been in an uptrend, which is contrary to what the stock indices out of the PRC have been in. So one can’t complain over the last six or eight months. But is there a game plan to get better awareness of your company and the fact that you’ve had pretty stable earnings, consistent earnings, so that more investors are aware of your stock? It’s thinly traded, but that can work both ways. If social media or other sites here in the United States became more aware of a company trading at 1.3 times earnings with significant cash on the balance sheet, it wouldn’t take much to move the stock.
Sorry I’m rambling on here, but for investors to be frustrated with a stock trading 1-and-change multiple, what game plan do you have? My suggestion is to get the word out there, and that would be more news releases and things like that. Sorry to take so long, but interested in what you have to say?
Kan Li: We are in kind of not that sexy industry. Also, we are definitely among the leaders of this industry, like the leader Ant Financial, and so far – you know what I mean. In terms of whatever visibility for the sector and for the whole thing, you can contribute a lot of factors. We are not very much interested in – to talk about it, but I think everyone agrees that those factors are not in our control, like the US relationship with China, something like that. So, we believe things are on board, we believe we should continue to do what is right, mainly run our business as best we could and the correspondent return of shareholder value. I think over time it will play out, but definitely I don’t know when. Regarding the privatization, I would say once again, that it was kind of tricky because US investors consider privatization is basically the value play and you definitely have no obstacle to reshape and come back anytime you want to do this.
But in China, it’s different. If you don’t believe me, just look at it, there’s a big company, real estate company, they run the biggest – in China, run the biggest mall, used to be a real estate company, they run [indiscernible] and run the biggest shopping mall in China, the Wang Jianlin, the [indiscernible]. They used to list in Hong Kong, then somehow in 2015, 2016, they see the valuation is horrible, they go to privatization and they want to relisting in a domestic A market, but they never got permission and they never get a chance to come back to the Hong Kong market. We are somehow in the consumer sector also. Chinese, there’s a rule on the book, definitely apply to us, say anything you have over 1 million consumers, we have to get approved from the Chinese government in order to list overseas, especially in the US.
Hong Kong is a little bit gray area because technically you can consider it is a China territory. So if you’re delisting, relisting is not sure, that’s all I want to say. It’s because we are subject to government approval because we have more than 10 million customer base, that’s much more than that. So that is another something we can talk about and we can have someone think there is no insurance policy for that. So if we’re delisting, maybe we’re never going to list it. So that’s why everyone do not want to do that. It’s kind of a – listing status is kind of a privilege in China. In terms of the plan, I don’t have a detailed plan, but I have a general plan. The first plan is get our stock at over $5. So the institutional investor can technically contact us.
So if we have some period of time, say like more than half a year, our stock is mainly over $5, we will probably rethink our PR policy. Maybe I will be more on the road show, on the road, do whatever usually the stuff we do, and hope for the best result. That’s the general plan. I hope I answered your question.
Matt Larson: Yeah, you did in a way. You’re kind of trapped in your current listing because you can’t go private because then you’ve got no other exit strategy. But I guess, I was looking for some sort of, I don’t know, illumination of the game plan because your stock’s been mired in a low multiple. You’re not the only one there. I understand there’s one or two fintech companies that trade less than 1 times earnings in Hong Kong. So it’s just a sector that people are concerned about regulation and things like that. But when you’re trading your cash value, just coming from the capital markets here in the United States, we have options to handle that. Like, going private or merging. What would prevent you from selling to a partner who has like a bank or something that has a significantly higher multiple where it’d be very accretive to them to buy a company of yours with your client base and your reach with all your millions of customers.
