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China New Borun Corporation (BORN) Skyrockets, Alerting NYSE

  +Follow October 15, 2013 10:31AM
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The Chinese distiller China New Borun Corporation (BORN) saw its shares spike On Oct 14 as US corn exports to China continue to increase substantially. The rise was so precipitous, however, that it caused the New York Stock Exchange to contact the company over the "unsual activity."

Some rise in share price was expected. A few days prior, a private Chinese trading firm bought 420,000 tons of corn for delivery next year to take advantage of cheap prices, leading to speculation the corn processing industry in China will ramp up considerably as the country eases restrictions on corn importation.

The increased corn supply is great news for China New Borun. The company produces lower grade edible corn alcohol that is used to make cleaning solvents, crude corn oil, and the popular alcoholic drink baijiu. China New Borun currently has two manufacturing facilities, one in Shangdong province and another in Heilongjiang province that are jointly capable of producing 160,000 tons of corn-based edible alcohol per annum.

China has been loosening its restrictions on corn importation all year to cover supply shortages, as the country has already used up their domestic supply. The Financial Times reported in September that corn imports into the country were expected to increase from 3 million tons in the 2012-13 crop year to 7 million tons in 2013-14. The price drop in corn was fortuitous for the country, and they are currently taking advantage by amping up importation even more.

China New Borun had been down this year on less than stellar earnings. However, the increased importation of corn into China will almost certainly lower the company’s bottom line. The price of corn in China has been dropping steadily, from 2,346 yuan in July, to 2,272 yuan on Oct. 16, or $363.50 US a ton (around $9.10 a bushel.) Corn is currently $4.40 a bushel in the US.

While the Chinese government strives to maintain “self-sufficiency” with their crops and avoid excessive importation it has become clear the private traders have other ideas, and companies like China New Borun reap the benefits of the sudden influx of cheap US crops that will substantially lower costs going forward.

However, the sudden jump may have more to go on than just favorable crop conditions. Following the spike in price the NYSE contacted China New Borun, as is standard when a company’s shares elevate so suddenly. China New Borun, citing company practices, declined to comment on the unusual activity.

China New Borun is up 46.72 percent to hit $2.01 a share.   

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Results for BORN
Pooder ™
27 May 15 20:17:34
$Born Hustler$
Stocks Creamun
27 May 15 10:30:06
China New Borun Corporation Ame $BORN 1.21 4.31% 12:13pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 10:15:06
China New Borun Corporation Ame $BORN 1.21 4.31% 12:13pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 06:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 05:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 03:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 03:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 02:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 02:30:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hloe5u9
Stocks Creamun
27 May 15 00:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
27 May 15 00:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 23:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
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26 May 15 21:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 21:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 20:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
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26 May 15 18:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 18:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 17:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 17:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 17:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 16:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 14:15:08
China New Borun Corporation Ame $BORN 1.16 -4.13% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 14:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 3:50pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 13:45:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 3:50pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 11:15:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 1:43pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 11:00:07
China New Borun Corporation Ame $BORN 1.16 -4.13% 12:36pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 10:45:09
China New Borun Corporation Ame $BORN 1.16 -4.13% 12:36pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 06:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 05:45:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
StockNewsWires
26 May 15 05:38:02
$BORN $KITE: Market Movers: China New Borun Corporation (NYSE:BORN), Kite ...: http://t.co/ITQ0LFmceH
Stocks Creamun
26 May 15 05:30:07
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 05:15:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 05:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 04:45:07
China New Borun Corporation Ame $BORN 1.21 -7.63% 4:00pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 04:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 03:45:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 03:30:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 03:15:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 03:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 02:45:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
26 May 15 01:00:08
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm https://t.co/Pa7hlovGSJ
Stocks Creamun
25 May 15 14:15:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 14:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 13:45:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 13:30:07
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 13:15:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 11:30:07
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 11:15:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 11:00:06
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
Stocks Creamun
25 May 15 10:45:07
China New Borun Corporation Ame $BORN 1.21 -7.63% 3:24pm http://t.co/MCqk0s4Rrz
				
				
  +Follow October 15, 2013 10:31AM
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