3 years ago, I wrote about Chinese companies with poorly executed websites. Specifically, I pointed out that YONG and CXDC didn’t have great websites. (For your information: CXDC has a market cap of $235M and the borrow is about 7%.) Let’s revisit these companies.
- YONG: Back then, I took a large position in YONG put options, betting on the Yongye takeover bid failing. Unfortunately, the takeover bid did go through and I lost money. Fast forward 3 years, their websites have disappeared. Yongyeintl.com was the website aimed at investors. It went dark on or before September 14, 2014 according to archive.org, shortly after the going-private transaction. China-yongye.com was the Chinese language website. It went dark on or before February 28, 2017 – the website is currently an error page (in Chinese). So now you understand my irritation with losing money betting against YONG. While I don’t know what happened to this company, I think it’s safe to say that their website execution got worse.
- CXDC: Back then, they did not seem to have paid for their stock photography. Now, they have rectified that. However, the copy on this website is pretty awful. The copy on the top of the website (archive.org) reads: “Welcome to China XD Chinese website”. Those are the exact words… in English. The copy on the bottom reads: “In case of information discrepancy between the Chinese website and English website of the company, the English website shall prevail”. That’s quite the paradox- we’re welcomed to the Chinese website but apparently it is the website that will prevail in case of [sic] “information discrepancy”. On top of that, a lot of the links on the website do not work (e.g. I could not figure out how to watch their corporate video). But hey, at least they paid for their stock photography.