Chinese solar-module maker JinkoSolar Holding (NYSE:JKS) saw its stock soar in early trading on the NYSE this morning. As of 10:45 a.m. EST, Jinko shares remain up a healthy 8.2%. And yet, at least at first glance, the news doesn't look great.
Early this morning, JinkoSolar Holding announced that its CEO, chief marketing officer, chief operating officer, chief human resources officer, and chief technology officer have all resigned "effective immediately."
That sounds pretty bad, but as Jinko explained, all five of these resignations were conducted only "to comply with certain business operations and independence requirements of the Shanghai Stock Exchange Science and Technology Innovation Board (the 'STAR Market')."
As Jinko went on to explain, it's in the process of listing its principal operating subsidiary, Jinko Solar Co., Ltd. ("Jiangxi Jinko"), on the STAR Market, and all five of the named executives will be resigning specifically so that they can take corresponding posts at and "carry out their respective responsibilities at Jiangxi Jinko."
In short, today's "resignations" are more in the nature of a post office change of address -- same folks, different house.
From now on, JinkoSolar "Holding" will be a true holding company, led by a skeleton crew and its company chairman, who will now serve as CEO, as well. The operating subsidiary -- Jinko's actual business -- will retain all of JinkoSolar Holding's current management.
For investors who've been satisfied with Jinko's stock performance over the past year -- shares are up more than 140% -- this should be good news.