It's only half a year oldEast sunshine sectionSix hundred sixty-three (600673), at a closing price of 14. 48), declared the partial collection of funds to be suspended。
On 1 october, the east sunshine section announced that the company intended to stop “the extension of 35 million m2 of the corrosive corrosive production line” (hereinafter referred to as the corrosion corrosive expansion project). The project, which was intended to raise $493 million, is currently raising $45,482 million. After the project was discontinued, $267 million of the funds raised were to be used for the acquisition of minority shareholders in four subsidiaries and $181 million of the remaining funds raised were to be used to repay bank loans。
Stop max
According to the information, a non-publicly issued stock forecast was published by the east sunshine section in march 2013; approved by the csrc in november 2013; the firm completed its scheduled increase on 31 march 2013 to raise $1 billion。
Of this amount, the east sunshine section proposes to use $493 million in fund-raising for corrosive expansion projects. The daily economic news reporter noted that the east sunshine section had confidence in the project in its prognosis case, when the company predicted that “the project would be completed with an estimated annual sales revenue of rmb 1,122 million and net profits of rmb 164 million after delivery. The internal rate of return on investments is about 20. 13 per cent (after taxes) and the period of recovery is about 7. 04 years (including construction)。
According to the east sunshine bulletin, a total of 740 million yuan was invested in the erosion expansion project, of which the company has invested 147 million yuan so far, of which 4,548,821,000 were used for fund-raising and 448 million for the remainder。
With regard to the reasons for the discontinuation of the above-mentioned project, the east sunshine section explained that: “with the changes in the international electronic market and the remaining differences between domestic corrosive mills and foreign countries, some of the company's major overseas customers have increased the demand for the processing of the silt. Continued expansion of corrosive production lines as planned by the original collection project will result in a reduction or shortfall in the utilization of the capacity of the corrosive production line in the future, with significant adverse effects and uncertainty on the expected return on investment of the project.”
3 subsidiaries with declining net profit margin
The east sunshine bulletin shows that, following the termination of the erosion expansion project, $267 million will be used to acquire shares in four subsidiaries of companies held by the related hong kong brothers of the north and south (hereinafter referred to as the north and south brothers), including 25 per cent of the shares of yiddung sunshine to the sunshine company; 10 per cent of the shares of the milk source east sunshine electric plant; 25 per cent of the shares of yidun sunshine high aluminium corporation; and 45 per cent of the shares of sunshine container company. Upon completion of the acquisition, the four companies will become full-funded subsidiaries of east sunshine。
Of these, yidudong sunshine turned into a company that produced, researched and sold a full series of products, with a 25 per cent equity value of $136 million. Its operating income was $1. 506 billion in 2013, with a net profit of $5,862. 39 million and a net profit rate of 3. 89 per cent; it was $759 million in the first half of 2014, a net profit of $12. 809 million and a net profit rate of 1. 69 per cent, a 2. 2 percentage point decrease from the previous year。
The iidu east sunshine high-purity aluminium company produces, researches and sells precision aluminium products at a 25 per cent share price of $3839. 92 million. Its operating income in 2013 was $665 million, with a net profit of $28. 804 million; its net profit rate was 4. 33 per cent; and in january-june 2014, the company achieved a net profit of $242 million and a net profit of $3. 7649 million. The net profit rate was only 15. 6 per cent, a decrease of 2. 77 percentage points from last year。
The main production and processing of electrons in the sun capacitors in guangdong is 45 per cent of its share of 5. 40405 million yuan. Its operating income in 2013 was $133 million, with a net profit of 9. 6794 million and a net profit rate of 7. 25 per cent; in the first half of the year, it was $5,836,900, achieving a net profit of $2. 4777 million and a net profit rate of only 4. 24 per cent, a decrease of 3. 01 percentage points from last year。
