After the default of Yango Group Co.Ltd(000671) (hereinafter referred to as ” Yango Group Co.Ltd(000671) group”) bond interest payment on the previous trading day, China integrity International announced on the 30th that in view of the serious deterioration of Yango Group Co.Ltd(000671) group’s liquidity and certain uncertainties in subsequent interest payment, its main credit rating was lowered from AA to BBB and “17 Yango Group Co.Ltd(000671) mtn001” The debt credit rating of “17 Yango Group Co.Ltd(000671) mtn004” was lowered from AA to BBB, and the above-mentioned entities and debt credit ratings continued to be included in the watch list of possible downgrades.
On January 29, Yango Group Co.Ltd(000671) group announced that “21 Yango Group Co.Ltd(000671) mtn001” should pay interest on January 29, 2022. However, due to the great pressure on the company’s recent debt repayment fund-raising, as of the end of the interest payment date, the issuer failed to raise sufficient funds as agreed, and the current medium-term notes could not pay interest on schedule.
China integrity International believes that large-scale losses will further reduce the company’s own capital strength. Factors such as frequent credit risk events in the real estate industry and blocked refinancing of the company also pose a severe test for its future sales collection and sustainable operation. The company’s failure to pay the interest of “21 Yango Group Co.Ltd(000671) mtn001” on schedule shows that its liquidity situation has seriously deteriorated, and there is still some uncertainty about its subsequent interest repayment within the grace period.
According to the 2021 annual performance forecast released by Yango Group Co.Ltd(000671) group on the 29th, it is estimated that the net profit loss attributable to shareholders of Listed Companies in 2021 will be 4.5 billion yuan – 5.8 billion yuan, and the net profit loss attributable to shareholders of listed companies after deducting non recurring profits and losses will be 7.3 billion yuan – 8.6 billion yuan. The company said that the large decline in operating performance was mainly due to the company’s provision for inventory falling price and the decline in the settlement scale of real estate business. The performance forecast shows that the amount of non recurring profit and loss of the company is large, which is mainly due to the net profit of 2.5 billion yuan after tax attributable to the shareholders of the listed company when the company exchanged the equity strategy of Shanghai Sunshine Zhibo life Service Group Co., Ltd. for the shares of everything cloud Space Technology Service Co., Ltd.
Subsequently, Yango Group Co.Ltd(000671) group received a letter of concern from Shenzhen Stock Exchange, which inquired about the main inventory items and reasons for withdrawing large impairment, the company’s liquidity risk and sustainable operation ability. Shenzhen Stock Exchange specially pointed out that Yango Group Co.Ltd(000671) group is required to explain the specific conditions of the main inventory items for which large amount impairment is accrued, the basis and calculation process of impairment, and the main reasons, compliance and rationality of the centralized large amount provision for inventory falling price reserves in this reporting period compared with previous years in combination with its own business situation, real estate region and sales situation. And require the annual audit accountant to check and express opinions.
At the same time, Shenzhen stock exchange requires that Yango Group Co.Ltd(000671) group, in combination with the company’s operation and capital status, explain the company’s interest bearing debt balance, short-term maturity and overdue debt, analyze the company’s short-term and long-term solvency, and explain whether the company has liquidity risk and whether there is significant uncertainty in its ability to continue operation.
