The bank issued RMB 6.4 billion of working capital on March 1 to supplement the current capital of Sifang bank.
Zhongxun Sifang said that the fund-raising is to further improve the scientific research and batch production capacity of the company’s microwave components and microwave module products, improve the production automation level of SAW devices, and meet the capital needs of the company’s rapid development.
263 million yuan to supplement working capital
Zhongxun Sifang issued no more than 100 million shares this time. Among them, the number of shares subscribed in cash shall not exceed 91 million, and the amount of cash raised is expected to not exceed 364 million yuan; The number of shares subscribed by way of creditor’s rights shall not exceed 9 million.
Of the funds raised, 263 million yuan was used to supplement working capital, mainly to pay the payment for goods from suppliers, the service payment of directional issuance intermediaries, the company’s employee compensation, taxes, interest expenses and other operating and management expenses. In addition, 17 million yuan is used to repay bank loans / loans and 84 million yuan is used for project construction.
Among them, 24 million yuan of the fund-raising will be used for the annual output of 10 million filter chips of Hebei Shishuo Microchip Technology Co., Ltd., mainly for the upgrading and transformation of clean rooms, the addition of automatic cleaning machines, automatic stripping machines and other equipment, and the mass production of products below 1.5g can be realized after the construction is completed. The project is planned to start construction in March 2022 and complete in December 2022. It is expected that the annual production capacity will reach 10 million sound meter filters. The overall investment of the project is expected to be 28 million yuan. In addition to the raised funds, the remaining 4 million yuan will be raised by the company.
accounts receivable account for a relatively high proportion
Zhongxun Sifang was established in 2005. In 2010, as an unlisted company limited by shares in Beijing Centergate Technologies (Holding) Co.Ltd(000931) science and Technology Park, chinanews Sifang entered the national agency share transfer system commonly known as the “old third board” for listing and trading.
The main products of Zhongxun Sifang include SAW devices, microwave components and modules and downstream communication system integration equipment. Among them, surface wave devices are mainly used in mobile communication, consumer electronics, satellite navigation, Aerospace Military Industry and other fields, and microwave components and module products are mainly used in microwave and millimeter wave subsystems in radar communication, radio and electronic countermeasures.
In 2019 and 2020, chinanews Sifang achieved revenue of RMB 287 million and RMB 448 million respectively, and net profit attributable to parent company of RMB 6.84 million and RMB 25.13 million. In addition, in the first three quarters of 2021, Zhongxun Sifang achieved a revenue of 278 million yuan, a year-on-year increase of 15.16%, and the net profit attributable to the parent company was 30.01 million yuan.
It is worth noting that the accounts receivable of Zhongxun Sifang are higher than the revenue scale. By the end of 2019 and 2020, the company’s accounts receivable were 168 million yuan and 136 million yuan respectively. Zhongxun Sifang said that the decline of 18.94% in 2020 was mainly due to the company’s strengthening of accounts receivable collection management, and the collection of accounts receivable was in good condition.
By the end of the third quarter of 2021, the accounts receivable of Zhongxun Sifang was 204 million yuan, an increase of 49.70% over the end of 2020. Zhongxun Sifang said that it was mainly because the company’s accounts receivable were generally collected at the end of the year. In addition, by the end of the third quarter of 2021, chinanews Sifang had withdrawn 14.09 million yuan of bad debt reserves for accounts receivable.
On the issue of high accounts receivable, the reporter of “daily economic news” called the company’s public telephone on the morning of February 15, but failed to obtain relevant information.
