On February 15, Hongbo Co.Ltd(002229) received a letter of concern, asking the company to supplement whether the effective date of the provisions in the equity transfer agreement on the payment of deposit and advance payment of 143 million yuan is inconsistent with the resolution of the board of directors of the company. It is required to specify the relevant background and reasons for the occupation of non operating funds by the controlling shareholder of Guangzhou Keyu, and supplement the specific measures to avoid the occupation of funds in the future.
On February 14, Hongbo Co.Ltd(002229) announced that the company plans to purchase 51% equity of Guangzhou Keyu held by Baole shares in cash. After the completion of this transaction, Guangzhou Keyu will become the holding subsidiary of Hongbo Co.Ltd(002229) . Affected by this news, Hongbo Co.Ltd(002229) opened the trading limit today and closed at 7.04 yuan as of the closing.
According to Hongbo Co.Ltd(002229) announcement, at present, the audit and evaluation of Guangzhou Keyu has not been completed. It is expected that the overall valuation of the subject matter will not exceed 700 million yuan, and the corresponding 51.00% equity to be acquired by the company will not exceed 357 million yuan. The final transaction price will be determined by all parties through negotiation according to the subject asset evaluation report issued by the asset evaluation institution.
It is reported that Guangzhou Keyu’s main business is the manufacturing of household cleaning and sanitary appliances and special accessories for household electric appliances.
It is worth noting that although the subject matter of the transaction is in a popular industry, the net profit of Guangzhou Keyu in 2021 is a loss. According to the financial data, in 2020, Guangzhou Keyu achieved an operating revenue of about 535 million yuan and a corresponding net profit of about 29.066 million yuan. In 2021, the operating income of Guangzhou Keyu decreased to 445 million yuan, while the net profit suffered a loss of about 49.9127 million yuan.
In this regard, Hongbo Co.Ltd(002229) explained that in 2021, the operating revenue of the target company decreased by 89.7405 million yuan compared with that in 2020, which was mainly affected by factors such as tight transportation of goods in international trade, shortage of some raw materials in the upstream and fluctuation of the exchange rate of the US dollar against the RMB. The net profit of the company in 2021 decreased significantly compared with that in 2020. In addition to the decline in operating revenue, the rise in the price of upstream raw materials and the fluctuation of the exchange rate between the US dollar and RMB, the share based payment of 40.9955 million yuan was confirmed due to employee equity incentive in 2021.
