Securities code: 000035 securities abbreviation: China Tianying Inc(000035) Announcement No.: ty2022-08 China Tianying Inc(000035)
On signing the service project of classified collection of domestic waste in Rugao City
Announcement of government procurement contract
The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete without false records, misleading statements or major omissions.
Special tips:
1. Conditions for effectiveness of the contract: the contract shall come into force after being signed and sealed by both parties.
2. Major risks and uncertainties of the contract: there is a risk that part or all of the contract cannot be performed due to force majeure; At the same time, the project service fee shall be paid quarterly according to the assessment of the other party and the comprehensive score of the actual assessment. If the assessment results do not meet the standards, there is also the risk of service fee deduction and even corresponding liability for breach of contract. Please pay attention to the investment risk.
3. The successful performance of the contract will have a positive impact on the company’s business performance in 2022 and the coming years.
1、 Contract signing overview
1. On January 25, 2022, China Tianying Inc(000035) (hereinafter referred to as “the company” or “Party B”) issued the announcement on receiving the letter of acceptance (Announcement No.: ty2022-02) in China Securities Journal, securities times and cninfo.com, confirming that the company has become the bid winning supplier of domestic waste classification and collection service project in Rugao City.
2. Recently, the company and the purchaser Rugao Gaohuan Cleaning Service Co., Ltd. (hereinafter referred to as “Rugao Gaohuan” or “party a”) signed the government procurement contract (service) (hereinafter referred to as “the contract” or “the contract”) for the classified collection service project of domestic waste in Rugao. The company is responsible for the construction of 89 residential areas in the urban area of Rugao 169 units continued to carry out waste classification.
3. This contract is a daily operation contract of the company and does not constitute a connected transaction or a major asset reorganization specified in the administrative measures for major asset reorganization of listed companies. The signing of this contract does not need to be submitted to the board of directors and the general meeting of shareholders for deliberation and approval.
2、 Introduction to the other party
1. Company name: Rugao Gaohuan Cleaning Service Co., Ltd
Unified social credit Code: 91320682252011427j
Registered capital: 643000 yuan
Enterprise type: limited liability company (sole proprietorship of legal person invested or controlled by non natural person)
Legal representative: Zhang Min
Registered address: Ninghai Road, Rucheng town (in self owned house)
Main business: licensed projects: construction projects; Construction engineering design; Construction professional operation; Food waste treatment; Municipal solid waste business services; Urban construction waste disposal (clearing and transportation) (for projects that must be approved according to law, business activities can be carried out only after being approved by relevant departments, and the specific business items shall be subject to the approval results) general items: rural domestic waste business services; Sales of building materials; Building cleaning services; Parking service; Mechanical equipment leasing; estate management; Professional cleaning, cleaning and disinfection services; Sewage treatment and recycling; Water pollution control; Urban and rural appearance management; Urban greening management; Urban park management; Municipal facilities management; Environmental sanitation public facilities installation services (except for projects that must be approved according to law, business activities shall be carried out independently according to law with business license)
Equity structure: Rugao Municipal People’s Government indirectly holds 100% equity of Rugao Gaohuan through Rugao Transportation Industry Group Co., Ltd.
2. Transaction amount with the listed company in the last three fiscal years: in the last three fiscal years, the company has no transaction with the other party signing the contract, and there is no related relationship.
3. Analysis of performance ability: Rugao Gaohuan is a wholly state-owned company with good credit status and strong performance ability.
3、 Main contents of the contract
Party A: Rugao Gaohuan Cleaning Service Co., Ltd
Party B: China Tianying Inc(000035)
1. Project Overview: garbage classification has been continuously carried out in 89 residential communities (50000 households) and 169 units in Rugao City, of which 26 four classification communities of “three determinations and one supervision” have been built. During the contract period, it is planned to add 35 “three determinations and one supervision” communities. The overall classification kiosks shall be constructed according to at least one for every 300 households, and the total number of distribution kiosks shall not be less than 80. The construction of classification kiosks shall be completed before the end of December 2022.
2. Service period: February 1, 2022 to July 31, 2023
3. Service price: the total entrusted service fee is RMB 11.5 million.
4. Payment method: the service fee agreed in the contract shall be paid to the account designated by Party B with the special VAT invoice issued by Party B after quarterly settlement according to the assessment of the competent department of the industry and the comprehensive score of the actual assessment. 5. Dispute resolution and others: this contract shall be interpreted in accordance with the current laws and regulations of the people’s Republic of China. Disputes arising from the execution of this contract or related to this contract shall be settled by both parties through friendly negotiation. If no agreement can be reached within 30 days after negotiation, it shall be submitted to the court for adjudication.
6. Effectiveness of the contract: the contract shall come into force after being signed and sealed by both parties.
4、 The impact of contracts on Listed Companies
1. The successful signing of this contract shows that relying on its professional and rich operation and management experience and advanced intelligent management cloud platform, the company’s high-quality and efficient operation ability of waste classification and collection service project has been highly recognized by customers and the market, which is not only conducive to improving the company’s competitiveness and influence in the urban environmental service market, It also continuously empowers the company’s dual engine development strategy of “environmental protection + new energy”. The smooth performance of the contract will have a positive impact on the company’s business performance in 2022 and future years.
2. The performance of this contract will not affect the independence of the company’s business, and the company’s main business will not have related party transactions, horizontal competition and business dependence due to the performance of this contract.
5、 Risk tips
There is a risk that part or all of the contract cannot be performed due to force majeure; At the same time, the project service fee shall be paid quarterly according to the assessment of the other party and the comprehensive score of the actual assessment. If the assessment result does not meet the standard, there is also the risk of service fee deduction and even corresponding liability for breach of contract. Please pay attention to the investment risk.
6、 Documents for future reference
Government procurement contract (service) signed by both parties.
It is hereby announced.
China Tianying Inc(000035) board of directors February 16, 2022
