On February 17, Sundy Land Investment Co.Ltd(600077) responded to the termination of the company’s share repurchase plan and performance loss advance after nine trading days of delay.
On January 23 last year, Sundy Land Investment Co.Ltd(600077) disclosed the repurchase plan with a repurchase amount of 130-260 million yuan, but this repurchase plan was terminated on January 21 this year, one of the reasons is to strengthen the safety management of the company’s capital liquidity. However, during the repurchase period, Sundy Land Investment Co.Ltd(600077) purchased the private fund shares held by the actual controller with RMB 131 million in cash and invested RMB 500 million to establish a lithium subsidiary.
For the termination of share repurchases, Sundy Land Investment Co.Ltd(600077) said that affected by the tightening of macro-control policies, “three red lines”, centralized land supply and financing policies, the company needs to concentrate funds to ensure project operation and main business turnover, and give priority to the investment of funds in the company’s main business and the business development of the company’s sustainable development. Therefore, Sundy Land Investment Co.Ltd(600077) believes that it is necessary and reasonable to terminate the repurchase of shares.
In addition, Sundy Land Investment Co.Ltd(600077) said that the company’s share repurchase plan was not terminated due to the occupation of the company’s share repurchase funds due to foreign investment. Whether it is to carry out foreign investment, launch share repurchase plan or terminate share repurchase, the company is based on the time point, under the premise of risk control, combined with the company’s external environment The consideration and decision-making of maintaining healthy development and improving the efficiency of capital use is the choice to ensure the sound development of the company, without damaging the interests of the company and all shareholders, especially small and medium-sized shareholders.
On January 20 this year, Sundy Land Investment Co.Ltd(600077) predicted the performance in 2021. It is estimated that the net profit attributable to the parent company last year will be a loss of 300-400 million yuan, a sharp decline of 185% – 214% year-on-year. The loss was mainly due to the year-on-year decrease in investment income due to the impairment of self owned leased real estate and the decrease in the delivery of cooperative projects.
In view of the reasons for the loss, Sundy Land Investment Co.Ltd(600077) responded that the investment income recognized by the company mainly comes from the real estate cooperative development projects. Due to the imbalance of the starting delivery time of the real estate of each cooperative project and the owner’s collection time, the annual profit and loss of the cooperative project company is affected, resulting in large fluctuations in the investment income recognized by the company according to the profit and loss of the cooperative project.
In view of the year-on-year decrease in investment income, Sundy Land Investment Co.Ltd(600077) said that the sharp decline in investment income of the company was mainly caused by the imbalance between the start delivery time of the real estate of the cooperative project company and the owner’s collection time, which was reasonable.
