The aftermath of "private network communication" is not even. On February 18, Kaile Science And Technology Co.Ltd.Hubei(600260) announced that the company was applied for bankruptcy reorganization by the creditor Hubei Xinqing plasticization.
being applied for bankruptcy reorganization by creditors
performance pre loss of 7.1 billion yuan to 8.7 billion yuan
According to the announcement, as of December 31, 2021, Kaile Science And Technology Co.Ltd.Hubei(600260) has not paid off the legal due creditor's rights of Hubei Xinqing plasticizer to the company, with an amount of RMB 2.1199 million.
According to the relevant provisions of the stock listing rules of Shanghai Stock Exchange (revised in January 2022), if the court accepts the application of Hubei Xinqing plasticizer for company reorganization according to law, the company's shares will be subject to delisting risk warning.
Kaile Science And Technology Co.Ltd.Hubei(600260) said that the creditors of the company were paid off according to the reorganization plan approved by the court. If the company or the manager fails to submit the draft reorganization plan on schedule, or the draft reorganization plan cannot be approved by the court, or the debtor cannot or does not implement the reorganization plan, the court will rule to terminate the reorganization procedure of the company and declare the company bankrupt. However, whether the company enters the reorganization procedure in the future or not, the company will actively do a good job in operation on the existing basis.
At the end of May 2021, around the upstream and downstream of private network communication business, many listed companies successively exposed risks, or the accounts receivable could not be recovered, or the purchaser could not supply goods. After Shanghai Electric Group Company Limited(601727) revealed that there was a huge overdue risk of receivables, in only two months, more than a dozen listed A-share companies involved in "private network communication" business joined the "thunder explosion" team, including Shanghai Hongda New Material Co.Ltd(002211) , Raisecom Technology Co.Ltd(603803) , Changshu Guorui Technology Co.Ltd(300600) , Jiangsu Zhongtian Technology Co.Ltd(600522) , Jiangsu High Hope International Group Corporation(600981) , Jiangsu Zhongli Group Co.Ltd(002309) and Zhejiang Kanglongda Special Protection Technology Co.Ltd(603665) Kaile technology.
Kaile technology is the first A-share listed company to implement st due to "private network communication" business. On August 15, 2021, Keller technology announced that the trading of the company's shares would be suspended for one day on the 16th and resumed on the 17th, and other risk warnings would be implemented. The abbreviation of the shares after the implementation of risk warnings would be changed to Kaile Science And Technology Co.Ltd.Hubei(600260) .
In fact, Kaile Science And Technology Co.Ltd.Hubei(600260) faces greater performance losses. The company's performance forecast for 2021 shows that the net profit attributable to shareholders of Listed Companies in 2021 is expected to be - 7.1 billion yuan to - 8.7 billion yuan. The company said that the main reason for this performance loss was the provision of large credit impairment losses and asset impairment losses during the reporting period.
Specifically, the impairment of accounts receivable, prepayments and inventories of the company's private network communication business is about 5.5 billion yuan; Due to the stagnation of private network business and the sharp contraction of mobile intelligent terminal business, the production and operation of its subsidiary Shanghai Fanzhuo are greatly affected. It is impossible to predict the future operation, and the provision for goodwill impairment is about 500 million yuan; Provide guarantee for subsidiaries and withdraw estimated liabilities of about 1.2 billion yuan.
The company expects the net assets at the end of 2021 to be - 462 million yuan to - 2062 million yuan, and the net assets at the end of last year (2020) to be 6.638 billion yuan. According to the relevant provisions of the stock listing rules of Shanghai Stock Exchange, the company's shares are at risk of delisting risk warning.
Liu Lufeng, a lawyer from Hubei Dexin law firm, believes that, first of all, bankruptcy reorganization is a good thing. If entering the bankruptcy reorganization procedure, creditors can only declare their creditor's rights according to law, all preservation, litigation, arbitration and execution must be stopped, and the creditor's rights enjoyed by the company can be recovered according to law. Through the partial waiver and reduction of creditor's rights by creditors, or the introduction of strategic investors, the company can be reborn through bankruptcy reorganization. Secondly, there is great uncertainty whether bankruptcy reorganization can be approved by the court. According to the public information of Hubei Xinqing plasticization, the latest information is that there are only 6 employees and the registered capital is only 3 million yuan. The public information of both parties has no information to recover the debt through judicial procedures. Whether the creditor's right of 2.1199 million yuan is established, whether it is due, and what procedures have been passed to prove that Kaile is unable to repay, the court must review these conditions.
Liu Lufeng further said that according to relevant information, Kaile is more of a victim. If the public security organ can recover most of the stolen money, Kaile is protected in the bankruptcy reorganization procedure and its basic production is not affected, which is very beneficial to Kaile. The latest information shows that Kaile's institutions basically fled, and the number of retail investors surged. Investors should be cautious.
hidden danger of "private network communication" early buried
St where will Keller go
The "explosion" of Kaile technology private network communication service appeared on July 24, 2021.
On the same day, Kaile technology announced that the supply of three private network communication products purchased by the company from the new generation of upstream suppliers was overdue by 1.151 billion yuan, and the company had paid 95% of the total contract amount in advance according to the contract, and Kaile technology had filed a lawsuit against the new generation.
According to the announcement, as of July 24, 2021, the balance of prepayment of the company's private network communication business was 6.227 billion yuan, of which the contract amount of suppliers' overdue supply was 1.151 billion yuan, and the upstream suppliers' delivery was not overdue. If they continue to fail to supply as promised or return the prepayment in the future, there may be a risk of loss of the company's prepayment; In addition, there are risks in the accounts receivable of private network communication business of 61 million yuan and the inventory of private network communication business of 211 million yuan.
In fact, since 2015, Kaile technology has identified the private network communication business as its main business. Starting with the simple processing business in 2015, it gradually developed to multi link production and manufacturing in 2016. The income of private network communication business increased rapidly, and its proportion in the total revenue of Kaile technology also increased year by year. From 2017 to 2020, the company's private network communication business revenue was 11.12 billion yuan, 14.733 billion yuan, 13.696 billion yuan and 7.778 billion yuan respectively, and the proportion of revenue increased year by year.
Synchronized with the private network revenue, the prepayment of Keller technology also reached RMB 12.14 billion at the end of 2018, most of which was generated by the private network communication business.
The huge advance payment has overwhelmed Kaile technology. Since 2018, Kaile technology has changed the terms of the payment contract for private network communication products. Generally, the company will prepay no less than 30% of the purchase payment within one week after signing the contract with suppliers. However, taking 2019 as an example, the total advance payment of private network communication business still reached 5.635 billion yuan in that year.
In fact, as early as 2017, the Shanghai Stock Exchange paid attention to the significant growth of private network communication and made regulatory inquiries on the 2017 annual report. In particular, the matching of business conditions with fixed assets, intangible assets, production and technical personnel and other business resources. Although the abnormal situation attracted the attention of the exchange, the exchange issued regulatory inquiry letters twice in 2018 and 2020, and the company didn't seem to be vigilant until the "thunder explosion" in 2021.
Kuang Yuqing, the founder of lens research, said in an interview with the Securities Daily that for the impact of private network communication "thunder" on listed companies, it may only be some companies directly affected. These thunder will explode first, and then the companies indirectly affected. In fact, the supply chain behind each company is quite long, Now it is just said that the closer the chain is to the storm center, the faster it will be affected, and the faster the thunder will explode. It is not ruled out that some companies with longer affected chains will come out. And the impact may last for several years, not just this year.
The reporter of Securities Daily will continue to pay attention to where to go and the more impact of the "private network communication" event in the future.
