Hengbao Co.Ltd(002104) : announcement of abnormal fluctuations in stock trading

Securities code: 002104 securities abbreviation: Hengbao Co.Ltd(002104) Announcement No.: 2022-006 Hengbao Co.Ltd(002104)

Announcement of abnormal fluctuations in stock trading

The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete, and there are no false records, misleading statements or major omissions.

Important risks and content tips:

1. Hengbao Co.Ltd(002104) (hereinafter referred to as “the company” or “the company”) has deviated from the closing price by more than 20% in two consecutive trading days (February 21, 2022 and February 22, 2022). According to the relevant regulations of Shenzhen Stock Exchange, it is an abnormal fluctuation of stock trading.

2. Trading risk in the secondary market: the daily closing price of the company’s stock price has deviated by more than 20% in two consecutive trading days. As of the closing on February 22, 2022, the closing price of the company is 16.65 yuan. From January 28 to February 22, 2022, the range increase is 115.12%. The recent fluctuation range of the company’s share price is large. The turnover rate on February 22 was 45.28%, significantly higher than the average turnover rate of 21.39% in the 20 trading days before the company’s stock change (from January 18 to February 21). From January 28 to February 22, 2022, the range turnover rate was 366.00%. According to the relevant valuation data of China Securities Index Co., Ltd., as of the closing of February 22, 2022, the latest static P / E ratio of industry C Manufacturing of the CSRC to which the company belongs is 35.93 times, the latest P / E ratio of the company is 262.11 times, the industry P / B ratio is 3.62 times, and the latest P / B ratio of the company is 5.88 times, which are significantly higher than that of Listed Companies in the same industry. Please invest rationally and pay attention to risks.

1、 Introduction to abnormal fluctuations in stock trading

The company’s stock (Securities abbreviation: Hengbao Co.Ltd(002104) , securities code: 002104) has accumulated more than 20% deviation from the closing price increase within two consecutive trading days (February 21, 2022 and February 22, 2022). According to the relevant provisions of the trading rules of Shenzhen Stock Exchange, it belongs to the situation of abnormal fluctuation of stock trading.

2、 Description of the company’s concern and verification

In view of the abnormal fluctuation of the company’s stock trading, the board of directors of the company has verified the relevant matters of the company, the controlling shareholder and the actual controller. The relevant information is explained as follows:

1. The information disclosed by the company in the early stage does not need to be corrected or supplemented.

2. The company is concerned that the market has paid more attention to digital RMB and related products recently, and the company’s business has been mentioned in relevant media reports. Now the relevant matters are explained as follows:

The company has carried out series layout, technology and product reserves around digital RMB products and solutions, and actively cooperated with customers to carry out pilot scene construction, realizing scene landing and a small amount of supply. However, since digital RMB is still in the pilot stage, the company only generates a small amount of business income related to digital RMB and has not yet formed a scale, It has little impact on the company’s performance. The marketing progress of the company’s digital RMB related business will be carried out step by step in strict accordance with the national planning and the deployment of the competent department. The company’s digital RMB business is still in the preliminary stage, and the growth and income scale of this business can not be accurately predicted. The company solemnly reminds the majority of investors to make prudent decisions, invest rationally and pay attention to investment risks.

3. The company’s recent operation is normal, and the internal and external business environment has not changed significantly.

4. After verification, the company, the controlling shareholder and the actual controller have no major events that should be disclosed but not disclosed about the company, or major events in the planning stage.

5. After verification, the controlling shareholder and actual controller of the company did not buy or sell the company’s shares during the abnormal fluctuation of stock trading.

6. The company does not violate fair information disclosure.

3、 Explanation on no information that should be disclosed but not disclosed

The board of directors of the company confirms that the company has no undisclosed matters or planning, negotiation, intention, agreement, etc. related to the matters that should be disclosed in accordance with the relevant provisions of the stock listing rules of Shenzhen Stock Exchange; The board of directors has not been informed that the company has undisclosed information that has a great impact on the trading price of the company’s shares and their derivatives that should be disclosed in accordance with the relevant provisions of the stock listing rules of Shenzhen Stock Exchange; The information disclosed by the company in the early stage does not need to be corrected or supplemented.

4、 Risk tips deemed necessary by the company

1. Through self-examination, the company does not violate the fair disclosure of information.

2. Trading risk in the secondary market: the daily closing price of the company’s stock price has deviated by more than 20% in two consecutive trading days. As of the closing on February 22, 2022, the closing price of the company is 16.65 yuan. From January 28 to February 22, 2022, the range increase is 115.12%. The recent fluctuation range of the company’s share price is large. The turnover rate on February 22 was 45.28%, significantly higher than the average turnover rate of 21.39% in the 20 trading days before the company’s stock change (from January 18 to February 21). From January 28 to February 22, 2022, the range turnover rate was 366.00%. According to the relevant valuation data of China Securities Index Co., Ltd., as of the closing of February 22, 2022, the latest static P / E ratio of industry C Manufacturing of the CSRC to which the company belongs is 35.93 times, the latest P / E ratio of the company is 262.11 times, the industry P / B ratio is 3.62 times, and the latest P / B ratio of the company is 5.88 times, which are significantly higher than that of Listed Companies in the same industry. Please invest rationally and pay attention to risks.

3. The company disclosed the 2021 annual performance forecast (Announcement No.: 2022-002) on January 25, 2022. As of the disclosure date of this announcement, the above performance is not expected to be corrected. The specific financial data of the company in 2021 shall be subject to the 2021 annual report disclosed by the company.

4. The capital market is affected by many factors. In this regard, the company reminds the majority of investors that they should fully understand the risks of the stock market, pay attention to the trading risks of the secondary market, make prudent decisions, invest rationally, improve risk awareness and avoid blindly following the trend.

5. The company solemnly reminds investors that the information disclosure media designated by the company are securities times, China Securities News, Shanghai Securities News and cninfo( http://www.cn.info.com.cn. ), all information of the company shall be subject to the information disclosed in the above media.

6. The company will conscientiously perform the obligation of information disclosure and do a good job of information disclosure in a timely manner in strict accordance with the provisions and requirements of relevant laws and regulations. Please invest rationally and pay attention to risks.

It is hereby announced.

Hengbao Co.Ltd(002104) board of directors

February 22, 2002

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