Securities code: 605296 securities abbreviation: Yunnan Shennong Agricultural Industry Group Co.Ltd(605296) Announcement No.: 2022-014 Yunnan Shennong Agricultural Industry Group Co.Ltd(605296)
Announcement on changing the investment project of raised funds
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
Important content tips:
Original project name: Yunnan Shennong Zhanyi Huashan annual breeding base construction project of 240000 high-quality piglets (hereinafter referred to as “Zhanyi Huashan project”), Qujing Zhanyi District Baishui town Gang Road annual breeding base construction project of 100000 high-quality pigs (hereinafter referred to as “zhanyigang road project”)
New project name and total investment amount: revitalization pig farm project of Guangxi Daxin Shennong animal husbandry Co., Ltd. (hereinafter referred to as “new project”), with a total investment of 168 million yuan
Amount of change in the investment direction of raised funds: 76.6845 million yuan
Time when the new project is expected to be put into normal operation and generate revenue: the overall construction cycle of the new project is 9 months, and it is expected to be put into operation in November 2022.
1、 Overview of changes in investment projects with raised funds
According to the reply on Approving the initial public offering of Yunnan Shennong Agricultural Industry Group Co.Ltd(605296) issued by the China Securities Regulatory Commission (zjxk [2021] No. 1314), it is agreed that Yunnan Shennong Agricultural Industry Group Co.Ltd(605296) (hereinafter referred to as the “company”) will publicly issue 40.03 million RMB ordinary shares to the public, raising a total of RMB 2244882400.00, deducting the issuance expenses of RMB 153448000.00, The net amount of funds actually raised is 2091434400.00 yuan. All the above-mentioned raised funds were in place on May 25, 2021, and Tianjian Certified Public Accountants (special general partnership) verified the arrival of the raised funds in this issuance on May 25, 2021, and issued the capital verification report (Tianjian Yan [2021] No. 1-27). The funds raised by the company after deducting the issuance expenses were originally planned to be invested in the following projects:
No. project name total project investment planned to use the raised capital during the construction period (10000 yuan)
I. Yunnan Shennong Luliang project with an annual output of 500000 tons, feeding 20000.00 12-month materials and biosafety Center
II. Construction project of high-quality piglet breeding base
2-1 Yunnan Shennong Shilin annual production of 180000 11086.94 12-month high-quality piglet breeding base construction project
Yunnan Shennong Luliang Pig Industry Co., Ltd
2-2 construction project of 180000 piglet breeding base 12000.00 12000.00 12-month project
Yunnan Shennong Zhanyi Huashan annual launch 24
14500.00 12-month project for the expansion base construction of 20000-30000 high-quality piglets
Downhill Nian, Baishui Town, Zhanyi District, Qujing City
2-4 12-month construction project of expanding breeding base of 240000 high-quality piglets 14500.00 13796.24
Wuding Shennong Pig Industry Development Co., Ltd
2-5 150000 piglets breeding base construction project 10000.00 7800.40 12-month project
Wuding Shennong Pig Industry Development Co., Ltd
2-6 Wenbishan 150000 piglets breeding base 10000.00 7322.79 12-month construction project
2-7 construction project of 180000 piglets 15000.00 14530.89 12-month pig breeding base in Leiping Town, Daxin County, Guangxi
III. construction project of high-quality pig fattening base
Yunnan Shennong Binchuan Pig Industry Co., Ltd
3-1 year production of 32000 high-quality pigs 6802.39 6802.39 12-month construction project
Ganglu, Baishui Town, Zhanyi District, Qujing City
3-2 launch 100000 high-quality pigs and build 14600.00 14600.00 12-month project
Snail pond in Shennong stone forest, Yunnan Province
3-3 100000 high-quality pig base construction project 15000.00 14703.79 12-month project
IV. Yunnan Shennong Qujing Food Co., Ltd. 15000.00 12-month annual 500000 pigs slaughtering new project
V. supplementary working capital 57000.00 57000.00-
Total 215489.33 209143.44-
The total amount of raised funds involved in this change is the unused raised funds of the original “Zhanyi Huashan project” and the interest generated, totaling 31.6797 million yuan, accounting for 1.51% of the financing amount; The unused raised funds and the interest generated from the “zhanyigang road project” amounted to 45.048 million yuan, accounting for 2.14% of the financing amount. After the change, it will be used for the construction of the “revitalization of pig farm project of Guangxi Daxin Shennong animal husbandry Co., Ltd.” the total investment of the new project is 168 million yuan, and it is planned to use 76.6845 million yuan of raised funds, and the rest will be solved by the company’s self raised funds. On February 23, 2022, the 31st meeting of the third board of directors and the 22nd Meeting of the third board of supervisors deliberated and adopted the proposal on changing the investment projects of raised funds. The independent directors, the board of supervisors and the recommendation institution have expressed their consent on this matter. This proposal needs to be submitted to the general meeting of shareholders of the company for deliberation.
The change of the investment project of the raised funds does not constitute a related party transaction. (Note: the interest and investment income generated from the special account of the raised funds are also invested in the project from the time this change is considered by the board of directors to the final investment of the raised funds).
2、 Specific reasons for changing the investment project of raised funds
(I) planned investment and actual investment of the original project
The implementation subject of the original raised investment project “Zhanyi Huashan project” is Qujing Zhanyi Shennong Pig Industry Development Co., Ltd. (hereinafter referred to as “Zhanyi Shennong”), and the construction content of the project is the breeding base of 8000 sows. The project obtained the investment project filing Certificate (Project No.: 5303282019060233) issued by the development and Reform Bureau of Zhanyi District, Qujing City on June 17, 2019. It is planned to be constructed in Xinpai village committee, Huashan Town, Zhanyi District, Qujing City, Yunnan Province. The total investment of the project is 145 million yuan and the construction period is 12 months.
As of December 31, 2021, the project investment is as follows:
No. original planned investment amount of the project (10000 yuan) actual investment amount (10000 yuan)
I. construction cost: 9146.06 7027.99
1.1 main works 3717.16 2856.65
1.2 auxiliary works 932.36 716.39
1.3 utilities 1241.55 953.71
1.4 equipment 3255.00 2501.24
II. Other expenses of project construction 3307.00 2879.75
2.1 land fee 416.00 414.23
2.2 productive biological assets 2456.00 2456.00
2.3 other expenses 435.00 9.52
III. reserve cost 622.65-
IV. initial working capital 1424.29
Total 14500.00 11332.03
The implementation subject of the original raised investment project “zhanyigang road project” is “Zhanyi Shennong”, and the construction content of the project is the annual production of 100000 high-quality pigs base. The project obtained the investment project filing Certificate (Project No.: 530303201920444) issued by the development and Reform Bureau of Zhanyi District, Qujing City on December 24, 2019. It is planned to be constructed in ganglu village, Baishui Town, Zhanyi District, Qujing City, Yunnan Province. The total investment of the project is 146 million yuan and the construction period is 12 months.
As of December 31, 2021, the project investment is as follows:
No. original planned investment amount of the project (10000 yuan) actual investment amount (10000 yuan)
I. construction cost 10271.61 6491.61
1.1 main works 4460.63 2819.03
1.2 auxiliary works 903.46 571.18
1.3 utilities 2807.52 1774.47
1.4 equipment 2100.00 1326.93
II. Other expenses for project construction 1078.00 640.00
2.1 land fee 640.00 640.00
2.2 other expenses 438.00-
III. reserve cost 567.48 285.00
IV. initial working capital 2682.91 2682.91
Total 14600.00 10099.52
(II) specific reasons for change
Due to the frequent occurrence of African swine fever in Yunnan Province in 2021, the surrounding environment of the construction site of the raised investment project has changed, making biosafety management more difficult. After full investigation and demonstration by the company, combined with the company’s biosafety control system and epidemic prevention and control experience, The company reduced the scale of the above-mentioned raised investment projects: “Zhanyi Huashan project” was adjusted from 240000 to 180000, and “zhanyigang road project” was adjusted from 100000 to 56000. The scale reduction will help the company effectively establish and improve the biosafety prevention and control system, ensure the safety of the company’s assets, accelerate the implementation progress of the company’s industrial layout, and improve the overall operation efficiency of the company.
3、 Specific contents of the new project
New project name: revitalization of pig farm project of Guangxi Daxin Shennong animal husbandry Co., Ltd;
Construction site: Zhenxing village, Leiping Town, Daxin County, Chongzuo City, Guangxi Zhuang Autonomous Region;
Project undertaker: Guangxi Daxin Shennong animal husbandry Co., Ltd.
(I) project content and scale
