Securities code: 688335 securities abbreviation: Shanghai Ceo Environmental Protection Technology Co.Ltd(688335) Announcement No.: 2021-032 Shanghai Ceo Environmental Protection Technology Co.Ltd(688335)
Announcement on signing major contracts for daily operation
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 legal liabilities for the authenticity, accuracy and integrity of its contents according to law.
Important content tips:
Contract type: Sales Contract
Contract amount: RMB 410610000.00 (tax included)
Conditions for effectiveness of the contract: the contract shall become effective when all the following conditions are met: (1) the contract has been sealed by all parties; (2) the seller has submitted a qualified performance guarantee.
Contract performance period: the equipment delivery period is within 7 months after signing the contract; The warranty period of the equipment is 24 months after all the equipment under the contract runs normally with water and passes the completion acceptance.
Impact on the current performance of listed companies: the performance of this contract has no impact on the performance in 2021. If this contract is successfully performed, it is expected to have a positive impact on the company’s operating performance in 2022 and in the future, which is conducive to improving the company’s sustainable profitability and core competitiveness.
Special risk tips:
1. Performance risk: during the performance of the contract, due to the large contract amount, there is a risk that the final performance of the contract will be affected by major changes in the external macro environment, changes in relevant national policies, changes in customer demand and other unforeseen or force majeure factors.
2. Default risk: during the performance of the contract, there is a risk that the company will bear the liability for breach of contract due to the company’s failure to supply, complete or provide services on time and as required.
1、 Review procedure
Shanghai Ceo Environmental Protection Technology Co.Ltd(688335) (hereinafter referred to as “the company”) and Jiangsu Sumec Corporation Limited(600710) complete equipment Engineering Co., Ltd. (hereinafter referred to as “the other party”) recently signed the equipment procurement contract for lot zysq2.7 (process equipment procurement and accompanying services of sludge treatment plot) of phase IV Project of Zhuyuan sewage treatment plant (hereinafter referred to as “the contract” or “the contract”) ）， The contract amount is RMB 410610000.00 (including tax). This contract is a daily operation contract of the company. The company has held the fourth meeting of the third board of directors on December 10, 2021, deliberated and adopted the proposal on signing major daily operation contracts by the company. According to the Listing Rules of science and Innovation Board of Shanghai Stock Exchange and the Shanghai Ceo Environmental Protection Technology Co.Ltd(688335) articles of association The signing of this contract does not need to be submitted to the general meeting of shareholders for deliberation.
2、 Subject matter of the contract and the other party
(i) Subject matter of the contract
The company sells process equipment and accompanying services of sludge treatment plot to Jiangsu Sumec Corporation Limited(600710) complete equipment Engineering Co., Ltd. with a contract amount of RMB 410610000.00 (including tax).
（2） Information of the other party to the contract
1. Company name: Jiangsu Sumec Corporation Limited(600710) complete equipment Engineering Co., Ltd
2. Nature of enterprise: limited liability company
3. Legal representative: Jin Yongchuan
4. Registered capital: RMB 142 million
5. Date of establishment: December 26, 1997
6. Registered address: 12th floor, No. 198 Changjiang Road, Nanjing
7. Major shareholders: trade union of Jiangsu Sumec Corporation Limited(600710) Group Co., Ltd. and Jiangsu Sumec Corporation Limited(600710) Group Co., Ltd
8. Business scope: contracting overseas projects and various Chinese projects, project consulting and design, construction of electromechanical equipment installation projects, municipal projects and environmental protection projects; Engaged in mechanical and electrical products and accessories, electrical products and accessories, instrument products and accessories, pipe fittings and pipe fittings, steel chemical products (excluding dangerous chemicals and precursor drugs), sales of metal materials and products, sales, placement and installation of communication lines, petroleum, chemical, gas, water supply, drainage, heating and other pipeline systems and various mechanical equipment; self-supporting and acting as an agent for the import and export of various commodities and technologies; processing trade and re export trade of imported materials; Chinese trade of various commodities; primary commodities Shenzhen Agricultural Products Group Co.Ltd(000061) sales; Food sales; Processing and wholesale of fuel and its raw materials (excluding hazardous chemicals). Business of class III medical devices; sales of class I medical devices; sales of class II medical devices (items subject to approval according to law can only be carried out after approval by relevant departments). General items: water pollution treatment; solid waste treatment; soil pollution treatment and remediation services (except for the items that must be approved according to law, the company shall independently carry out business activities according to law with its business license)
9. Main financial data of the counterparty in the latest fiscal year
Unit: RMB
Financial indicators December 31, 2020 / year 2020
Total assets 2359736779.73
Net assets 601610135.06
Operating income 3262103858.99
Net profit 170728302.11
（3） Relationship between the counterparty and the company and its holding subsidiaries
There is no association relationship between the counterparty and the company and its holding subsidiaries, and there has been no business transaction in the last three fiscal years.
3、 Main terms of the contract
1. Contract parties
Buyer: Jiangsu Sumec Corporation Limited(600710) complete equipment Engineering Co., Ltd
Seller: Shanghai Ceo Environmental Protection Technology Co.Ltd(688335)
2. Contract amount
RMB 410610000.00 (tax included)
3. Payment method and payment schedule
The buyer shall pay the contract price and other payables according to the time limit and method agreed in the contract.
4. Place of performance
Gaodong Town, Pudong New Area, Shanghai
5. Performance period
The delivery date of the equipment is within 7 months after signing the contract; The warranty period of the equipment is 24 months after all the equipment under the contract runs normally with water and passes the completion acceptance.
6. Effective conditions of contract
The contract shall come into force when all the following conditions are met: (1) the contract has been sealed by all parties; (2) the seller has submitted a qualified performance guarantee.
7. Time and place of contract signing
Both parties signed this contract in Nanjing recently.
8. Liability for breach of contract
During the execution of the contract, there is a risk that the company will bear the liability for breach of contract due to the company’s failure to supply, complete or provide services on time and as required.
9. Dispute resolution
The parties shall settle all disputes arising from or in connection with the contract through friendly negotiation. If the negotiation fails, any party to the contract may bring a lawsuit to the people’s court with jurisdiction where the buyer is located.
4、 The impact of contract performance on Listed Companies
1. The performance of this contract will not affect the performance in 2021. If this contract is successfully performed, it is expected to have a positive impact on the company’s operating performance in 2022 and in the future, which is conducive to improving the company’s sustainable profitability and core competitiveness.
2. The performance of this contract will not affect the independence of the company’s business and will not rely on the other party of the above contract due to the performance of this contract.
5、 Risk analysis of contract performance
1. Performance risk: during the performance of the contract, due to the large contract amount, there is a risk that the final performance of the contract will be affected by major changes in the external macro environment, changes in relevant national policies, changes in customer demand and other unforeseen or force majeure factors.
2. Default risk: during the performance of the contract, there is a risk that the company will bear the liability for breach of contract due to the company’s failure to supply, complete or provide services on time and as required.
It is hereby announced.
Shanghai Ceo Environmental Protection Technology Co.Ltd(688335) board of directors December 23, 2021
