Guangzhou jusailong Engineering Plastics Co., Ltd
Announcement on initial public offering and listing on GEM
Sponsor (lead underwriter): China Greatwall Securities Co.Ltd(002939)
hot tip
1. Guangzhou jusailong Engineering Plastics Co., Ltd. (hereinafter referred to as "jusailong", "issuer" or "company") in accordance with the measures for the administration of securities issuance and underwriting (CSRC order [No. 144], hereinafter referred to as the "measures") issued by the China Securities Regulatory Commission (hereinafter referred to as the "CSRC") Measures for the administration of the registration of initial public offerings on the gem (for Trial Implementation) (CSRC order [No. 167], hereinafter referred to as the "measures for the administration of registration") and special provisions on the issuance and underwriting of initial public offerings on the gem (CSRC announcement [2021] No. 21, hereinafter referred to as the "special provisions"), Shenzhen Stock Exchange (hereinafter referred to as the "Shenzhen Stock Exchange") promulgated the "Shenzhen Stock Exchange gem IPO and underwriting business implementation rules (revised in 2021)" (SZS [2021] No. 919, hereinafter referred to as the "implementation rules") and the "Shenzhen market IPO online issuance implementation rules" (SZS [2018]) No. 279, hereinafter referred to as "detailed rules for the implementation of online issuance"), The China Securities Association (hereinafter referred to as the "Securities Association") promulgated the code for underwriting initial public offerings under the registration system (Zhong Zheng Xie Fa [2021] No. 213, hereinafter referred to as the "underwriting code") and the relevant provisions of the Shenzhen Stock Exchange on stock issuance and listing rules and the latest operating instructions, and organized the implementation of initial public offerings and listing on the gem.
2. This online issuance is conducted through the trading system of Shenzhen Stock Exchange. Online investors are requested to carefully read this announcement and the detailed rules for the implementation of online issuance issued by Shenzhen Stock Exchange.
Investors are kindly requested to pay attention to the issuance process, subscription, payment, disposal of share abandonment and other links of this issuance. The specific contents are as follows:
(1) This issuance adopts the direct pricing method and is issued online to investors holding the market value of non restricted A-Shares and non restricted depositary receipts in Shenzhen market (hereinafter referred to as "online issuance"), without offline inquiry and placement;
(2) The issuer and the recommendation institution (lead underwriter) China Greatwall Securities Co.Ltd(002939) (hereinafter referred to as "recommendation institution (lead underwriter)", " China Greatwall Securities Co.Ltd(002939) ") have negotiated and determined this offering by comprehensively considering the issuer's industry, market conditions, valuation level of Listed Companies in the same industry, demand for raised funds, underwriting risk and other factors
The line price is 30.00 yuan / share. Based on this price, investors will apply for the purchase online by market value through the trading system of Shenzhen Stock Exchange on March 2, 2022 (t day). There is no need to pay the subscription fund at the time of subscription. The online subscription time is 9:15-11:30, 13:00-15:00;
(3) Online investors shall independently express their purchase intention and shall not fully entrust securities companies to purchase new shares on their behalf;
(4) After winning the lottery in the subscription of new shares, online investors shall fulfill their payment obligations in accordance with the announcement on the lottery results of initial public offering of shares by Guangzhou jusailong Engineering Plastics Co., Ltd. and listing on the gem (hereinafter referred to as the "announcement on the lottery results of online pricing issuance") announced on March 4, 2022 (T + 2). At the end of March 4 (T + 2) 2022, the successful investor shall ensure that his capital account has sufficient funds for the subscription of new shares, and the insufficient part shall be deemed to give up the subscription. The resulting consequences and relevant legal liabilities shall be borne by the investor. The transfer of investors' funds shall comply with the relevant provisions of the securities company where they are located. The shares abandoned by the winning investors shall be underwritten by the sponsor (lead underwriter). When the total number of shares subscribed by online investors is less than 70% of the number of public offerings, the issuer and the recommendation institution (lead underwriter) will suspend the issuance of new shares and disclose the reasons for the suspension and subsequent arrangements;
(5) If online investors fail to pay in full after winning the lottery for three times in a row within 12 months, they shall not participate in the online subscription of new shares, depositary receipts, convertible corporate bonds and exchangeable corporate bonds within 6 months (calculated as 180 natural days, including the next day) from the next day of the settlement participant's latest declaration of abandonment of subscription. The number of times of giving up subscription shall be calculated according to the number of times of investors actually giving up subscription of new shares, depositary receipts, convertible corporate bonds and exchangeable corporate bonds.
3. The issuer and the recommendation institution (lead underwriter) solemnly remind investors to pay attention to investment risks and invest rationally. They should carefully read this announcement and publish it in China Securities News, Shanghai Securities News, securities times, securities daily and cninfo (www.cn. Info. Com. CN) on March 1, 2022 (t-1) The special announcement on the investment risk of Guangzhou jusailong Engineering Plastics Co., Ltd. in its initial public offering and listing on the gem fully understands the risk of the GEM market and prudently participates in this IPO.
4. The issuer and the recommendation institution (lead underwriter) promise that there are no post meeting matters affecting this offering.
Valuation and investment risk tips
1. New share investment has great market risks. Investors need to fully understand the risks of new share investment and gem market, carefully study the risks disclosed in the prospectus of Guangzhou jusailong Engineering Plastics Co., Ltd. for initial public offering and listing on GEM (hereinafter referred to as the "prospectus"), and fully consider the risk factors, Prudently participate in this offering.
2. According to the industry catalogue and classification principles of the guidelines for Industry Classification of listed companies (revised in 2012) issued by the CSRC, the company's industry currently belongs to "rubber and plastic products industry (C29)". The static average p / E ratio of the industry in the latest month released by China Securities Index Co., Ltd. is 25.55 times (as of February 25, 2022 (T-3)), please refer to it when making decisions. The price earnings ratio of the issuer corresponding to the issuance price of 30.00 yuan / share is 19.13 times (the earnings per share is calculated by dividing the net profit attributable to the owner of the parent company in 2020, which is the lower before and after deducting non recurring profits and losses, audited by an accounting firm and determined in accordance with Chinese accounting standards, by the total number of shares after the issuance), It does not exceed the static average p / E ratio of the industry in the latest month released by China Securities Index Co., Ltd., but there is still a risk that the decline of the issuer's share price will bring losses to investors in the future. The issuer and the recommendation institution (lead underwriter) remind investors to pay attention to investment risks, carefully study and judge the rationality of issuance pricing, and make investment decisions rationally.
3. The issuer plans to invest 360 million yuan in the raised investment project of this issuance. Based on the issue price of 30.00 yuan / share and 11952152 new shares, the total amount of funds raised is expected to be 358564600 yuan. After deducting the issuance cost of 494707 million yuan (excluding value-added tax), the net amount of funds raised is expected to be 309093800 yuan. The insufficient part of the company will be solved through self raised funds.
There is a risk that the net asset scale will increase significantly due to the acquisition of raised funds, which will have an important impact on the issuer's production and operation mode, operation management and risk control ability, financial status, profitability and long-term interests of shareholders.
4. If the issuer's raised funds are not used properly or the business cannot grow synchronously in the short term, it will have an adverse impact on the issuer's profitability or there is a risk of a significant decline in the issuer's return on net assets, resulting in a decline in the issuer's valuation level and stock price, resulting in the risk of investment loss to investors.
Important tips
1. The application of Guangzhou jusailong Engineering Plastics Co., Ltd. for the initial public offering of no more than 11952152 ordinary shares (A shares) and listing on the gem (hereinafter referred to as "this offering") has been examined and approved by the GEM Listing Committee of Shenzhen Stock Exchange, and was registered with the CSRC's CSRC permit [2022] No. 299 on February 8, 2022.
2. This offering is directly priced and issued to investors holding the market value of non restricted A-Shares and non restricted depositary receipts in Shenzhen market through online subscription according to the market value, and is planned to be listed on the gem of Shenzhen Stock Exchange. The subscription of the issued shares is referred to as "jusailong" for short, and the online subscription code is "301131".
3. The total number of shares in this public offering is 11952152. Among them, 11952000 shares were issued online, accounting for 999987% of the total issuance. The remaining 152 shares that did not reach the online subscription unit of 500 shares of new shares in Shenzhen stock market were underwritten by the sponsor (lead underwriter). Before this issuance, the total share capital of the issuer was 35827848 shares, and after this issuance, the total share capital of the issuer was 47780000 shares. All the shares issued this time are new shares, and the transfer of old shares is not arranged. The shares issued this time have no circulation restrictions and locking arrangements.
4. The issuer and the recommendation institution (lead underwriter) negotiated and determined the offering price of 30.00 yuan / share by comprehensively considering the issuer's industry, market conditions, valuation level of Listed Companies in the same industry, demand for raised funds, underwriting risk and other factors. The price earnings ratio corresponding to this price is:
(1) 13.96 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before this issuance);
(2) 14.34 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before the issuance);
(3) 18.62 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after this issuance);
(4) 19.13 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after the issuance
The P / E ratio corresponding to this price does not exceed 25.55 times the static average p / E ratio of the industry in the latest month published by China Securities Index Co., Ltd. (as of February 25, T-3, 2022).
According to the financial data reviewed by the accounting firm of the issuer in 2021, the price earnings ratio corresponding to the issuance price of 30.00 yuan / share is:
(1) 16.77 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses reviewed by the accounting firm in 2021 by the total share capital before this issuance);
(2) 18.97 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses reviewed by the accounting firm in 2021 by the total share capital before the issuance);
(3) 22.36 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses reviewed by the accounting firm in 2021 by the total share capital after this issuance);
(4) 25.30 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses reviewed by the accounting firm in 2021 by the total share capital after this issuance).
5. If the offering is successful, the total amount of funds raised by the issuer is expected to be 358564600 yuan. After deducting the issuance fee of 494707 million yuan (excluding value-added tax), the net amount of funds raised is expected to be 309093800 yuan. The use plan of the funds raised by the issuer and other relevant information have been disclosed in the prospectus on February 28, 2022 (T-2). The full text of the prospectus can be found on the website designated by the CSRC (cninfo: www.cn. Info. Com. CN; CSI: www.cs. Com. CN; China Securities: www.cn. Stock. Com; Securities Times: www.stcn. Com; Securities Daily: www.zqrb. CN) Query.
6. Important issues of online distribution
(1) The online subscription time is 9:15-11:30 and 13:00-15:00 on March 2, 2022 (t day). Online investors shall independently express their purchase intention and shall not fully entrust securities companies to purchase new shares on their behalf.
(2) Before March 2, 2022 (t day), open a securities account in Shenzhen Branch of China Securities Depository and Clearing Corporation Limited (hereinafter referred to as "Shenzhen Branch of China Securities Depository and Clearing Corporation") and open the trading authority of gem, Investors who hold non restricted A-Shares and non restricted depositary receipts in Shenzhen market with a certain market value every 20 trading days (including T-2) before February 28, 2022 (T-2) can apply for the shares issued online through the trading system of Shenzhen Stock Exchange. Among them, natural persons shall have opened the trading authority of the GEM market in accordance with the measures for the implementation of the appropriateness management of investors on the gem of Shenzhen Stock Exchange (revised in 2020) (except for buyers prohibited by national laws and regulations).
(3) Investors shall determine their online subscription quota according to the market value of non restricted A-Shares and non restricted depositary receipts in Shenzhen market (hereinafter referred to as "market value"). Investors with a market value of more than 10000 yuan (including 10000 yuan) can participate in the subscription of new shares. One subscription unit can be purchased for every market value of 5000 yuan, and the part less than 5000 yuan is not included in the subscription quota. Each subscription unit shall be 500 shares, and the number of subscription units shall be 500 shares or integral multiples thereof, but the maximum number shall not exceed one thousandth of the number of shares issued online this time, i.e. 11500 shares, and shall not exceed the upper limit of the subscription amount calculated according to the market value. The market value held by investors is calculated according to the average daily holding market value of the 20 trading days before February 28, 2022 (T-2), which can be used in March 2022 at the same time
