Securities code: Grg Banking Equipment Co.Ltd(002152) securities abbreviation: Grg Banking Equipment Co.Ltd(002152) Announcement No.: pro 2022021 Grg Banking Equipment Co.Ltd(002152)
Announcement on signing important overseas contracts by wholly-owned companies
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
Recently, GRG Hong Kong Mexico, S.A. de C.V. (Mexico subsidiary) (hereinafter referred to as “grgmx”) and Mexico BBVA m É xico, Sociedad an Ó, Instituci Ó n de Banca m Ú ltiple, a wholly-owned subsidiary of GRG banking equipment (HK) Co., Ltd. (hereinafter referred to as “Express International”), a wholly-owned subsidiary of Grg Banking Equipment Co.Ltd(002152) (hereinafter referred to as “grgmx”) and Mexico BBVA m ߛÓ (hereinafter referred to as “company”), Grupo financiero BBVA m É xico (hereinafter referred to as “BBVA Bank of Mexico”) signed the purchase and sales contract of financial self-service equipment and the maintenance service contract of financial self-service equipment, The total amount of the two contracts is about USD 2789959043 (calculated at the exchange rate of USD: RMB = 1: 6.3178 and RMB: Mexican Peso = 1: 3.3824 published by the State Administration of foreign exchange on March 9, 2022, about RMB 17626403245). The details are as follows:
1、 Basic information of participants
Company name: GRG Hong Kong Mexico, S.A. de C.V
Date of establishment: December 16, 2008
Registered capital: 37.94 million Mexican pesos
Registered address: lousiana177 Napoles Benito Juarez Ciudad de Mexico
Equity ratio: the company’s wholly-owned subsidiary, express international, holds 100% of its equity. The company is a wholly-owned subsidiary of the company. 2、 Counterparty introduction
1. Basic information
Name of counterparty: BBVA m É xico, Sociedad an Ó NIMA, Instituci Ó n de bancam Ú ltiple, Grupo financiero bbvam É xico
Total delactivo: as of December 31, 2021, it was 2453465 million Mexican pesos (data source: BBVA Bank of Mexico 2021 annual audit report).
Address: Avenida Paseo de la Reforma, n ú mero 510, Colonia Ju á rez, delegaci ó n cuauht é MOC,
C ó Digo postal 06600, m é xico, Distrito Federal
BBVA Bank of Mexico is the holding subsidiary of BBVA Bank (Banco Bilbao vizcayaargentaria) in Mexico and the largest financial institution in Mexico. BBVA is a well-known global bank headquartered in Madrid, the capital of Spain. It is also an international financial group and global investment bank. It has branches in more than 30 countries and regions around the world and occupies a leading position in market coverage and brand awareness in Latin America.
2. Relationship: the company has no relationship with BBVA Bank of Mexico.
3. Analysis of performance ability: BBVA Mexico bank has good credit status and good performance ability.
3、 Main contents of the contract
The main contents of the purchase and sale contract of financial self-service equipment and the maintenance service contract of financial self-service equipment recently signed by grgmx (the seller) and BBVA Bank of Mexico (the buyer) are as follows:
1. BBVA Bank of Mexico purchased cash withdrawal machine equipment from grgmx. The total tax included amount of the contract is 1385240912 US dollars. Grgmx undertakes the delivery of equipment import, security module installation, logistics transportation, installation and opening, and completes the delivery of all equipment in Mexico in 2022. At the same time, BBVA Bank of Mexico signed a 24 month maintenance service contract with grgmx. The total amount of tax included in the contract is Tempus Global Business Service Group Holding Ltd(300178) 807 Mexican pesos. Grgmx will continue to provide BBVA Bank of Mexico with equipment maintenance and guarantee services, including full-function machines with cash withdrawal machines, cash deposit and withdrawal and bill payment modules.
2. Payment terms: for the payment corresponding to the equipment purchase and sales contract, BBVA Bank of Mexico will make a one-time payment within 30 days after the delivery of the self-service equipment; The payment corresponding to the maintenance service contract will be paid by BBVA Bank of Mexico on a monthly basis.
3. Performance terms: grgmx shall complete the equipment delivery to BBVA Bank of Mexico according to the delivery time and equipment installation terms specified in the equipment purchase and sales contract. At the same time, grgmx provides BBVA Bank of Mexico with all-round maintenance and guarantee services covering 32 states according to the maintenance service content, service response time and service performance evaluation indicators specified in the maintenance service contract. During the execution of the contract, if grgmx fails to perform equipment production, import logistics, installation and delivery, software and hardware fault repair, maintenance spare parts supply, equipment maintenance and other violations, or grgmx violates the bank’s data confidentiality and information security specifications, grgmx will pay corresponding liquidated damages in accordance with the relevant provisions of the contract.
4. The contract shall be governed by Mexican law, and any dispute arising from the contract shall be governed by Mexican law and local arbitration institutions.
5. This contract shall remain in force from the effective date of signature until both parties fully perform all obligations or terminate in accordance with the provisions of the contract.
6. Termination: if either party violates the obligations agreed in the contract, the contract can be terminated. When either party decides to terminate the contract, it must notify the other party in writing 30 days in advance. If necessary, it must put forward and obtain the corresponding statement to the judicial authority.
4、 Impact on the company
1. GRG Hong Kong Mexico Sade CV is a wholly-owned subsidiary established in Mexico by express international, a wholly-owned subsidiary of the company. This bid winning BBVA Bank of Mexico is the fifth consecutive year that grgmx obtained the purchase order for financial self-service equipment from BBVA Bank of Mexico, which fully proves the solid precipitation of the company in this business.
Over the past five years, Grg Banking Equipment Co.Ltd(002152) and BBVA Bank of Mexico have conducted technical exchanges and friendly cooperation in operation and maintenance services, channel innovation and integration, network digital transformation, intelligent performance appraisal, information security and other aspects. The further cooperation between the two sides will consolidate a solid foundation for the company to continue to expand its business in Mexico, It will also comprehensively enhance the brand awareness of Grg Banking Equipment Co.Ltd(002152) brand in the American region and even the global market, and bring a positive impact on expanding business in more European and American countries in the future.
2. Grgmx has the ability to perform the above contracts in terms of equipment, capital, personnel and technology. The signing and performance of the above contracts will not affect the business independence of grgmx or the company, and there is no dependence on the counterparty.
3. The total contract amount signed this time accounts for about 2.75% of the company’s audited operating revenue in 2020 and 27.15% of the company’s audited international business operating revenue in 2020. If the contract is successfully executed, it will have a positive impact on the company’s operating revenue and operating profit. The amount of impact on the company’s operating performance shall be subject to the audited data. The company will recognize the revenue in the corresponding accounting period according to the requirements of this contract and the revenue recognition principle.
5、 Risk tips
1. The two contracts will be settled in US dollars and Mexican pesos respectively, which may have a certain exchange rate risk.
2. In the subsequent execution of the contract, if there are batch problems due to equipment quality or quality problems in installation and delivery services, there will be the risk of return or breach of contract.
3. The risk that the contract may not be fully performed or terminated due to the influence of unpredictable or force majeure factors during the performance of the contract; During the performance of the contract, there may be risks that the contract amount may be adjusted or the actual income may be affected by factors such as rising costs.
4. During the follow-up implementation of the contract, it may also face risks caused by major changes in national policies, external macro environment and other unpredictable factors, which may lead to the failure of the full performance of the contract. At present, the international trade policy has not had a significant impact on the company’s production and operation. Please pay attention to investment risks.
It is hereby announced!
Grg Banking Equipment Co.Ltd(002152)
Board of directors
March 11, 2022
