About Hvsen Biotechnology Co.Ltd(300871)
Assurance report on annual deposit and actual use of raised funds
Zhonghuan zhuanzi (2022) 0110088 Hvsen Biotechnology Co.Ltd(300871) all shareholders:
We are entrusted to verify the attached special report of the board of directors on the annual deposit and actual use of raised funds of Hvsen Biotechnology Co.Ltd(300871) (hereinafter referred to as " Hvsen Biotechnology Co.Ltd(300871) company") as of December 31, 2021.
In accordance with the guidelines for the supervision of listed companies No. 2 - regulatory requirements for the management and use of raised funds by listed companies issued by the CSRC and the guidelines for the self-discipline supervision of listed companies of Shenzhen Stock Exchange No. 2 - standardized operation of companies listed on the gem issued by the Shenzhen Stock Exchange, It is the responsibility of the board of directors of Hvsen Biotechnology Co.Ltd(300871) company to prepare the special report of the board of directors on the annual storage and actual use of raised funds and provide authentic, legal and complete physical evidence, original written materials, duplicate materials, oral testimony and other necessary evidence. Our responsibility is to express assurance opinions on the special report of the board of directors on the annual storage and actual use of raised funds on the basis of the implementation of assurance work. We have carried out the assurance work in accordance with the provisions of other assurance business standards for Chinese certified public accountants No. 3101 - assurance business other than audit or review of historical financial information, which requires us to abide by the code of professional ethics for Chinese certified public accountants, Plan and execute the assurance work to obtain reasonable assurance on whether there is no material misstatement in the special report of the board of directors on the annual storage and actual use of raised funds. In the process of performing the assurance work, we have implemented the necessary procedures such as checking the accounting records and recalculating the amount of relevant items. We believe that our assurance work provides a reasonable basis for expressing opinions.
We think, Hvsen Biotechnology Co.Ltd(300871) as of December 31, 2021, the special report of the board of directors on the annual deposit and actual use of raised funds has been in accordance with the guidelines for the supervision of listed companies No. 2 - regulatory requirements for the management and use of raised funds of listed companies issued by the CSRC and The preparation of self regulatory guidelines for listed companies of Shenzhen Stock Exchange No. 2 - standardized operation of GEM listed companies and other relevant provisions truthfully reflects the annual deposit and actual verification report of Hvsen Biotechnology Co.Ltd(300871) raised funds as of December 31, 2021 in all major aspects, page 1 of 2
Usage.
This assurance report is only used for the purpose of disclosure of Hvsen Biotechnology Co.Ltd(300871) 2021 annual report and shall not be used for any other purpose.
Zhongshen Zhonghuan Certified Public Accountants (special general partnership) Chinese certified public accountant:
Luo Mingguo
Chinese certified public accountant:
Liu Xiaoying
Wuhan, China March 10, 2022
Assurance report page 2 of 2
Hvsen Biotechnology Co.Ltd(300871)
Annual deposit and use of raised funds by the board of directors
Special report
According to the guidelines for the supervision of listed companies No. 2 - regulatory requirements for the management and use of raised funds by listed companies (revised in 2022), the Listing Rules of GEM stocks of Shenzhen Stock Exchange, and the guidelines for the self-discipline supervision of listed companies of Shenzhen Stock Exchange No. 2 - standardized operation of gem listed companies The board of directors of Hvsen Biotechnology Co.Ltd(300871) (hereinafter referred to as "the company" or "the company") prepared a special report on the deposit and use of raised funds in 2021.
1、 Basic information of raised funds
(I) actual amount of raised funds and time of fund arrival
1. Initial public offering of shares to raise funds
With the approval of registration of Hvsen Biotechnology Co.Ltd(300871) initial public offering issued by China Securities Regulatory Commission (zjxk [2020] No. 1586), the company publicly issued 27700000 ordinary shares in RMB to the public in August 2020, with a par value of 1.00 yuan per share, an issue price of 33.61 yuan per share and a total raised capital of 93099700000 yuan, After deducting 6336772639 yuan of recommendation and underwriting fee (excluding tax), the raised fund is 86762927361 yuan. In addition, after deducting 1691675281 yuan of issuance expenses excluding tax, such as audit and verification fees, lawyer fees, information disclosure fees and notarization fees, the net amount of raised funds is 85071252080 yuan. The above-mentioned special accounting firm has raised all the funds after the verification report of Zhongzi (Hzh) No. 051, 2020 issued by zhongzi Certified Public Accountants on August 17, 2020.
2. Issue convertible corporate bonds to unspecified objects
With the approval of registration of Hvsen Biotechnology Co.Ltd(300871) issuing convertible corporate bonds to unspecified objects (zjxk [2021] No. 3570) issued by China Securities Regulatory Commission, the company issued 7 million convertible corporate bonds to unspecified objects, with a face value of 100 yuan each and a total raised capital of 700 million yuan. After deducting the underwriting recommendation fee of RMB 855660377 (excluding tax) from the issuance of convertible corporate bonds to unspecified objects, the raised funds of RMB 69144339623 were transferred to the designated raising fund of the company on December 23, 2021. This report is page 1 of 11 in total
In the special storage account of the pooled funds.
After deducting the underwriting and recommendation fees, audit and capital verification fees, lawyer fees, credit rating fees and other fees totaling 1070098287 yuan (excluding tax), the total amount of funds raised from the issuance of convertible corporate bonds to unspecified objects will be 68929901713 yuan. Zhongshen Zhonghuan Certified Public Accountants (special general partnership) issued Zhonghuan Yanzi [2021] No. 0100097 verification report on funds raised by Hvsen Biotechnology Co.Ltd(300871) issuing convertible corporate bonds on December 23, 2021.
(II) use and balance of raised funds
1. As of December 31, 2021, the use and balance of funds raised by the company's initial public offering are as follows:
Project amount (RMB) The net amount of raised funds received in 2020 is 85071252080 plus: the amount of interest income minus handling charges is 877437526, and the financial income of idle raised funds is 28 Offshore Oil Engineering Co.Ltd(600583) 8 minus: the cumulative investment in raised investment projects 63102319329 of which: 21870875133 construction project of powder / powder / premix automatic production base in Xingou base, 5655506895 construction project of R & D and quality inspection center in Xingou base, and 6997314447 construction project of production line of traditional Chinese medicine extraction and preparation Project Beijing Jingcheng Machinery Electric Company Limited(600860) 1256 over raised funds: 2257 Wuhan Sante Cableway Group Co.Ltd(002159) 8 of tylosin project with an annual output of 1000 tons, 7000000000 of supplementary working capital, and 16132376115 of the balance of the special account for raised funds as of December 31, 2021
2. As of December 31, 2021, the company issued convertible corporate bonds to unspecified objects, and the fund use and balance are as follows:
Project amount (RMB) total funds raised 70000000000 less: underwriting recommendation fee 855660377 amount of funds received (Note 1) 69144339623 plus: the amount of interest income deducting handling charges is 26459234. As of December 31, 2021, the balance of the special account for raised funds is 69170798857
Page 2 of 11 in this report
Note 1: the difference between the amount of 69144339623 yuan and the net amount of 68929901713 yuan is due to the use of self owned funds to pay part of the issuance expenses.
As of December 31, 2021, the balance of funds raised by the company's initial public offering of shares in 2020 was 1613238 million yuan (including interest income and financial management income), the balance of funds raised by the company's issuance of convertible corporate bonds to unspecified objects in 2021 was 691708 million yuan (including interest income), and the total amount of unused raised funds was 8530318 million yuan, All funds shall be deposited in the special account for raised funds.
2、 Deposit and management of raised funds
(I) management of raised funds
In order to standardize the management of the company's raised funds, improve the use efficiency of the raised funds and effectively protect the legitimate rights and interests of shareholders, In accordance with the company law, the securities law, the Interim Measures for the administration of initial public offering and listing on the gem, the measures for the administration of securities issuance of listed companies, the Listing Rules of Shenzhen Stock Exchange on the gem, the self regulatory guidelines for listed companies of Shenzhen Stock Exchange No. 2 - standardized operation of listed companies on the gem and other laws and regulations The management system of Hvsen Biotechnology Co.Ltd(300871) raised funds (hereinafter referred to as the "management system") is formulated in combination with the actual situation of the company.
(II) supervision agreement of raised funds
According to the requirements of the management system and in combination with the company's business needs, the company implements a special account for the funds raised by the initial public offering, and implements strict approval procedures for the use of the raised funds to ensure that the special funds are used for special purposes. Upon deliberation and approval at the 8th meeting of the second board of directors of the company, on August 27, 2020, the company, together with the sponsor Haitong Securities Company Limited(600837) (hereinafter referred to as " Haitong Securities Company Limited(600837) ") and Hankou Bank Co., Ltd. Wuchang sub branch, China Merchants Bank Co.Ltd(600036) Wuhan Dongxihu sub branch, China Citic Bank Corporation Limited(601998) Wuhan Branch Agricultural Bank Of China Limited(601288) Yingcheng sub branch signed the tripartite supervision agreement on the funds raised by initial public offering.
Upon deliberation and approval at the 9th meeting of the second board of directors of the company, on September 10, 2020, the company and its wholly-owned subsidiary Hubei Hvsen Biotechnology Co.Ltd(300871) Technology Co., Ltd. (hereinafter referred to as "Hubei Huisheng") as the same party, together with the sponsor
