Securities code: 601606 securities abbreviation: Anhui Greatwall Military Industry Co.Ltd(601606) Announcement No.: 2021-069 Anhui Greatwall Military Industry Co.Ltd(601606)
Feasibility analysis report on investment projects funded by non-public offering of shares
(Revised Version)
December, 2001
Anhui Greatwall Military Industry Co.Ltd(601606)
The feasibility analysis report (Revised Version) of the investment project raised by non-public offering of shares Anhui Greatwall Military Industry Co.Ltd(601606) (hereinafter referred to as “the company” or ” Anhui Greatwall Military Industry Co.Ltd(601606) “) intends to raise funds by non-public offering of shares (hereinafter referred to as “non-public offering”). The feasibility analysis of the company’s board of directors on the use of funds raised from non-public offering is as follows:
1、 Overview of the use plan of the raised funds
The total amount of funds raised by the company through non-public offering of shares (including issuance expenses) does not exceed 693.49 million yuan (including this amount), and all the following items are invested after deducting issuance expenses:
Unit: 10000 yuan
No. project name estimated total investment amount of implementing entity proposed investment amount of raised funds
1. High energy guided ammunition production capacity construction Shenjian science and technology 13963.0013963.00 project
2. Low cost self seeking rocket production capacity Fangyuan electromechanical 11602.0011602.00 construction project
3. Hongxing electromechanical 14210.0014210.00 item of new initiating explosive device production capacity construction project
4. Dongfeng electromechanical 14020.0014020.00 force construction project for scientific research and production of new aviation submunitions
5 unmanned intelligent vehicle development project Anhui Greatwall Military Industry Co.Ltd(601606) 6554.006554.00 Research Institute
6. Super high strength prestressed anchorage system research and development project of Jinxing prestressed 3500.003500.00 development conditions
7. Special payables for repaying state allocated funds Anhui Greatwall Military Industry Co.Ltd(601606) 5500.005500.00
Total 69349.0069349.00
If the net amount of funds actually raised this time is less than the amount to be invested by the raised funds of the investment project, the insufficient part shall be solved by the company’s self raised funds. At the same time, the company will adjust and finally determine the priority and amount of raised capital investment according to the priorities and progress of the specific construction contents of the project. Before the raised funds are in place, the company can invest with self raised funds according to the actual progress of the project. After the raised funds are in place, the company will replace the self raised funds invested in the previous period with the raised funds according to the procedures specified in relevant laws and regulations.
2、 Investment projects of the raised funds
(i) High energy guided ammunition production capacity construction project
1. Project overview
Project content
Project Name: high energy guided ammunition production capacity construction project
The total investment of the project is 139.63 million yuan
The proposed investment amount of raised funds is 139.63 million yuan
Project construction subject: Shenjian Technology
The construction period of the project is 2 years
Use the existing organic processing area and initiating explosive work area to build a new engine assembly workshop, a general construction room for charge assemblers, add anti explosion room and other facilities, and add relevant process equipment to improve the precision machining and special processing capacity of Shenjian technology, so as to realize the new high-energy guided ammunition
Batch production capacity of d109b, d191 and d064 series products
2. Necessity of project construction
(1) Strengthen the construction of production capacity of mortar weapon system to meet China’s national defense and military needs
Mortar weapon system is an effective suppression weapon to accompany and support infantry operations. It is an important national defense military weapon equipment with the characteristics of simple operation and maintenance, simple logistics support, flexible tactical deployment, strong terrain adaptability, curved trajectory, effective attack on anti inclined enemies and high cost-effectiveness ratio.
The mortar shells developed by Shenjian technology can meet the operational requirements in different environments, and the comprehensive performance has reached the leading level in China. The high-energy guided ammunition produced in this project is an important part of the modernization of weapons and equipment. It is necessary to increase the batch production capacity of new high-energy guided ammunition d109b, d191 and d064 series products.
(2) Improve the production and processing capacity of products and improve the conditions of production process facilities
With the design finalization and mass production of various new products, the production organization form of Shenjian technology has changed accordingly: from single variety production to multi variety cross production, from simple part processing to complex part processing, component assembly and commissioning, and from casting and machining process to electronic assembly, joint commissioning and test of optical electromechanical system, measurement and control and other new processes. The original equipment, facilities and process equipment of Shenjian technology can not fully meet the needs of new production tasks. The implementation of this project will effectively improve the precision machining capacity, special processing capacity, joint commissioning, joint test and measurement and control capacity of optical and electromechanical products, and the mechanization and automation intrinsic safety level in dangerous operation areas.
(3) Meet the needs of subsequent military product development and production, and continue to strengthen and expand the main business
In response to scientific and technological progress and changes in the form of war, Shenjian technology adheres to the road of industry, University and research and independent innovation, and has developed a series of new generation mortar shells with the characteristics of long range, high precision, great power, safety and reliability, long-term storage, strong environmental adaptability and portability, which has made a significant contribution to the R & D and production autonomy of Chinese mortar shells. The project will improve the R & D and production conditions and relevant equipment and facilities, so as to lay a foundation for Shenjian technology to upgrade the original mortar shell products, continuously develop and update a series of equipment, optimize, strengthen and expand its main business, and make new and greater contributions to the modernization of national defense and the army in the new era.
3. Feasibility of project construction
(1) National equipment upgrading and military trade market demand provide a strong guarantee for the digestion of project capacity
In the increasingly complex international political and military environment, national defense and security are facing many challenges. With the country accelerating the application of new generation high explosives, our military’s weapons and equipment are gradually developing towards high-efficiency damage, long-range suppression and precision strike, which provides a strong source of demand for the project from development and finalization to capacity expansion and mass production, and also provides important support for accelerating the construction of the project. At the same time, in accordance with China’s military trade policy and in combination with the competition pattern and demand of the international military trade market, Shenjian technology timely launched a series of high-performance and low-cost new weapons and equipment to continuously expand the international market space.
(2) Rich technology and talent reserves have laid a solid foundation for the implementation of the project
Shenjian technology has always been committed to the research of new military technologies and the development of new products. It has successively completed the development of a number of weapons and equipment models and successfully installed them in the army. It has realized the export of products to the international market. After long-term exploration, research and development of ammunition technology, Shenjian technology has accumulated rich technical reserves in relevant fields, has obtained relevant patents in key technologies, and is proficient in the development, analysis, measurement and control and use of equipment and facilities such as R & D, production, testing, simulation analysis, general assembly and general adjustment of high-energy guided ammunition, It has laid a solid foundation for the smooth implementation of the project. In addition, after years of training and evaluation of scientific research personnel in the field of weapon detection and guidance, an effective reward and punishment system has been established, which has been continuously trained in the field of internal and external weapon research and development, and has created an effective reward and punishment system.
4. Project investment estimate
The total investment amount of the project is 139.63 million yuan, including 125.63 million yuan in fixed assets and 14 million yuan in initial working capital. The specific investment composition is as follows:
Unit: 10000 yuan
S / N expense name investment amount in total investment amount (%)
I. investment in fixed assets
1. Construction cost 1169.008.37
2. Equipment purchase and installation cost 9607.7368.81
3. Other construction expenses 856.086.13
4. Reserve fund 930.196.66
The total investment in fixed assets is 12563.0089.97
II. Initial working capital 1400.0010.03
Total investment 13963.00100.00
5. Project construction period
The construction period of the project is 2 years.
6. Economic benefit analysis of the project
Through calculation, the internal rate of return (after income tax) of the project investment is 16.40%, and the investment payback period (after income tax) is 6.46 years, which has good economic benefits.
7. Project approval
As of the issuance date of this report, the project has obtained the approval and reply to the environmental impact report form issued by the local administrative department of environmental protection (HJS [2021] No. 11093); The project approval matters of the State Administration of science, technology and industry for national defense have not been completed, and the company will perform relevant procedures according to relevant requirements. （2） Low cost self homing rocket production capacity construction project
1. Project overview
Project content
Project Name: low cost self seeking rocket production capacity construction project
The total investment of the project is 116.02 million yuan
The proposed investment amount of raised funds is 116.02 million yuan
Fangyuan Electromechanical Equipment Co., Ltd., the main body of the project
The construction period of the project is 2 years
Make use of the existing machining area and the new initiating explosive work area to build new workshops, transfer warehouses, explosive magazines, ammunition product warehouses and other facilities, and add relevant process equipment, upgrade, transform, supplement and improve the conditions for machining, pressing and full ammunition assembly of parts and components, so as to realize the mass production capacity of fy1501 low-cost self-seeking rockets
2. Necessity of project construction
(1) Improve the precision strike capability of individual rockets and enhance the operational efficiency of individual soldiers
Individual combat effectiveness is an important part of the overall combat effectiveness of the army. Based on the existing uncontrolled rocket weapons, this project will develop a single soldier precision strike weapon with lower cost, more suitable for a large number of armed forces, easy to carry and stronger battlefield survivability, which can effectively enhance our army’s combat attack on solid targets
