Securities code: 600598 securities abbreviation: Heilongjiang Agriculture Company Limited(600598) Announcement No.: 2021-054
Heilongjiang Agriculture Company Limited(600598)
Announcement on expiration of financial products and purchase of entrusted financial products
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 individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
Important content tips:
Entrusted financial management trustee: China Everbright Bank Company Limited Co.Ltd(601818) Heilongjiang Branch
Amount of entrusted financial management: 300 million yuan
Name of entrusted financial product: China Everbright Bank Company Limited Co.Ltd(601818) corporate structured deposit product
Period of entrusted financial management: 90 days
Review procedures performed: reviewed and approved by the 65th meeting of the 6th board of directors and the 2018 annual general meeting of shareholders of the company (see Announcement No. 2019-017 and 2019-029 of the company for details)
1、 The company uses idle funds to purchase financial products and redeem them when they are due
On September 30, 2021, Heilongjiang Agriculture Company Limited(600598) (hereinafter referred to as "the company") purchased structured deposit products (Principal Guaranteed floating income type) of RMB 300 million and RMB 200 million respectively in Shanghai Pudong Development Bank Co.Ltd(600000) Harbin branch and China Everbright Bank Company Limited Co.Ltd(601818) Heilongjiang branch with some idle self owned funds. See Heilongjiang Agriculture Company Limited(600598) announcement on expiration of financial products and purchase of entrusted financial products (Announcement No.: 2021-040) disclosed by the company on the website of Shanghai Stock Exchange on October 8, 2021 for details.
The above financial products have been automatically redeemed by the system on December 30, 2021. The company has recovered the principal of RMB 30000 and RMB 200 million, and received financial income of RMB 2.44 million and RMB 1.58 million respectively, which is not significantly different from the expected income.
2、 Overview of entrusted financial management
(i) Purpose of entrusted financial management
In order to make rational use of its own funds and maximize the use efficiency of funds, the company plans to use idle own funds to purchase stable financial products with high safety, strong liquidity and low risk without affecting normal operation and controllable risk.
（2） Source of funds
The company idle its own funds.
（3） Basic information of entrusted financial products
Trustee name China Everbright Bank Company Limited Co.Ltd(601818)
Heilongjiang Branch
Product type bank financial products
Product name corporate structured deposit
Amount: 300 million yuan
The estimated annualized rate of return is 3.30% - 1.00%
The estimated income is 2.48 million yuan - 750000 yuan
Product life 90 days
Income type breakeven floating income type
Whether it constitutes a connected transaction no
Note: the investment principal and income shall be paid on the investment maturity date. In case of holidays, it will be postponed to the next working day, and the investment period will be extended accordingly.
（4） The company's internal control over risks related to entrusted financial management
The entrusted financial products are bank financial products with high security and liquidity, which meet the requirements of the company's internal fund management. The annual financial management quota of the company is reviewed and approved by the board of directors and the general meeting of shareholders, and each financial management business is implemented within the quota approved and authorized by the board of directors and the general meeting of shareholders. The company evaluates the income type, investment type, bank qualification and liquidity of financial products and selects products with low risk; The company will timely analyze the relevant situation of financial products, prevent financial risks and ensure the safety of funds. The company will timely perform the obligation of information disclosure in accordance with the Listing Rules of Shanghai Stock Exchange and other relevant provisions.
3、 Details of this entrusted financial management
(i) Main terms of entrusted financial management contract
China Everbright Bank Company Limited Co.Ltd(601818) structured deposit products
1. Product Name: the twelfth customized product of corporate structured deposits linked to exchange rate in 2021 543
2. Product type: Principal Guaranteed floating income type
3. Signing company: China Everbright Bank Company Limited Co.Ltd(601818) Heilongjiang Branch
4. Investment quota: 300 million yuan
5. Expected annualized rate of return: 3.30% - 1.00%
6. Starting date of income: December 30, 2021
7. Product expiration date: March 30, 2022
（2） Investment direction of entrusted financial management funds
China Everbright Bank Company Limited Co.Ltd(601818) : income refers to the fixed income generated by time deposits and the income generated by financial derivative trading investment in China or international financial markets.
（3） Risk control analysis
In order to control risks and fund safety, the company will define the principle, scope, authority and approval process of investment and wealth management in strict accordance with the requirements of internal control management; Arrange special personnel to manage the duration of financial products, establish account and tracking mechanism, establish and improve complete accounting accounts for the economic activities of fund use, do a good job in the accounting of fund use, and strengthen risk control and supervision.
The structured deposit financial product purchased this time belongs to principal guaranteed financial product, China Everbright Bank Company Limited Co.Ltd(601818) Heilongjiang Branch provides complete guarantee for the principal and fixed interest of the product respectively. The risk of the product belongs to low risk and meets the internal management requirements of the company.
4、 Information of entrusted financial management trustee
(i) Basic information of the trustee
The entrusted party of this entrusted financial management is China Everbright Bank Company Limited Co.Ltd(601818) (handled by Heilongjiang Branch), established in August 1992. It is a national joint-stock commercial bank approved by the State Council and approved by the people's Bank of China, headquartered in Beijing. China China Everbright Bank Company Limited Co.Ltd(601818) was listed on the Shanghai Stock Exchange in August 2010 (stock code 601818) and on the stock exchange of Hong Kong in December 2013 (stock code 06818. HK). The legal representative is Li Xiaopeng.
（2） There is no relationship between the above financial management trustee and the company, the controlling shareholder of the company, the person acting in concert and the actual controller, such as property rights, business, assets, creditor's rights and debts, personnel, etc.
（3） The company has maintained a long-term financial cooperation business relationship with the trustee, and there is no outstanding or loss of principal and interest. The listed company has also paid attention to the public opinion reports and relevant information related to the trustee, and has not found any specific situation that damages the development of the company's financial business.
5、 Impact on the company
Unit: 10000 yuan
Financial indicators 2020 2019
Monetary capital 164471102176
Total assets 809377784532
Total liabilities 137035141551
Net assets 672342642981
Net cash flow from operating activities 11893381417
The company adheres to standardized operation and risk prevention. In order to maintain and increase the value of assets and ensure that the normal operation of the company is not affected, the company uses idle self owned funds to purchase financial products, which is conducive to revitalizing idle funds, improving fund use efficiency, reducing financial costs, increasing investment income and seeking more investment returns for the company's shareholders. As of December 31, 2020, the company's monetary capital balance was 164471000 yuan. The amount of financial products purchased this time accounted for 18.24% of the company's monetary capital at the end of the period and 3.71% of the company's total assets at the end of the period. It will not have a significant impact on the company's future main business, financial status, operating results and cash flow. The financial products purchased this time are included in the "trading financial assets" in the balance sheet, and the interest income is included in the "investment income" in the income statement (the final accounting treatment confirmed by the accounting firm shall prevail). 6、 Risk tips
The investment products involved in the company's entrusted financial management with idle self owned funds are financial products with controllable risks issued by financial institutions, and the income may fluctuate due to the impact of macro-economy. The issuer of financial products has indicated the risks faced by the products, including principal and income risk, interest rate risk, liquidity risk, investment risk, legal and policy risk, product non establishment risk, early termination risk, information transmission risk, other risks (force majeure risk), etc.
7、 Implementation of decision-making procedures and opinions of independent directors
According to the resolution of the 65th meeting of the 6th board of directors of the company and approved by the 2018 annual general meeting of shareholders of the company on April 26, 2019, the bank structured deposit business is handled on the premise that the maximum amount does not exceed 3 billion yuan (including the principal amount) and the amount of a single transaction does not exceed 10% (including the principal amount) of the latest audited net assets of the company. The maximum amount refers to the maximum balance of bank structured deposit financial management investment at any time point. Within the above maximum balance, the funds can be recycled and rolled. The investment amount includes the amount of reinvestment of investment income. The board of directors authorizes the management institution to select securities companies and banking institutions within the above quota, and decide to implement or stop the above business and amount in combination with the company's capital status and investment income (see Announcement No. 2019-017 and 2019-029 of the company for details).
Independent directors have expressed independent opinions on the company's reverse repurchase of national debt and bank financial management business: we have carefully reviewed the matters related to the development of reverse repurchase of national debt and bank financial management business, and believe that the company uses its own idle funds to carry out reverse repurchase of national debt and bank financial management business, the overall risk is controllable, which is conducive to improving the use efficiency of the company's own funds, It does not affect the company's daily operation and the development of its main business, nor does it harm the interests of minority shareholders.
8、 As of the date of this announcement, the company has used its own funds for entrusted financial management in the last 12 months
Amount: 10000 yuan
No. financial product type actual investment amount actual principal recovered actual income outstanding principal amount
1 bank structured deposit 5800005800004499
2. Bank structured deposit 130000130000
Total 7100005800004499130000
The maximum amount invested in a single day in the last 12 months is 100000
Maximum daily investment amount in the last 12 months / net assets of the last year (%) 14.87%
Cumulative income from entrusted financial management in the last 12 months / net profit of the last year (%) 4.63%
The used financial management limit is 130000
Unused financial limit 170000
Total financial limit 300000
Note: the outstanding principal amount is the bank structured deposit product that has not yet expired, and the principal and income of the bank structured deposit product that has expired have been fully recovered.
It is hereby announced.
Heilongjiang Agriculture Company Limited(600598) board of directors December 31, 2001
