Juewei Food Co.Ltd(603517) ( Juewei Food Co.Ltd(603517) . SH) the fixed increase scheme has been greatly adjusted. On the evening of March 15, Juewei Food Co.Ltd(603517) issued the plan for non-public development of A-Shares (the second revised draft). According to the new plan, the total amount of funds to be raised by the company was changed to no more than 1.180 billion yuan, a half cut from the previous no more than 2.384 billion yuan.
At the same time, the company’s fixed raising investment projects have also been adjusted from the previous six to two. In fact, this is the second adjustment of the fixed increase plan of Juewei Food Co.Ltd(603517) government. Previously, the CSRC issued feedback on the application of Juewei Food Co.Ltd(603517) fixed increase and raised the 14th National Congress of the Communist Party of China.
total fund-raising reduced by half
According to the reporter’s review, in August 2021, Juewei Food Co.Ltd(603517) issued the proposal on the company’s non-public issuance of A-share stock scheme for the first time. In September 2021, the company issued the proposal on the company’s non-public issuance of A-share stock scheme (Revised Draft). On March 15, 2022, the company issued the plan for non-public issuance of A-share stock (Revised Draft for the second time).
Previously, Juewei Food Co.Ltd(603517) plans to raise no more than 2.384 billion yuan and issue no more than 184300 shares. After this adjustment, the total amount of funds to be raised will be significantly reduced to 1.180 billion yuan without changing the number of shares issued. Previously, the funds to be raised were mainly used for six projects, and now there are only two projects left. They are the processing and construction project of Guangdong Ahua Food Co., Ltd. with an annual output of 65700 tons of halogen meat products and by-products, and the processing and construction project of Guangxi ahiu Food Co., Ltd. with an annual output of 25000 tons of halogen meat products and by-products. The investment amount of the raised funds to be used is 765 million yuan and 415 million yuan respectivelyp align=”center” style=”text-align:center;”> The original plan was to raise funds for 6 projects, but only 2 remained after adjustment. Source: screenshot of Juewei Food Co.Ltd(603517) company announcement
Juewei Food Co.Ltd(603517) said in the announcement that in recent three years, the capacity utilization rate in Guangdong, Guangxi and other places has reached more than 80% all year round, and even more than 100% in some years. The rapid growth of the company has doubled the pressure of output expansion of the existing production line, and the production site and production capacity have become saturated, which directly affects the company’s rapid supply capacity in these areas. The purpose of expanding production is to break through the bottleneck of production capacity and meet the needs of the market.
there are only two projects to be invested with raised funds
It can be seen that the original planned construction projects in Guangdong, Jiangsu, Guangxi, Liaoning, Hunan and Sichuan provinces retained only two construction projects in Guangdong and Guangxi. In the A-share stock plan of non-public development banks first released in August 2021, Juewei Food Co.Ltd(603517) said that at present, 21 production bases (including 2 under construction) have been established nationwide.
The reporter noted that in the 2020 annual report, Juewei Food Co.Ltd(603517) in South China, the revenue was 1.012 billion yuan, accounting for 19.69% of the total revenue of 5.139 billion yuan, second only to central China. According to the 2019 and 2018 annual reports, South China, East China and central China are the top three main sales regions of Juewei Food Co.Ltd(603517) ranking, while the revenue of South China is increasing year by year.
It is worth mentioning that Juewei Food Co.Ltd(603517) has not obtained the land use certificate of Guangdong construction project. According to the company, the risk that the land for raised investment projects in Guangdong cannot be implemented is small. If the land for raised investment projects cannot be obtained, there are alternative measures, but it is still impossible to ensure that all links in the land ownership process of raised investment projects can be completed in full accordance with the expected time.
On September 6, 2021, Juewei Food Co.Ltd(603517) received the notice of the CSRC on the first feedback on the examination of administrative licensing projects (No. 212213) (hereinafter referred to as the feedback). The feedback has 14 questions, involving the specific arrangement of the raised investment project, relevant warrants and licenses, fund use, guarantee and other issues.
The land use plan of the project that has not been paid attention to by the Guangdong Securities Regulatory Commission, and the specific land use plan has not been obtained; Whether the project land complies with the land policy and urban planning; And the risks of the implementation of the land for the raised investment project, such as the failure to obtain the land for the raised investment project, the proposed alternative measures and the impact on the implementation of the raised investment project.
According to choice data, from 2018 to 2020, Juewei Food Co.Ltd(603517) revenue was 4.368 billion yuan, 5.172 billion yuan and 5.276 billion yuan respectively, and net profit was 641 million yuan, 801 million yuan and 701 million yuan respectively. The year-on-year growth of revenue and net profit in 2020 slowed significantly.
Revenue growth slowed down and Juewei Food Co.Ltd(603517) share price performance was relatively low. Juewei Food Co.Ltd(603517) share price fell all the way since 2021. Data showed that Juewei Food Co.Ltd(603517) share price fell by 42.91% in the past year. As of the closing on March 15, Juewei Food Co.Ltd(603517) reported 41.96 yuan / share, down 3.98%, with a total market value of about 25.8 billion yuan.
