Ningbo Zhenyu Technology Co.Ltd(300953)
Report on the use of the previously raised funds
According to the provisions on the report on the use of previously raised funds (Zheng Jian FA FA Zi [2007] No. 500) issued by the China Securities Regulatory Commission, Ningbo Zhenyu Technology Co.Ltd(300953) (hereinafter referred to as “the company” or “the company”) has prepared the report on the use of previously raised funds as of December 31, 2021 (hereinafter referred to as the deadline):
1、 Basic information of previously raised funds
（1） Availability of funds raised last time
With the approval of zjfz [2021] No. 354 document of China Securities Regulatory Commission, Minsheng Securities Co., Ltd., the lead underwriter, through your system, adopts the combination of directional placement to strategic investors, offline inquiry placement to qualified offline investors and online pricing issuance to social public investors holding non restricted A-share shares and market value of non restricted depositary receipts in Shenzhen market, 23.27 million RMB ordinary shares (A shares) were issued to the public at an issue price of 28.77 yuan per share. The total amount of funds raised was 6694779 million yuan. After deducting the underwriting Commission and recommendation fee of 405912 million yuan, On March 15, 2021, the lead underwriter Minsheng Securities Co., Ltd. remitted to the company’s raised funds supervision account China Zheshang Bank Co.Ltd(601916) Ningbo Ninghai sub branch account (Account No.: 332 Jiangsu Guotai International Group Co.Ltd(002091) 01201 Zhejiang Huamei Holding Co.Ltd(000607) 56) RMB 30839600, China Merchants Bank Co.Ltd(600036) Ningbo Ninghai sub branch (Account No.: 5749037964010701) RMB 20 million, Agricultural Bank Of China Limited(601288) ninghaixidian sub branch (Account No.: 3975300104 Global Top E-Commerce Co.Ltd(002640) 0) RMB 889168 million China China Construction Bank Corporation(601939) Ninghai sub branch (Account No.: 33150199543600 Guangdong Chaohua Technology Co.Ltd(002288) ) is 134933900 yuan, Industrial Bank Co.Ltd(601166) Ningbo Ninghai sub branch (Account No.: 385020100100169710) is 326231 million yuan, Industrial Bank Co.Ltd(601166) Ningbo Ninghai sub branch (Account No.: 385020100100169580) is 241032 million yuan, and Industrial Bank Co.Ltd(601166) Ningbo Ninghai sub Branch (Account No.: 3850201 Chongqing Zongshen Power Machinery Co.Ltd(001696) 019601) is 20 million yuan. In addition, after deducting 327058 million yuan of additional external expenses related to the issuance of equity securities, such as prospectus printing fees, audit fees, lawyer fees, evaluation fees and online issuance handling fees, the net amount of funds raised by the company this time is 5961809 million yuan. The availability of the above raised funds has been verified by Zhonghui Certified Public Accountants (special general partnership), which issued the capital verification report (Zhonghui kuaiyan [2021] No. 0713) on March 15, 2021.
（2） Deposit of the previously raised funds in the special account
As of December 31, 2021, the storage of the previously raised funds is as follows: unit: Yuan
Deposit bank account number initial deposit amount deposit balance remarks
China Zheshang Bank Co.Ltd(601916) ning332 Jiangsu Guotai International Group Co.Ltd(002091) 012 Shenzhen Zhongjin Lingnan Nonfemet Co.Ltd(000060) 7563083309629801383903732 current bonanghai sub branch
China Merchants Bank Co.Ltd(600036) Nanjing 57490379641070120000 China Vanke Co.Ltd(000002) 828294 current bonanghai sub branch
China Agricultural Bank Of China Limited(601288) Co., Ltd. 3975300104 Global Top E-Commerce Co.Ltd(002640) 088916814492660860218 current sining haixidian sub branch
China China Construction Bank Corporation(601939) Ninghai sub branch 33150199543600 Guangdong Chaohua Technology Co.Ltd(002288) 134933944411172686309 current Industrial Bank Co.Ltd(601166) ning3850201001001697103262309293 closed account closed account bonninghai sub branch
Industrial Bank Co.Ltd(601166) ning38502010016958024103248131388432157 current bonanghai sub branch
Industrial Bank Co.Ltd(601166) Ning 3850201001 Chongqing Zongshen Power Machinery Co.Ltd(001696) 012000000000 account closed account closed bonanghai sub branch
Total – 628886729766608710710 current account
[note] the cash management product is the agreement deposit, and the product type is the principal guaranteed floating income type. The interest of the deposit exceeding the basic deposit limit of 500000 yuan is calculated according to the agreement deposit interest rate.
2、 Actual use of previously raised funds
The net amount of funds raised by the company last time was 596180900 yuan. According to the purpose of the raised funds, it is planned to be used for “expansion project of precision multi station progressive die for motor iron core”, “production line project with an annual output of 49.4 million new energy power lithium battery covers and 25.5 million power lithium battery shells”, “project with an annual output of 2.75 million stamping parts for motor iron core”, “project with an annual output of 25 million lithium battery shells for new energy vehicles”, “enterprise technology R & D center project” and “supplementary working capital”, The total investment of the project is 596180900 yuan.
As of December 31, 2021, 5323576 million yuan has been actually invested. See Annex 1 of this report for the comparison table of the use of the previously raised funds.
3、 Change of previous raised funds
（1） Changes in the actual investment projects of the previously raised funds
There is no change in the actual investment projects of the previously raised funds.
（2） Description of the difference between the actual total investment of the project raised in the previous time and the commitment
The fact that the total amount of actual investment is less than the total amount of committed investment is mainly because the investment projects with raised funds are still in the construction period, and the previous raised funds will continue to be used for the investment projects with raised funds.
4、 Description of the transfer and replacement of projects invested in the previous raised funds
On April 22, 2021, the 17th meeting of the third board of directors of the company deliberated and approved the proposal on using the raised funds to replace the self raised funds invested in the raised investment projects in advance and the paid issuance expenses, and agreed that the company would use the funds raised from this public offering to replace the self raised funds invested in the raised investment projects in advance by 41083528006 yuan and the self raised funds paid for the issuance expenses by 607264152 yuan, totaling 41690792158 yuan.
The independent directors expressed their explicit consent to the matter. Zhonghui Certified Public Accountants (special general partnership) issued the verification report on Ningbo Zhenyu Technology Co.Ltd(300953) using self raised funds to invest in the investment projects of raised funds and pay the issuance expenses (Zhonghui huikuaijin [2021] No. 2180); Minsheng Securities Co., Ltd., the sponsor of the company, issued verification opinions and agreed to use the raised funds to replace the self raised funds invested in advance. 5、 Benefits achieved by the investment projects with the previously raised funds
（1） Comparative description of the benefits achieved by the investment projects with the previously raised funds
See Annex 2 of this report for the comparison table of the benefits achieved by the investment projects with the previously raised funds.
（2） Description of the situation that the benefits of the investment project with the previously raised funds cannot be calculated separately
There is no case where the benefits of the investment projects invested with the funds raised in the previous time cannot be calculated separately.
（3） Description of the difference between the accumulated realized income and the promised accumulated income of the investment project with the previously raised funds
The annual output of 49.4 million new energy power lithium battery covers and 25.5 million power lithium battery shell production line projects in 2021 is lower than the promised benefits, which is mainly due to the sharp rise in the prices of main materials such as copper and aluminum, resulting in the increase of product costs, and the product selling price is lower than the predicted amount at the time of performance commitment.
6、 Description of the operation of relevant assets involving the subscription of shares with assets in the previous issuance
There is no case that the previously raised funds involve the subscription of shares with assets.
7、 Description of idle raised funds
The company held the 16th meeting of the third board of directors and the 8th meeting of the third board of supervisors on March 28, 2021, and the first extraordinary general meeting of shareholders in 2021 on April 14, 2021, deliberated and adopted the proposal on cash management with idle raised funds, and agreed that the company, without affecting the normal implementation progress of the company’s fund-raising projects, The company plans to use the idle raised funds of no more than 628886700 yuan (including this amount) for cash management, and the service life is valid within 12 months from the date of deliberation and approval by the general meeting of shareholders of the company. Within the above limit and term, the funds can be used in a circular and rolling manner.
As of December 31, 2021, the unused raised funds are still deposited in the special account for raised funds and will continue to be used for various investment projects with raised funds.
8、 Description of the balance of the previously raised funds and the use of the surplus raised funds
(I) use and balance of the previously raised funds
As of December 31, 2021, the specific use of the company’s previously raised funds that have not been used up is: (unit: 10000 yuan)
Project amount net amount of raised funds 5961809 less: the amount of self raised funds invested in advance replaced by raised funds 4108353 less: investment in projects with raised funds 865223 minus: 350000 for supplementary working capital minus: 0.24 for handling charges minus: 7.33 for transfer out of balance raised funds plus: interest income 233.96 as of December 31, 2021, the balance of the special account for raised funds was 660871
(II) use of surplus raised funds
During the reporting period, considering that the lithium battery shell project with an annual output of 25 million new energy vehicles has been used according to the specified purposes, the company has transferred the surplus raised funds (including interest income) of 61100 yuan from the special account for raised funds to the basic settlement account of the company for the daily operation and business development of the company, and has gone through the cancellation procedures for the corresponding special account for raised funds. The current replenishment project has replenished the working capital according to the specified purpose. The company has transferred the surplus raised capital (including interest income) of 12200 yuan from the special account for raised capital to the basic settlement account of the company for the daily operation and business development of the company, and has gone through the cancellation procedures for the corresponding special account for raised capital.
9、 Comparison between the actual use of the previously raised funds and the publicly disclosed information
As of December 31, 2021, there is no difference between the actual use of the raised funds of the company and the relevant contents disclosed in the company’s periodic reports and other information disclosure documents.
10、 Description of other matters
The raised funds used by the company are invested in the promised investment projects of raised funds, and there are no major cases of illegal use of raised funds. Other problems and rectifications in the use and disclosure of the company’s raised funds are as follows:
1. Suzhou fansite Machinery Technology Co., Ltd., a subsidiary of the company, has raised funds that will temporarily supplement working capital
Million yuan was used to purchase financial products from September 18 to September 23, 2021 (Mid Autumn Festival holiday), and the income was 5500 yuan. In view of the above situation, the company has revised the management measures for the use of Ningbo Zhenyu Technology Co.Ltd(300953) raised funds, which was deliberated and approved by the board of directors on December 31, 2021, and further clarified the provisions on the use of idle raised funds temporarily to supplement working capital, so as to avoid the above situation in the follow-up process.
2. There are irregularities in the company’s use of raised funds to replace acceptance bills, involving the replacement of bills before maturity, with a total amount of 1,2
