Stock abbreviation: Foshan Electrical And Lighting Co.Ltd(000541) (A shares) Guangdong lighting B (B shares)
Stock Code: Foshan Electrical And Lighting Co.Ltd(000541) (A shares) 200541 (B shares)
Announcement No.: 2022019
Foshan Electrical And Lighting Co.Ltd(000541)
Announcement on using some idle funds for cash management
The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete without false records, misleading statements or major omissions.
The company held the 22nd Meeting of the 9th board of directors on March 22, 2022. The meeting deliberated and approved the proposal on using some idle funds for cash management. The board of directors of the company agreed that the company and its holding subsidiaries (including Foshan Nationstar Optoelectronics Co.Ltd(002449) , the same below) use their own idle funds of no more than RMB 2.5 billion to purchase low-risk financial products. Within the above limit, the funds can be used in a rolling manner, The investment period is one year from the date when the proposal is considered and approved by the board of directors of the company.
According to relevant laws and regulations, normative documents and the articles of association, the purchase of bank financial products with some idle funds is within the approval authority of the board of directors and does not need to be submitted to the general meeting of shareholders for deliberation.
1、 Overview of cash management
1. Investment purpose: in order to improve the use efficiency of idle funds, under the premise of not affecting the normal operation and controllable risk of the company and its holding subsidiaries, use some idle funds to buy low-risk financial products and increase the company's income.
2. Investment quota: the company and its holding subsidiaries use their own idle funds of no more than 2.5 billion yuan to buy low-risk financial products. Within the above quota, the funds can be used on a rolling basis. 3. Varieties of investment and financial products: in order to control risks, the investment financial products should be low-risk financial products with high safety, good liquidity and short-term.
4. Investment period: within one year from the date when the proposal is considered and approved by the board of directors of the company.
5. Source of funds: the company and its holding subsidiaries own idle funds.
2、 Investment risk analysis and risk control measures
1. Investment risk
The financial products to be purchased by the company are low-risk financial products with high security, good liquidity and short-term, which belong to low-risk investment varieties. However, the financial market is greatly affected by macroeconomic and financial policies, so it is not excluded that the investment is affected by market fluctuations.
2. For investment risks, the following measures are proposed
(1) The funds within the above quota can only purchase low-risk financial products with a term of no more than 12 months, and shall not be used for the placement and purchase of new shares, or for the trading of stocks, their derivatives and bonds.
(2) The financial department of the company will purchase financial products according to the process of the company's purchase of financial products, and will timely analyze and track the investment direction and project progress of financial products. Once adverse factors that may affect the safety of the company's funds are found or judged, it will take corresponding measures in time to control investment risks.
(3) The Audit Department of the company is responsible for auditing and supervising the purchase process, use and custody of financial funds.
(4) The board of supervisors of the company shall supervise and inspect the use of financial management funds.
(5) The company will disclose the purchase of financial products and the corresponding profit and loss during the reporting period in the regular report in accordance with the relevant provisions of Shenzhen Stock Exchange.
3、 Impact on the company
The company adheres to the principle of "standardized operation, risk prevention, prudent investment, value preservation and appreciation". On the premise of ensuring the normal operation and capital safety of the company and its holding subsidiaries, the purchase of low-risk financial products with its own idle funds will not affect the normal development of the company's main business. Through moderate low-risk short-term financial management, we can obtain certain investment income, which is conducive to improving the overall performance level of the company and seeking more investment returns for the shareholders of the company.
4、 Opinions of independent directors
The independent directors believe that the company's current financial situation is stable. On the premise of ensuring liquidity and capital safety, the company uses some idle funds to buy low-risk financial products with less investment risk, which is conducive to improving the efficiency of capital use, obtaining certain investment income, without affecting the normal operation of the company and damaging the interests of the company and all shareholders, especially small and medium-sized shareholders, The relevant approval procedures comply with the provisions of laws and regulations and the articles of association, and the company agrees to use some idle funds for cash management this time.
5、 Review opinions of the board of supervisors
The board of supervisors believes that: the company and its holding subsidiaries use some of their own idle funds to buy low-risk financial products, which complies with the provisions of relevant laws and regulations; Without affecting the normal production and operation of the company and its holding subsidiaries, it is conducive to improve the use efficiency and income of the company's funds, which is in line with the interests of the company and all shareholders. Therefore, the board of supervisors agreed that the company and its holding subsidiaries should use their own idle funds of no more than 2.5 billion yuan for cash management.
6、 Documents for future reference
1. The 28th meeting of the 9th board of directors of the company;
2. The 12th meeting of the ninth board of supervisors of the company;
3. Opinions of independent directors.
Foshan Electrical And Lighting Co.Ltd(000541) board of directors
March 22, 2022
