Stock Code: Yixintang Pharmaceutical Group Co.Ltd(002727) stock abbreviation: Yixintang Pharmaceutical Group Co.Ltd(002727) Announcement No.: 2022014 Yixintang Pharmaceutical Group Co.Ltd(002727)
On the use of some 2018 convertible corporate bonds to raise funds temporarily idle
Announcement of purchasing financial products
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without falsity
Records, misleading statements or material omissions.
Yixintang Pharmaceutical Group Co.Ltd(002727) (hereinafter referred to as “the company”) held the 12th meeting of the 5th board of directors on November 26, 2021 to consider and adopt the proposal on the company’s use of part of the temporarily idle raised funds of convertible corporate bonds in 2018 to purchase financial products, On December 14, 2021, the fourth extraordinary general meeting of shareholders of 2021 was held to consider and approve the proposal on the company using part of the temporarily idle raised funds of convertible corporate bonds in 2018 to purchase financial products. It was agreed that the company would use the temporarily idle raised funds of convertible corporate bonds in 2018 to purchase financial products within the above amount, The funds can be used on a rolling basis and are valid for 12 months from the date of deliberation and approval by the general meeting of shareholders. Meanwhile, the chairman is authorized to exercise relevant decision-making power and sign relevant legal documents. Independent directors and recommendation institutions have expressed independent opinions and recommendation opinions on the above proposals.
On June 25, 2019, the company held the second extraordinary general meeting of shareholders in 2019, deliberated and approved the proposal on changing the implementation subject of the investment project of part of the raised funds of convertible corporate bonds in 2018 and increasing the capital of wholly-owned subsidiaries. According to the company’s plan for public issuance of convertible corporate bonds in 2018, the capacity expansion project of traditional Chinese medicine decoction pieces was implemented in Huaning County, Yuxi City. In order to facilitate local management, The change is implemented by Hongxiang traditional Chinese Medicine Technology Co., Ltd. (hereinafter referred to as “Huaning Hongxiang”), a wholly-owned subsidiary of the company, and the capital of Huaning Hongxiang is increased at the same time. The fund raising agreement of the wholly owned subsidiary of Huaning banking Co., Ltd. has been signed by the sponsor and the custodian on April, 2019, and the fund raising agreement of the wholly owned subsidiary of Huaning banking Co., Ltd. has been actually completed.
According to the above resolution, on March 22, 2022, the company signed two contracts for corporate structured deposits with Shanghai Pudong Development Bank Co.Ltd(600000) Kunming Branch. One is to use the temporarily idle funds raised from the public issuance of convertible corporate bonds in 2018 to purchase the stable profit 22jg3170 (exclusive to three-month bullish outlets) of Lido company of Shanghai Pudong Development Bank Second, use the temporarily idle funds raised from the public issuance of convertible corporate bonds in 2018 to purchase the stable profit 22jg3170 (exclusive to 3-month bullish outlets) RMB corporate structured deposits of Lido company of Shanghai Pudong Development Bank; Huaning Hongxiang signed a corporate structured deposit product contract with Shanghai Pudong Development Bank Co.Ltd(600000) Kunming Branch, which used the temporarily idle funds raised from the public issuance of convertible corporate bonds in 2018 to purchase the corporate structured deposit of RMB 22jg3170 (exclusive to three-month bullish outlets) of Lido company of Shanghai Pudong Development Bank. The relevant information is hereby announced as follows: I. implementation of entrusted financial investment (I)
Product name Lido company stable profit 22jg3170 (exclusive to 3-month bullish outlets) RMB corporate structured deposit
Product Code: 1201223170
Investment amount in figures: RMB 47 million only
In words: RMB forty-seven million only
Product life: 3 months
Currency of investment and income: RMB
Product type breakeven floating income
The raising period is from March 21, 2022 to March 22, 2022
Product establishment date: March 23, 2022
Product expiration date: June 23, 2022
Investment payment date: June 23, 2022
The spot price of the euro against the US dollar published on the Bloomberg page “EUR currency bfix” of the product linked target
Product observation date: June 20, 2022
Expected rate of return of the product (year): the minimum interest rate of the product is 1.40%, and the floating interest rate is 0% or 1.70% or 1.90%.
Opening price: the spot price of euro against US dollar at 10:00 Beijing time published on Bloomberg page “EUR currency bfix” on March 24, 2022.
Observed price: the spot price of the euro against the US dollar at 14:00 Beijing time announced on the Bloomberg page “EUR curncy bfix” on the product observation day.
If the observed price is less than the “opening price” × 88.20% “, with floating interest rate of 0% (annualized); The observed price is greater than or equal to the opening price × 88.20% “and less than” opening price ” × 104.20% “, floating interest rate 1.70% (annualized); The observed price is greater than or equal to the opening price × 104.20% “, floating rate
1.90% (annualized).
The above exchange rate prices take 4 decimal places. If the price level required for this product cannot be given on the agreed reference page at that time, Shanghai Pudong Development Bank Co.Ltd(600000) based on the principles of fairness, impartiality and fairness, choose the reasonable price level recognized by the market for calculation.
The starting amount of subscription is 5 million, increasing by 10000 integral times
Early termination right: the customer has no right to terminate (redeem) the product in advance Shanghai Pudong Development Bank Co.Ltd(600000) has the right to terminate the product in advance according to the actual investment situation, and issue an information announcement at the business outlet or in other ways within 2 working days before the date of early termination without further notice to the customer.
Source of funds: temporarily idle funds raised from the public issuance of convertible corporate bonds in 2018
Affiliated company has no affiliated relationship with Shanghai Pudong Development Bank Co.Ltd(600000) Kunming Branch
Product main risk Tips 1 Policy risk: this structured deposit product is only designed for the current effective laws, regulations and policies; If the national macro policies, relevant laws and regulations and relevant policies change, it may affect the normal investment, cashing and other behaviors of the structured deposit product, which will lead to the failure of the structured deposit product to obtain the expected product income.
2. Market risk: during the duration of structured deposit products, the market interest rate may rise, but the yield of the product will not increase with the rise of market interest rate; Limited by different investment portfolios and specific strategies, the change trend of the return of structured deposit products is not necessarily consistent with the overall development trend of the market.
3. Risk of delayed payment: on the agreed investment payment date, if the relevant benefits cannot be distributed on schedule due to reasons such as the failure to realize the investment object in time or unexpected circumstances such as force majeure, the customer faces the risk of delayed payment of structured deposit products.
4. Liquidity risk; For products with a definite investment period, customers cannot return the product in advance before the expiration of the investment period.
5. Reinvestment risk: Shanghai Pudong Development Bank Co.Ltd(600000) may exercise the right of early termination within the investment period according to the product manual, resulting in the actual operation days of structured deposit products being shorter than the period agreed in the product manual. If the structured deposit product is terminated in advance, the customer may not realize all the expected earnings at the beginning of the period. 6. Risk of raising failure: during the raising period, the product may face the risk of raising failure due to market risks or the amount of funds raised by the product does not reach the minimum raising scale.
7. Information transmission risk: the customer shall inquire the relevant information of the structured deposit product according to the information disclosure method specified in the notice on the rights and interests of customers. If the customer fails to inquire in time, or due to communication failure or system failure
Due to the influence of system failure and other force majeure factors, customers cannot timely understand the information of structured deposit products, and thus affect customers’ investment decisions. The resulting responsibilities and risks will be borne by customers themselves.
8. Risk of force majeure and accidents: if the customer or Shanghai Pudong Development Bank Co.Ltd(600000) is unable to perform the contract due to force majeure, the liability for breach of contract may be partially or completely exempted according to the impact of force majeure. Force majeure includes but is not limited to natural disasters such as fire, earthquake and flood, war, military action, strike, epidemic, it system failure, communication system failure, power system failure, settlement system failure of the people’s Bank of China, data error sent by stock exchanges and registration and settlement companies The abnormal suspension or suspension of trading in the stock exchange, the financial crisis, the suspension of trading in the involved market, and the failure of normal operation of structured deposit products due to the violation of the provisions due to changes in relevant national laws, regulations and policies after the contract takes effect. If one party is unable to perform the contract due to force majeure, it shall notify the other party in time, take appropriate measures in time to prevent the expansion of product capital loss, and continue to perform the contract after the force majeure event disappears. If Shanghai Pudong Development Bank Co.Ltd(600000) cannot continue to perform the contract due to force majeure, Shanghai Pudong Development Bank has the right to terminate the structured deposit product in advance and transfer the remaining funds of the customer’s structured deposit product after force majeure to the customer’s designated account agreed in the contract.
9. The specific risks listed above cannot exhaust all the risks of structured deposit products. The specific risks listed above are only used as examples and do not show Shanghai Pudong Development Bank Co.Ltd(600000) views on future market trends.
Implementation of entrusted financial investment (II)
Product name Lido company stable profit 22jg3170 (exclusive to 3-month bullish outlets) RMB corporate structured deposit
Product Code: 1201223170
Investment amount in figures: RMB 90 million only
In words: RMB 90 million
Product life: 3 months
Currency of investment and income: RMB
Product type breakeven floating income
The raising period is from March 21, 2022 to March 22, 2022
Product establishment date: March 23, 2022
Product expiration date: June 23, 2022
Investment payment date: June 23, 2022
The spot price of the euro against the US dollar published on the Bloomberg page “EUR currency bfix” of the product linked target
Product observation date: June 20, 2022
Expected rate of return of the product (year): the minimum interest rate of the product is 1.40%, and the floating interest rate is 0% or 1.70% or 1.90%.
Opening price: March 2022
