Kunshan Kinglai Hygienic Materials Co.Ltd(300260) ( Kunshan Kinglai Hygienic Materials Co.Ltd(300260) ) announced on April 5 that after receiving the notice from the controlling shareholder and actual controller of the company, Li Shuibo, senior manager Guo Hongfei and Secretary of the board of directors Zhu Mengyong, China Securities Regulatory Commission decided to file a case against the three persons and investigate the relevant situation due to suspected insider trading.
Referring to the trend of Kunshan Kinglai Hygienic Materials Co.Ltd(300260) share price, since last year, the highest increase in the company’s share price range is about 349%. As of September 30, 2021, the company had 12900 shareholders, with an average of 11700 shares. As the share price rose, a group of executives threw out the reduction plan.
According to the announcement, this investigation is aimed at Li Shuibo, Guo Hongfei and Zhu Mengyong. It has nothing to do with the company’s daily operation and management and business activities and has no impact on the company’s normal operation.
Kunshan Kinglai Hygienic Materials Co.Ltd(300260) one of its main businesses is the R & D, production and sales of clean application materials and high-purity and ultra-high-purity application materials. The products are mainly used in food safety, biomedicine, pan semiconductor and other business fields.
It is noteworthy that on July 28 last year, Kunshan Kinglai Hygienic Materials Co.Ltd(300260) replied to the investor consultation on the “interactive easy” platform of Shenzhen stock exchange that “the company’s products can be applied to the field of Pan semiconductor” and “it is a loyal supplier of large terminal manufacturers of lithium batteries (such as German business pioneer, Byd Company Limited(002594) etc.).
Later, Kunshan Kinglai Hygienic Materials Co.Ltd(300260) replied to the investor consultation on the “interactive easy” platform of Shenzhen Stock Exchange on July 30, 2021, saying that “the scale of the global semiconductor market bucked the trend and driven the demand for semiconductor special equipment”.
The interaction between the above two companies and investors attracted the attention of Shenzhen Stock Exchange and issued a letter of concern. SZSE requires Kunshan Kinglai Hygienic Materials Co.Ltd(300260) please specify the specific product name of the company’s sales to German business pioneer, Byd Company Limited(002594) and the amount and proportion of revenue and net profit recognized in the last three years and the first period, and explain whether the relevant business has a significant impact on the company’s performance in combination with the orders on hand and the expected new orders, and fully prompt the relevant risks.
SZSE also requires Kunshan Kinglai Hygienic Materials Co.Ltd(300260) to check the reasons for the recent large increase in the company’s share price and whether it matches the fundamental changes in the company’s production and operation in combination with the increase in the company’s share price, the change in the market demand of the company’s main products and the company’s production and operation; It also explains whether the company has violated the principle of fairness of information disclosure or misled investors in media interviews, institutional research, we media publicity and investor relations activities in recent three months.
On August 5, 2021, Kunshan Kinglai Hygienic Materials Co.Ltd(300260) replied to the letter of concern, saying that up to now, the orders in hand of German business pioneer are 7700 yuan, and it is estimated that the annual order receiving amount of the customer is about 1.2 million yuan Byd Company Limited(002594) up to now, there is no order in hand. Byd Company Limited(002594) is a new customer of the company that began cooperation in 2019. It is estimated that the annual order receiving amount of this customer is about 1 million, and there is a certain space for cooperation and growth in the future.
It is worth mentioning that since the second half of last year, the company’s senior management has frequently reduced their holdings.
On June 21, 2021 and January 18, 2022, the company’s director Weng Pengbin, director Li Hongqing, chief financial officer Huang Shihua, deputy general manager Zhang Yu and deputy general manager Guo Zhifeng disclosed the reduction plan twice; On September 22, 2021, Guo Hongfei, the deputy general manager of this investigation, planned to reduce his holdings of no more than 47325 shares by means of centralized bidding.
In addition, Kunshan Kinglai Hygienic Materials Co.Ltd(300260) announced a substantial increase in performance last year 3 Lb Group Co.Ltd(002601) January 24 released the performance forecast. It is estimated that the net profit attributable to the parent company will be 166185 million yuan in 2021, with a year-on-year increase of 101.05% – 124.06%. This is mainly due to the rapid growth of the company’s semiconductor business due to the trend of semiconductor localization; Benefiting from the rapid expansion of Chinese vaccine and pharmaceutical manufacturers, the company’s biomedical business grew rapidly.
