Soochow Securities Co.Ltd(601555)
About Ife Elevators Co.Ltd(002774)
Verification opinions on purchasing principal guaranteed financial products with idle raised funds
Soochow Securities Co.Ltd(601555) (hereinafter referred to as ” Soochow Securities Co.Ltd(601555) ” or “sponsor”) as a sponsor of Ife Elevators Co.Ltd(002774) (hereinafter referred to as ” Ife Elevators Co.Ltd(002774) ” or “company”) for initial public offering of shares (hereinafter referred to as “this offering”), in accordance with the measures for the administration of securities issuance and listing sponsorship business In accordance with the provisions of laws and regulations such as the guidelines for the supervision of listed companies No. 2 – regulatory requirements for the management and use of raised funds by listed companies, the stock listing rules of Shenzhen Stock Exchange and the guidelines for the self discipline supervision of listed companies of Shenzhen Stock Exchange No. 1 – standardized operation of listed companies on the main board, Ife Elevators Co.Ltd(002774) plans to use idle raised funds to purchase principal guaranteed financial products, The verification conditions and opinions are as follows: I. Basic information of raised funds
With the approval of the reply on Ife Elevators Co.Ltd(002774) initial public offering of shares (zjxk [2017] No. 239) issued by the China Securities Regulatory Commission, Ife Elevators Co.Ltd(002774) (hereinafter referred to as “the company”) publicly issued 83.7 million shares of RMB common shares (A shares) to the public, with an issue price of RMB 6.10 per share and a total amount of funds raised by issuing new shares of RMB 51057000000, After deducting the issuance expenses of RMB 4897144700 (including tax), the net amount of funds actually raised is RMB 46159855300. On March 21, 2017, it was verified by Daxin Certified Public Accountants (special general partnership) and issued the capital verification report (daxinyz [2017] No. 500006), confirming that the raised funds have arrived in the account. 2、 Basic information of purchasing principal guaranteed financial products with idle raised funds this time
In order to improve the use efficiency of raised funds, appropriately increase income and reduce financial expenses, under the condition of ensuring that the investment plan of raised funds is not affected, the company plans to use idle raised funds with a total amount of no more than RMB 250 million to timely purchase principal guaranteed financial products with high safety and good liquidity. The details are as follows:
(I) investment products
Investment products must be principal guaranteed financial products and meet the following requirements: high security, meet the principal guaranteed requirements, and the product issuer can provide Principal Guaranteed commitments; The liquidity is good, which will not affect the normal progress of the raised funds or be used for other purposes.
(II) authorization period
The authorization period shall be valid within one year from the date of deliberation and approval by the general meeting of shareholders. The company will strictly abide by the requirements of relevant laws and regulations when carrying out actual investment.
(III) purchase quota
The company plans to use some idle raised funds with a maximum amount of no more than RMB 250 million to purchase financial products, and the amount of funds can be used on a rolling basis within the validity period of the authorization.
(IV) implementation mode
Within the scope of authorization, the board of directors authorizes the legal representative or the management of the company to sign relevant contract documents, and the financial department of the company is responsible for organizing the implementation.
(V) information disclosure
The company will perform the obligation of information disclosure after each purchase of financial products, including the amount, term and income of the purchase of financial products. 3、 Investment risk and risk control measures
(I) investment risk
1. Although the financial products purchased by the company are short-term and low-risk products, the financial market is greatly affected by the macro-economy. It is not ruled out that the investment is affected by market fluctuations.
2. The company intervenes timely and appropriately according to the economic situation and changes in the financial market, so the actual income of short-term investment is unpredictable.
3. Operation and monitoring risks of relevant staff.
(II) risk control measures
Affected by the macro-economy, the company will intervene in a timely and appropriate amount according to the economic situation and changes in the financial market, but it does not rule out that the investment is affected by market fluctuations. In view of possible investment risks, the company formulates the following risk control measures:
Once adverse factors are found or judged, corresponding preservation measures will be taken in time to control investment risks;
2. The Audit Department of the company is responsible for auditing and supervising the use and custody of low-risk investment and wealth management funds, comprehensively inspecting all investment projects of bank wealth management products at the end of each quarter, reasonably predicting the possible gains and losses of various investments according to the principle of prudence, and reporting to the audit committee;
3. Independent directors and the board of supervisors have the right to supervise and inspect the use of raised funds and the purchase of financial products, and can hire professional institutions to audit when necessary. 4、 Impact on the daily operation of the company
On the premise of ensuring that it will not affect the normal operation of the company, the construction of raised investment projects and the use of raised funds, the company uses some idle raised funds for cash management, which will not affect the normal development of the company’s main business, change the purpose of raised funds in a disguised form and affect the normal progress of the investment plan of raised funds; At the same time, through appropriate cash management, we can obtain certain investment income, improve the overall performance level of the company, and seek more investment returns for the shareholders of the company. 5、 Decision making procedures for cash management of the raised funds
The 7th Meeting of the 4th board of directors and the 6th meeting of the 4th board of supervisors reviewed and approved the proposal on using idle raised funds to purchase principal guaranteed financial products, and agreed to the scheme of using idle raised funds to purchase principal guaranteed financial products this time; The independent directors issued the independent opinions on matters related to the seventh meeting of the Fourth Board of directors and expressed their consent to the above matters. 6、 Verification opinions of the recommendation institution
The company’s purchase of principal guaranteed financial products with idle raised funds has gone through relevant approval procedures, which has been deliberated and confirmed by the board of directors and the board of supervisors of the company, and the independent directors have expressed their independent opinions. On the premise of not affecting the normal progress of the investment plan of raised funds, the company uses idle raised funds to purchase principal guaranteed financial products. This matter and its decision-making procedures comply with the guidelines for the supervision of listed companies No. 2 – regulatory requirements for the management and use of raised funds of listed companies, the stock listing rules of Shenzhen Stock Exchange, the China Securities Regulatory Commission Relevant provisions such as the Shenzhen Stock Exchange self regulatory guidelines for listed companies No. 1 – standardized operation of listed companies on the main board are conducive to improving the efficiency of the use of raised funds and the income of the company’s cash assets. There is no damage to the interests of the company and shareholders, especially small and medium-sized shareholders, which is in line with the interests of the company and all shareholders. Therefore, Soochow Securities Co.Ltd(601555) agrees to Ife Elevators Co.Ltd(002774) use idle raised funds to purchase principal guaranteed financial products. The proposal can be implemented only after it is deliberated and approved by Ife Elevators Co.Ltd(002774) shareholders’ meeting.
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(there is no text on this page, which is the signature page of Soochow Securities Co.Ltd(601555) verification opinions on Ife Elevators Co.Ltd(002774) using idle raised funds to purchase principal guaranteed financial products)
Signature of sponsor representative:
Feng Song, Chen Lei
Soochow Securities Co.Ltd(601555) mm / DD / yyyy
