Tangrenshen Group Co.Ltd(002567)
Feasibility analysis report on the use of funds raised by non-public issuance of A-Shares in 2022
April, 2002
For the interpretation of professional terms used in this feasibility analysis report, please refer to the interpretation of Tangrenshen Group Co.Ltd(002567) 2022 non-public Development Bank A-share stock plan.
Unless otherwise specified, all values retain 2 decimal places. If the sum of the values of each sub item is inconsistent with the mantissa of the total, it is caused by rounding.
1、 The use plan of the funds raised in this non-public offering
The total amount of funds raised in this non-public offering does not exceed 1220 million yuan (including this amount). The net amount of funds raised after deducting relevant issuance expenses will be fully invested in the following projects:
Unit: 10000 yuan
Project Name: total investment of the project to be invested in raised funds
Pig breeding project
1 Dongchong phase III pig breeding base construction project 19614581 Shanghai Pudong Development Bank Co.Ltd(600000)
2. Construction project of pig seedling breeding 1800000 and 1100000 of Yunfu yun'an Wenshi ecological breeding Co., Ltd
3. 20 Ping An Bank Co.Ltd(000001) 300000 breeding poverty alleviation project of Tangrenshen Group Co.Ltd(002567) group in Furong Village, he'e Town, Rongshui County
4. Pubei Meishen breeding Co., Ltd. farm 30 China Vanke Co.Ltd(000002) 300000
5 Hainan Changjiang Da'an integrated 150000 head breeding project 30 China Vanke Co.Ltd(000002) 300000
II. Other projects
6 supplementary working capital 360 China Union Holdings Ltd(000036) 00000
Total 1536145812200000
If the actual net amount of funds raised in this non-public offering is less than the amount of funds to be invested in the above projects, the company will adjust and finally determine the specific investment amount of the raised funds according to the actual net amount of funds raised and the priorities of the projects. The insufficient part of the raised funds shall be solved by the company through self financing. Before the funds raised from this non-public offering are in place, the company may invest in advance with self raised funds according to the actual needs of the project progress, and replace them in accordance with the procedures specified in relevant laws and regulations after the raised funds are in place.
2、 Necessity and feasibility analysis of the use of the raised funds
(I) pig breeding project
1. Basic information of the project
Among the investment projects with raised funds, the basic information of pig breeding projects is as follows:
Unit: 10000 yuan
Project name implementation subject implementation location the project plans to invest the total investment funds of the raised number
Dongchong phase III pig breeding base is built in Hunan longhuanong, Zhuzhou City, Hunan Province
1. The project is located in Yaoshui 1 Shanghai Pudong Development Bank Co.Ltd(600000) company Village, Yantang Town, Lingxian county
Yunfu yun'an Wenshi ecological breeding Yunfu yun'an Yunfu City, Guangdong Province
2 Co., Ltd. pig seedling breeding production Jianwen's ecological Yangan District Gaocun town Qingshui 18 Ping An Bank Co.Ltd(000001) 100000 set up a project breeding Co., Ltd
Rongshui meishennong Guangxi Zhuang Autonomous Region
3. Tang Renmu Technology Co., Ltd., Furong Village, he'e Town, Rongshui County 20 Ping An Bank Co.Ltd(000001) 300000 Liuzhou Rongshui Miao farming poverty alleviation project company, fu'e Town, Autonomous County
Rongcun
Pubei Meishen breeding Co., Ltd. raises Pubei North America Shenyang Guangxi Zhuang Autonomous Region
4. Changji Co., Ltd. Badong village, shi30 China Vanke Co.Ltd(000002) 300000 Qiao Town, Pubei County, Qinzhou City
Hainan Changjiang Da'an integration 15 Hainan meishennong Changjiang Li Nationality in Hainan Province
50000 head breeding project animal husbandry technology Co., Ltd. Da 30 China Vanke Co.Ltd(000002) 300000 company an village, Haiwei Town, Autonomous County
Total 117614588 Shanghai Pudong Development Bank Co.Ltd(600000)
2. Necessity of project construction
(1) Large scale pig breeding mode is the development trend of the industry
At present, the proportion of small and medium-sized farms in China's pig breeding structure is large, and the degree of large-scale breeding is relatively low. Limited by facility conditions, technology accumulation and other factors, small and medium-sized farms are at a disadvantage in terms of cost, efficiency and ability to deal with the risk of market price fluctuation. Large scale breeding has obvious advantages in raw material procurement, standardized production, per capita efficiency and cost control, and can provide safe livestock and poultry products for the society for a long time and stably. Large scale breeding is conducive to the monitoring of food safety and improve the quality of livestock and poultry products in China.
Therefore, large-scale and standardized breeding enterprises have great comparative advantages in capital, technology, quality management and other aspects, which is an obvious trend of industry development.
(2) Need to realize the company's own development strategy
Focusing on the three major industries of "biological feed, healthy breeding and brand meat", the company has established the development goal of being a global excellent enterprise in the whole industrial chain of agricultural and animal husbandry food, and adhered to the management strategy of the whole industrial chain of live pigs. The company mainly adopts the whole process self feeding method, controls all pig raising links, formulates strict epidemic prevention and control plans, continuously improves breeding efficiency, reduces production costs, and forms a low-cost competitive advantage of large-scale breeding. At present, the company will continue to vigorously develop pig breeding business in Hunan Province, Guangdong Province, Hainan Province and other regions as key breeding areas.
3. Feasibility of project implementation
(1) National policies support pig production
In September 2019, the general office of the State Council issued the opinions of the general office of the State Council on stabilizing pig production and promoting transformation and upgrading (GBF [2019] No. 44), specifying that the goal of pork self-sufficiency rate is about 95%, and the large-scale breeding rate will reach about 58% by 2022; By 2025, the large-scale breeding rate will reach more than 65%.
In March 2020, the national development and Reform Commission and the Ministry of agriculture and rural areas stressed in the implementation opinions on supporting private enterprises to develop pig production and related industries: "strengthen the policy support for private enterprises to develop pig production, optimize the market environment for private enterprises to develop pig industry, and guide private enterprises to improve the development quality of pig industry." This provides policy support for private pig breeding enterprises.
(2) The company has rich production management experience and talent reserve
In terms of production management: the company has established a complete production, operation and management system. The company has been engaged in breeding pigs since 2008. It has successively invested in the construction of modern breeding pig breeding bases in Hunan, Hebei and Gansu. It has successively carried out joint breeding with Chinese universities and foreign breeding enterprises to improve the genetic performance of breeding pigs, improve breeding efficiency and improve pork quality. Since 2016, the company has extended downstream fattening. From pig house design, equipment and facilities to breeding pig breeding, fertilization and breeding, pregnancy and farrowing, conservation and fattening, the company has formulated strict technical and quality standards, established card records, and is safe and traceable. Through continuous demonstration and practice with experts, the company has mastered building breeding technology, solved technical problems such as ventilation, epidemic prevention and environmental protection, and achieved good operation results. At the same time, the company's feed sector is linked with the pig sector, production and nutrition are linked, the feed nutrition formula is improved, the multi-stage feed combined feeding mode of fat pigs is designed, and the biological feed is promoted to achieve precise nutrition. Strengthen the real-time monitoring and prevention and control of epidemic diseases, improve the efficiency of personnel and funds, so as to control the breeding cost. In terms of talent reserve: the company has been engaged in the pig industry for many years. Through the combination of internal training and social recruitment, the company has cultivated and introduced outstanding talents in genetics and breeding, pig farm design and construction, production management, nutrition and feeding, disease prevention and control, environmental protection and other majors, forming a breeding team with many years of rich experience in modern pig farm breeding management and excellent professional knowledge and skills.
In short, the project invested by the company's raised funds in this issuance has a good foundation in terms of production management experience and personnel allocation, which can effectively ensure the smooth development of the investment project.
4. Economic benefit analysis of the project
After feasibility demonstration and project income calculation, the project invested by the raised funds has good economic benefits. After the implementation of the project, it can bring stable cash inflow to the company.
5. Project approval
Among the investment projects with raised funds, the approval of pig breeding projects is as follows:
Project name project filing project EIA
number
1 Dongchong phase III pig breeding base construction project Cha FA Gaibei [2020] No. 178 Zhu Cha Zhi Zhi [2021] No. 11
2 Yunfu yun'an Wenshi ecological breeding Co., Ltd. 201944530303-03085423 yunhuan (yun'an) Shensi pig seedling breeding production construction project [2021] No. 20
3. Liushen huanchengshen Zi of Tangrenshen Group Co.Ltd(002567) group 202045022503-03048324, Furong Village, he'e Town, Rongshui County
Aquaculture poverty alleviation project [2021] No. 2
4. Breeding farm of Pubei Meishen breeding Co., Ltd. 202045072203-03049565 QHS [2021] No. 12
5 Hainan Changjiang Daan integrated 150000 head breeding 202046902603-03022866 qionghuan Han [2021] 234 Project No
(II) supplementary working capital
1. Basic information of the project
The company plans to use no more than 360 million yuan of the funds raised from this non-public offering of shares to supplement working capital, so as to better meet the daily capital turnover needs of the company's production and operation after expanding production capacity and further improve the overall profitability of the company.
2. Necessity of project implementation
Focusing on the three major industries of "biological feed, healthy breeding and brand meat", the company has built a whole pig industry chain integrating feed R & D and production, breeding pig breeding, commercial pig fattening, pig slaughtering and meat processing. The company vigorously promotes the development of pig breeding industry and constructs the whole industrial chain of pigs. The implementation of the above strategic plan is inseparable from stable capital support. Through this fund-raising to supplement working capital, the company's capital will be further thickened, which will form an effective support for the company's long-term strategic deployment and promote the company to move firmly towards the established goal. 3. Feasibility of project construction
The replenishment of working capital by raising funds this time is in line with the relevant industrial policies and industry status of the company's industry development, in line with the current actual development situation of the company, is conducive to enhancing the company's capital strength, meeting the capital needs of the company's operation, and realizing the continuous improvement of the company's economic benefits and the healthy and sustainable development of the enterprise; At the same time, through shares
