Following the loss of business performance, the collective resignation of directors, supervisors and senior executives, and the filing and investigation of the controlling shareholder, the private network communication storm is continuing to ferment in Shanghai Hongda New Material Co.Ltd(002211) (002211).
On January 9, the company announced that it had been filed for investigation by China Securities Regulatory Commission on suspicion of illegal information disclosure.
filed for investigation
Although the announcement of this investigation is relatively simple, industry insiders said that the probability is related to the previous Shanghai Hongda New Material Co.Ltd(002211) thunder stepping private network communication scam.
On May 31, 2021, Shanghai Hongda New Material Co.Ltd(002211) revealed that the private network communication business thunder: the wholly-owned subsidiaries Shanghai Hongzhu and Shanghai Guanfeng signed a series of private network communication product sales agreements with customers such as Jiangsu hongcui Industrial Development Co., Ltd. and poly Civil Explosive Technology Group Co., Ltd. from 2020 to 2021, but the above-mentioned customers were concentrated and overdue payment occurred, It brings significant risks to the company’s accounts receivable and inventory of nearly 500 million yuan.
Statistics show that both Shanghai Hongzhu and Shanghai Guanfeng were included in the consolidated statements of Listed Companies in 2019. The former is a new one, specializing in the development, production and sales of private network wireless communication products; The latter comes from M & A and is mainly engaged in printed circuit board processing business required for electronic equipment. Different from the general prepayment ratio of 70% – 100% for the purchase of communication equipment, the prepayment ratio of Shanghai Hongzhu and Shanghai Guanfeng sales network communication products is only 10%, and the rest is paid in installments as agreed after the completion and delivery of the order, leaving great uncertainty for the subsequent payment.
It is worth mentioning that the Shanghai Hongda New Material Co.Ltd(002211) private network communication business was introduced and led by Yang Xin, the former actual controller and then chairman of the company. However, Yang Xin has been lost since August 12, 2021. At the same time, the company received a call from Guilin Public Security Bureau in Guangxi Province and learned that Yang Xin had been filed for investigation by Guilin Public Security Bureau.
More than that, Jiangsu Weilun Investment Management Co., Ltd., the new controlling shareholder who just took control of the company at the end of October 2021, was issued a notice of filing by Dantu District Supervision Committee of Zhenjiang City in November on suspicion of bribery. According to the latest news, its 28.3251 million shares of listed companies have been applied for freezing by Zhuzhou Supervision Commission for the need of handling cases.
multiple risk capping
Trapped in the vortex of private network communication, Shanghai Hongda New Material Co.Ltd(002211) is facing more difficulties than filing a case for investigation.
In November 2021, more than Shanghai Hongda New Material Co.Ltd(002211) directors and supervisors resigned collectively, and once fell into the dilemma that there was only one director on the board of directors and no one on the board of supervisors. Until December 16, the by elected directors and supervisors took office in a hurry. At present, the performance time is less than one month. According to the data, the new chairman is Huang Jun, who has worked in listed companies since 2006, has working experience in R & D and production departments, and briefly served as a supervisor of the company from April 2018 to June 2019.
In addition to the major adjustment of senior executives, the company’s performance has also plummeted. In the first three quarters of 2021, dragged down by the impairment of inventories, accounts receivable and goodwill, Shanghai Hongda New Material Co.Ltd(002211) net profit lost 200 million yuan, a year-on-year decrease of nearly 700%.
However, the aforementioned loss is like a rehearsal before the storm, and the greater risk of asset impairment is still hanging over Shanghai Hongda New Material Co.Ltd(002211) .
At present, the accounts receivable of Shanghai Hongzhu and Shanghai Guanfeng due to private network communication sales business are about 118 million yuan. Although litigation, arbitration and other measures have been taken, they may become bad debts if they cannot be recovered in the end; Due to the abnormal execution of the above-mentioned business, the contract formed an inventory of 378 million yuan. If it cannot be fully realized in the future, it will be withdrawn for asset impairment loss. Moreover, previously Shanghai Hongda New Material Co.Ltd(002211) formed a large amount of goodwill due to the acquisition of Shanghai Guanfeng. Now the latter’s operation is abnormal, and the performance commitment may not be completed. The company accrued a goodwill impairment of about 166 million yuan.
The company said that at present, the private network communication business has temporarily stalled, and the daily production and operation of high-temperature silicone rubber, PCBA and other sectors are still orderly and normal. In the first half of 2021, the chemical business achieved a revenue of RMB 274 million, accounting for 95.21% of the main business from 47.36% in the same period in 2020, and the gross profit margin was 8.26%, a year-on-year increase of 0.46 percentage points.
(source: Securities Times · e company)
