Soochow Securities Co.Ltd(601555)
About Kunshan Longteng North Electro-Optic Co.Ltd(600184) Co., Ltd
2021 continuous supervision and tracking report
Soochow Securities Co.Ltd(601555) (hereinafter referred to as ” Soochow Securities Co.Ltd(601555) ” or “sponsor”) as a sponsor of Kunshan Longteng North Electro-Optic Co.Ltd(600184) Co., Ltd. (hereinafter referred to as ” Infovision Optoelectronics (Kunshan) Co.Ltd(688055) ” or “company”) for initial public offering of shares and listing on the science and innovation board, Be responsible for the continuous supervision after Infovision Optoelectronics (Kunshan) Co.Ltd(688055) listing and issue the annual follow-up report of continuous supervision in accordance with the relevant provisions of the administrative measures for securities issuance and listing recommendation business, the Listing Rules of science and Innovation Board of Shanghai Stock Exchange and the self discipline supervision guidelines of listed companies of Shanghai Stock Exchange No. 11 – continuous supervision. 1、 Continuous supervision
No. work content and continuous supervision
1. Establish, improve and effectively implement the continuous supervision system, formulate the corresponding work plan guidance system and work plan for the continuous supervision work that the sponsor has established, improved and effectively implemented the continuous supervision system
According to the relevant provisions of the CSRC, at the beginning of the continuous supervision work, the recommendation institution has signed the recommendation agreement with Infovision Optoelectronics (Kunshan) Co.Ltd(688055) and signed the continuous supervision agreement with the listed company or relevant parties. The agreement defines the rights and obligations of both parties during the continuous supervision period, and reports it to Shanghai Securities and obligations and Shanghai stock exchange for filing
Record of stock exchange
Through daily communication, regular or irregular return 3, the sponsor understands the development of continuous supervision of Infovision Optoelectronics (Kunshan) Co.Ltd(688055) by means of daily communication, regular return visit, on-site inspection, due diligence and on-site inspection, and continuously supervises Infovision Optoelectronics (Kunshan) Co.Ltd(688055) the sponsor
During the period of continuous supervision, if the listed company violates laws and regulations in accordance with relevant regulations, and there are no four matters in 2021 Infovision Optoelectronics (Kunshan) Co.Ltd(688055) during the period of continuous supervision, it shall make a public statement to the Shanghai Stock Exchange before disclosure. The violation report that requires the recommendation institution to make a public statement in accordance with relevant regulations shall be reported on the designated media after being reviewed by Shanghai Stock Exchange
Notice
During the period of continuous supervision, the listed company or relevant parties violate laws and regulations
In case of violation of regulations, commitments and other matters, it shall report to Shanghai Stock Exchange within five working days from the date of discovery or should be found that Infovision Optoelectronics (Kunshan) Co.Ltd(688055) in 2021 has not occurred during the continuous supervision, and the contents of the report are illegal, illegal or breach of commitments and other matters
Including violations of laws, regulations and commitments by listed companies or relevant parties
The specific situation of the promise and other matters, the supervision measures taken by the sponsor, etc
Supervise the listed company and its directors, supervisors and senior managers to abide by the laws, regulations and departmental rules issued by Infovision Optoelectronics (Kunshan) Co.Ltd(688055) and the regulations issued by Shanghai Stock Exchange, and their directors, supervisors and senior managers to abide by the laws, 6 business rules and other normative documents, and earnestly perform the regulations and Departmental rules, business rules and other normative documents issued by Shanghai Stock Exchange, and earnestly fulfill their commitments
Supervise listed companies to establish, improve and effectively implement the corporate governance system, and the recommendation institution urges Infovision Optoelectronics (Kunshan) Co.Ltd(688055) to improve 7 the rules of procedure of the general meeting of shareholders, the board of directors and the board of supervisors and improve the corporate governance system in accordance with relevant regulations, and strictly implement, supervise and supervise the directors, supervisors and senior managers to abide by the code of conduct, such as the code of conduct of directors, supervisors and senior managers
Supervise listed companies to establish, improve and effectively implement the internal control system, including the sponsor’s verification of the design of Infovision Optoelectronics (Kunshan) Co.Ltd(688055) ‘s internal control system, 8 but not limited to the implementation and effectiveness of financial management system, accounting system and internal audit, the internal system of Infovision Optoelectronics (Kunshan) Co.Ltd(688055) and the use of raised funds, related party transactions, external guarantees The degree of control meets the requirements of relevant laws and regulations, and has been effectively implemented by major banks such as foreign investment, derivatives trading and control over subsidiaries, which can ensure the standardized operation of the company
Procedures and rules for business decision-making, etc
Supervise listed companies to establish, improve and effectively implement the information disclosure system,
9. Review the information disclosure documents and other relevant documents, and have sufficient reasons to urge Infovision Optoelectronics (Kunshan) Co.Ltd(688055) strictly implement the information disclosure, be sure that there is no system for the documents submitted by the listed company to the Shanghai Stock Exchange, and review the false records, misleading statements or major omissions in the information disclosure documents and other relevant documents
Information disclosure documents of listed companies and to the CSRC and Shanghai
Other documents submitted by the stock exchange shall be reviewed in advance and the existing problems shall be solved
Timely urge the company to correct or supplement the information disclosure documents of problems
If the company fails to make corrections or supplements, it shall timely report the information disclosure documents of Infovision Optoelectronics (Kunshan) Co.Ltd(688055) to the recommendation institution of Shanghai Securities Exchange; The information disclosure documents of the listed company have not been reviewed in advance, and there is no situation that the report should be submitted to the Shanghai Stock Exchange in time within five months after the listed company fulfills the obligation of information disclosure
Complete the review of relevant documents within one day and solve the existing problems
The information disclosure documents shall timely urge the listed company to correct or supplement,
If the listed company does not make corrections or supplements, it shall timely report to Shanghai Securities Exchange
Yi Suo Report
Pay attention to the listed company or its controlling shareholders, actual controllers, directors
Supervisors and senior managers were subject to administrative punishment by the CSRC. In the last 2021 year, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) and its controlling shareholder, the actual 11 seas stock exchange disciplinary action, or no letter of regulatory concern was issued by the controller, directors, supervisors and senior managers of Shanghai Stock Exchange, and urged them to improve their internal control system
And take measures to correct it
Continue to pay attention to the performance of listed companies, controlling shareholders and actual controllers in 2021, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) and their controlling shareholders and actual 12 commitments. There is no failure of listed companies, controlling shareholders, actual controllers and other controllers to fulfill their commitments
Those who fail to fulfill their commitments shall report to the Shanghai Stock Exchange in a timely manner
Pay attention to the reports of public media on listed companies and timely target the market
Rumor check.
After verification, it is found that the listed company has major matters that should be disclosed in 2021. After verification by the recommendation institution, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) not 13 undisclosed or the disclosed information is inconsistent with the facts, and there are situations that should be reported to Shanghai Stock Exchange in time, urge the listed company to truthfully disclose or clarify; Listed companies do not
If it is disclosed or clarified, it shall be reported to Shanghai Stock Exchange in a timely manner
In case of any of the following circumstances, urge the listed company to make explanations and limit
Make corrections during the period and report to Shanghai Stock Exchange (I) suspected violation
Anti listing rules and other relevant business rules; (II) securities services
The professional opinions issued by the institution and its signatories may be false
14 records, misleading statements or major omissions and other violations of laws and regulations, or in 2021, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) no relevant circumstances occurred
His misconduct; (III) the company appears in Article 70 of the recommendation measures
1. The circumstances specified in Article 72; (IV) the company does not cooperate
Continuous supervision; (V) subscription by Shanghai Stock Exchange or sponsor
Other situations that need to be reported
Formulate the on-site inspection work plan for listed companies, clarify that the on-site inspection sponsor has formulated the relevant work planning and inspection requirements for on-site inspection, ensure the on-site inspection work quality plan, and clarify the on-site inspection work requirements
If a listed company is under any of the following circumstances, the sponsor shall know or
Within 15 days from the date when it should be known or as required by the Shanghai Stock Exchange
Special on-site inspection of listed companies within the time limit of: (I)
Non operating occupation by controlling shareholders, actual controllers or other related parties
16. Funds of listed companies; (II) providing guarantee for others in violation of regulations; (III) in 2021, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) does not have the above situation
Illegal use of raised funds; (IV) illegal securities investment and arbitrage
Period hedging business, etc; (V) related party transactions are obviously unfair or not performed
Approval procedures and information disclosure obligations; (VI) loss of performance or
The operating profit decreased by more than 50% over the same period of last year; (VII) Shanghai certificate
Other circumstances required by the stock exchange
2、 Problems found by the recommendation institution and the recommendation representative and their rectification
None.
3、 Major risk matters
(I) core competitiveness risk
1. Risk of declining market competitiveness caused by technology renewal iteration
The a-sitft-lcd production line owned by the company is the mainstream display technology in the current market because of its mature and stable technology, relatively low investment cost and high yield in all sizes of products; With the development of miniled new display technology, mini LED backlight + LCD display panel is expected to become the preferred display technology for consumer display products. AMOLED has advantages in mobile phone and wearable market due to its better display performance, low energy consumption, light weight and flexibility. However, due to factors such as technology, yield and cost, its application in medium and large-scale product market is still immature; The PPI, low power consumption and narrow frame of metal oxide and LTPS technology are significantly higher than those of a-Si, but the process is more complex and the investment and cost are relatively high. With the change of market demand, the display technology is in continuous development and change. All panel companies are insight into consumer demand and make efforts to develop new display technologies such as AMOLED, mini / micro led and metal oxide. A-Si, AMOLED, LTPS, metal oxide and other panel display technologies will coexist and develop in different application fields for a long time in the future, but it does not rule out that the a-Si technology route may face technology renewal and iteration. If the company cannot continuously invest R & D resources in new materials, new technologies and other aspects, continuously upgrade technology and make rapid response to the market in the future, it may lead to the decline of market competitiveness.
2. Risk of disclosure of core technology and loss of technicians
It shows that the technical advantage of the industry lies in the process technology of products and the R & D and innovation ability of new products. Whether we can continue to maintain a high-quality technical team, R & D and manufacture high value-added products with industrial competitiveness in the future is very important for the sustainable development of the company. The company attaches great importance to the cultivation and introduction of technical talents, strictly implements confidentiality measures, and implements the equity incentive plan to enhance the stability of the backbone team and ensure the effective organization and successful implementation of various R & D work. If the company cannot continue to do a good job in the confidentiality of core technology in the future or can not continue to provide competitive salary level and incentive mechanism, the company may face the risk of disclosure of core technology and loss of technicians caused by industry competition.
3. The production capacity cannot meet the market demand, and there is a risk of customer loss
In the long run, the interconnection of all things has become the general trend. The display demand in notebook computers, new energy vehicles, smart phones, smart interconnection and other fields will continue to grow, and the demand trend for high resolution, high refresh rate and energy saving is obvious. With the continuous expansion of the market scale of innovative products and high-end products in the display field, there is a gap between the company’s capacity supply and customer demand, which cannot fully meet the incremental demand of customers. If the company fails to expand its capacity in the future, it may face the risk of loss of customer resources, resulting in the decline of the company’s market power and industrial status.
(II) operational risk
1. Intellectual property risk
The competition between semiconductor display and material industry is becoming increasingly fierce. With the development of the company and industry, the risk of intellectual property rights is becoming more and more obvious. For a long time, the company has attached great importance to intellectual property protection and established a relatively perfect intellectual property protection system. However, due to the increasingly fierce market competition, if the company’s intellectual property layout can not continuously meet the company’s development needs, or the infringement of the company’s intellectual property can not be stopped in time, it will have an adverse impact on the company’s business development.
2. Risk of shortage of raw material supply
The main raw materials purchased by the company include electronic components, optical components, structural materials and electronic accessories. In 2021, IC and other components in the raw material market were in short supply and the price rose, which has been alleviated at present. However, if there are major adverse factors in the operation of upstream suppliers or foreign trade environment in the future, it may lead to insufficient supply of important components and adversely affect the production and operation of the company.
(III) financial risk
1. Recovery risk of accounts receivable
At the end of 2021, the company’s accounts receivable
