Leshan Giantstar Farming&Husbandry Corporation Limited(603477) 4 on the evening of April 20, the prospectus for the public offering of convertible corporate bonds was issued. The total amount of funds raised by the issuance of convertible bonds was 1 billion yuan (including), the number of issuance was 1 million hands (10 million pieces), and the face value of each was 100 yuan. The preferred placing date and online subscription date of the original shareholders of this offering are April 25, 2022. The net funds raised will be used for Dechang giant pig breeding integration project and supplement working capital.
The coupon rate of convertible bonds issued this time is 0.4% in the first year, 0.6% in the second year, 1% in the third year, 1.5% in the fourth year, 2.25% in the fifth year and 3% in the sixth year.
Leshan Giantstar Farming&Husbandry Corporation Limited(603477) completed the acquisition of superstar Co., Ltd. in July 2020 and entered the livestock and poultry breeding industry. According to the business development plan and objectives of the company in this sector, in the future, the company will gradually expand the pig breeding business to the southwest and even the whole country by accelerating the layout of the pig breeding industry, "based on Sichuan and going to the whole country", so as to enhance the sustainable profitability of listed companies and improve the return to shareholders. The funds raised in this issuance will be used for pig breeding projects, which will further expand the company's pig breeding scale and improve market share. After the project is completed, the company will obtain a good return on investment, help to improve the company's profitability and realize the company's main business development strategy. At the same time, it can further give play to the advantages of the company in breeding efficiency, cost control ability and food safety, and improve the comprehensive strength and profitability of the company's breeding business.
Leshan Giantstar Farming&Husbandry Corporation Limited(603477) breeding business is mainly operated by superstar Co., Ltd. after more than ten years of practice in large-scale pig farm management, superstar Co., Ltd. has accumulated rich breeding management experience, formed a relatively complete integrated industrial chain of feed processing and livestock and poultry breeding, built an advanced breeding system of "seed + material + management", and formed a system from pig farm site selection and construction, gene seed selection and breeding, feed raw material procurement and production Talent echelon and standardized workflow for nutrition scheme design, R & D, production management, household development and management. The talents in the pig breeding business of the company cover all aspects of pig breeding, such as pig genetic breeding, pig farm design and construction, production management, nutrition and feeding, epidemic prevention and control, environmental protection and so on. They are fully competent for the construction and management of the company's existing and new pig farms.
Dechang giant pig breeding integration project plans to build a breeding pig breeding integration pig farm with a breeding scale of 36000 sows, produce fattening pigs, and build all kinds of pig houses, including breeding houses, delivery houses, male pig houses, reserve houses, isolation houses, fattening houses and houses for sale. The project adopts the method of whole process self feeding. After the completion of the project, it will reach the scale of 972000 pigs per year.
The announcement shows that for a long time, China's pig slaughter and pork production have ranked first in the world, and both pig feeding and pork consumption account for about half of the world's total. The project is built in Sichuan Province. According to public data, from 2016 to 2018, the number of pigs sold in Sichuan Province ranged from 66 million to 69 million. In 2019, the number of pigs sold decreased significantly. The number of pigs sold in Sichuan Province was only 48.52 million. It recovered in 2020, reaching 56.144 million. In 2021, 63.148 million pigs were sold, an increase of 12.5% year-on-year. After the implementation of the raised investment project, the number of live pigs sold by the company will increase significantly, which can effectively supplement the supply gap of live pigs and meet the pork consumption demand of residents.
