Securities code: 300705 securities abbreviation: Hunan Jiudian Pharmaceutical Co.Ltd(300705)
Announcement No.: 2022-004 bond Code: 123110 bond abbreviation: Jiudian convertible bond
Hunan Jiudian Pharmaceutical Co.Ltd(300705)
Announcement on investment in the construction of high-end preparation R & D Industrial Park (phase I)
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
1、 Overview of foreign investment
With the rapid growth of the sales scale of Hunan Jiudian Pharmaceutical Co.Ltd(300705) (hereinafter referred to as "the company"), the production capacity of the existing production line has been difficult to match the rapidly growing market demand. Considering the company's long-term development and future capacity layout, the company will invest 157.4172 million yuan to build the construction project of high-end preparation R & D Industrial Park (phase I) (hereinafter referred to as the "project").
The company held the 7th Meeting of the 3rd board of directors on January 11, 2022, which deliberated and passed the proposal on investing in the construction of high-end preparation R & D Industrial Park (phase I). According to the relevant provisions of Shenzhen Stock Exchange gem stock listing rules and the articles of association, this investment does not need to be submitted to the general meeting of shareholders for deliberation.
This investment does not involve related party transactions, does not constitute a major asset reorganization as stipulated in the administrative measures for major asset reorganization of listed companies, and does not need to be approved by relevant departments.
2、 Basic information of the project
1. Project Name: Hunan Jiudian Pharmaceutical Co.Ltd(300705) high end preparation R & D industrial park construction project (phase I)
2. Project construction subject: Hunan Jiudian Pharmaceutical Co.Ltd(300705)
3. Project location: Jiankang Avenue, Liuyang Economic Development Zone
4. Project construction content: external preparation production line
5. Source of project funds: self raised funds and some raised funds
6. Project investment budget: the total investment is 157.4172 million yuan (including construction engineering cost, equipment purchase and installation cost, other engineering construction costs and initial working capital)
7. Project construction period: the construction period of the project is 12 months.
3、 Purpose of foreign investment, existing risks and impact on the company
(I) purpose
1. Expand product capacity to meet the rapidly growing market demand
With the rapid growth of sales scale of external preparations, the production capacity of existing production lines has been difficult to match with the rapidly growing market demand. The project is going to build a new external application production line to further improve the production capacity of the drug and Ketoprofen Gel plaster, which is conducive to further developing the technology, product, customer, brand and management resources advantages of the company. Realize the integration and synergy of the company's business, and effectively enhance the company's profitability and sustainable development ability by fully realizing the large-scale effect.
2. Optimize production process, reduce production cost and improve product quality
Drug safety is related to the national economy and the people's livelihood. In recent years, the national regulatory requirements for drug safety have become more stringent, and pharmaceutical enterprises must pay more attention to product quality and safety. This project is going to build a new production base for topical preparations. Through the rational and efficient configuration of all kinds of production data, we can effectively optimize the production process of the drug and Ketoprofen Gel plaster, thus greatly improving the production efficiency and reducing the production cost. At the same time, introduce advanced inspection and testing equipment and high-quality testing personnel from abroad, strengthen and improve the drug production quality management system, effectively ensure the drug quality and safety, and lay a good foundation for the further expansion of the company's business scale in the future.
(II) existing risks
1. Project construction risk
Although the company has made a detailed analysis of the project, it may still face the risk of project change, extension or suspension caused by policy adjustment and project approval; Meanwhile, in the process of project construction, there may be uncertain factors such as construction technology and construction environment, project construction period and schedule changes.
2. Budget adjustment risk
The investment amount and other data of the project are the planned amount or estimated amount preliminarily calculated. The specific amount shall be subject to the actual situation in the future, and the estimated amount may be adjusted.
3. Market competition risk
As a promising industry, pharmaceutical manufacturing industry continues to attract new capital. At the same time, existing competitors are also increasing investment to occupy market share, and the market competition is becoming increasingly fierce. If the company cannot maintain its competitive advantage, it will have an adverse impact on the operation.
(III) impact on the company
Based on the company's accumulation in technology and market, the project is closely related to the company's existing main business. The implementation of the project will further optimize the production process of external preparation products, reduce production costs, improve product quality and performance, further enhance the company's core competitiveness and promote the rapid development of the company.
The project meets the requirements of national industrial policies for the development of the industry. Through reasonable and controllable environmental protection measures, the project has little impact on the environment during construction and operation. At the same time, the project has good expected financial benefits, can improve the overall profitability of the company, and is of positive significance to promote local employment and tax growth.
4、 Documents for future reference
Resolution of the 7th Meeting of the 3rd board of directors.
It is hereby announced.
Hunan Jiudian Pharmaceutical Co.Ltd(300705) board of directors January 12, 2022
