Securities code: Guangdong Guanghong Holdings Co.Ltd(000529) securities abbreviation: Guangdong Guanghong Holdings Co.Ltd(000529) Announcement No.: 202237 Guangdong Guanghong Holdings Co.Ltd(000529)
Announcement on investment in the construction of Guanghong Seed Industry Southern National chicken seed industry base project
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
1. According to the "14th five year plan" development plan, focusing on the development layout of the company's livestock and poultry sector and the strategic planning and deployment of the poultry industry chain, Foshan Nanhai breeding poultry Co., Ltd. (hereinafter referred to as "Nanhai breeding poultry") subordinate to the company plans to take its wholly-owned subsidiary Guangdong Guanghong Seed Industry Technology Co., Ltd. (hereinafter referred to as "Guanghong seed industry") as the project construction unit, The southern national chicken seed industry base (hereinafter referred to as "the project") is invested and constructed in Huatan village, Shuntian Town, Dongyuan County, Heyuan City, Guangdong Province. After the completion of the project, it is expected that the breeding chicken stock of the base will be about 550000 sets (including the stock of core pure lines, grandparents and parents), and it is expected to produce about 4 million sets of high-quality parent-child seedlings, about 51.24 million commercial chicken seedlings, about 1.28 million kg commercial chicken and about 330000 kg vegetable eggs.
2. On May 18, 2022, the company held the fifth interim board meeting in 2022. At the meeting, the proposal on the construction project of Southern National chicken seed industry base of Guangdong Guanghong Seed Industry Technology Co., Ltd. was deliberated and adopted by 8 votes in favor, 0 votes against and 0 abstentions. The board of directors agreed that Nanhai breeding birds under the company would take its wholly-owned subsidiary Guanghong seed industry as the project construction unit, Invest in the construction of Southern National chicken seed industry base in Huatan village, Shuntian Town, Dongyuan County, Heyuan City, Guangdong Province, and authorize the company's management to be responsible for all operation matters of Guanghong seed industry's investment and construction of the project within the total investment budget of 419.23 million yuan. According to the Shenzhen Stock Exchange's stock listing rules, the articles of association and other relevant provisions, this matter is within the approval authority of the board of directors of the company and does not need to be submitted to the general meeting of shareholders of the company for deliberation.
3. This investment does not involve related party transactions, nor does it constitute a major asset reorganization stipulated in the administrative measures for major asset reorganization of listed companies.
2、 Basic information of the project investor
1. Company name: Guangdong Guanghong Seed Technology Co., Ltd
2. Company type: limited liability company (sole proprietorship of legal person)
3. Legal representative: Yao Wei
4. Registered capital: RMB 100 million
5. Registered address: No. 666 Junmin Jianshe Road, Huatan village, Shuntian Town, Dongyuan County, Heyuan City
6. Date of establishment: June 29, 2021
7. Business term: June 29, 2021 to long term
8. Business scope: development, consultation, exchange, transfer and promotion services of livestock and poultry breeding technology; Breeding, hatching and sales of breeding chickens of grandparents and parents; Parents act as agents for breeding chickens; Breeding, wholesale and retail: Chicken seedlings, broilers; Wholesale and retail: grow eggs; Production and sales: feed additives and fertilizers; Sales of agricultural and sideline products; Engaging in investment activities with its own funds; Information consulting services (excluding licensed information consulting services); Property leasing. (for projects subject to approval according to law, business activities can be carried out only after approval by relevant departments)
9. Shareholders and equity structure: the company holds 70% equity of Nanhai breeding birds, a subsidiary of Foshan Nanhai Lianhua Asset Management Co., Ltd. holds 30% equity of Nanhai breeding birds, Nanhai breeding birds holds 100% equity of Guanghong seed industry, the company indirectly holds 70% equity of Guanghong seed industry, and Nanhai Lianhua indirectly holds 30% equity of Guanghong seed industry.
10. After inquiring the national enterprise credit information publicity system, Guanghong seed industry was not included in the list of serious illegal and dishonest enterprises.
3、 Basic information of the project to be invested
1. Construction land of the project
The construction land of the project is located in Huatan village, Shuntian Town, Dongyuan County, Heyuan City, with a total land area of 1321 mu. The land management right transfer contract has been signed for the project, with a transfer land area of 1321 Mu and the nature of the land is agricultural land.
2. Project construction scale
The southern national chicken seed industry base is positioned as a national chicken seed industry base with modernization, standardization and high starting point in China, covering five core functional areas, including national chicken core breeding R & D center, ancestral breeding center, parental breeding center, biological seed industry incubation center, operation management and production, University, research and application integration and innovation center. The total land area of the project is about 1321 mu, the total construction area is about 88065 square meters, the physical enclosure of the new site is about 7500 meters, the fence is about 6000 meters, and the road and return apron of the site are about 51200 square meters. Build a national chicken seed industry base with a breeding chicken stock of 550000 sets (including the stock of core pure lines, grandparents and parents).
3. Main construction contents
The construction of the project includes a great grandparent and original breeding chicken R & D center with a stock of 100000 sets, a grandparent breeding chicken breeding center with a stock of 130000 sets, a parent breeding chicken expansion center with a stock of 320000 sets, as well as supporting biological seed industry incubation center, operation management center (testing center, disease prevention and control center, industry university research center, staff dormitory and living facilities) Harmless treatment center (organic fertilizer processing, sewage treatment and other harmless treatment), etc. In addition, supporting reservoirs, site roads and return yards, off-site roads, physical fences, fence fences, planting and consumption bases and slope protection, earthwork, water supply and drainage works, electrical works, greening works, etc. 4. Total budget of project investment
The total planned investment of the project is 419.23 million yuan (including project construction investment, interest during construction and initial working capital), of which:
(1) The project construction investment is 406.07 million yuan, including 225.83 million yuan of construction engineering cost, 131.23 million yuan of equipment purchase cost, 18.92 million yuan of other engineering construction costs and 30.08 million yuan of unpredictable costs;
(2) The interest during the construction period is 7.47 million yuan;
(3) The initial working capital is 5.69 million yuan.
5. The construction period of the project is planned to be 18 months. After the completion of the project, Guanghong seed industry will introduce the population of breeding birds from the South China Sea and carry out production and management in stages as planned until the project reaches full production. After the completion of the project, it is estimated that the breeding chicken stock in the base is about 550000 sets (including the stock of core pure lines, grandparents and parents), and it is estimated that 4 million sets of high-quality parents' seedlings, 51.24 million commercial chicken seedlings, 1.28 million kg commercial chicken and 330000 kg vegetable eggs can be produced annually.
6. Source of project funds
The funds required for the project are the enterprise's own funds and bank loans.
4、 Purpose of foreign investment and its impact on the company
As an important part of the company's poultry industry development plan, the project is an important measure for Guangdong Guanghong Holdings Co.Ltd(000529) implementing the industrial development layout of "one port and four bases". It is also an important starting point for breaking the bottleneck of the development of breeding poultry industry in the South China Sea, completing Industrial transfer, transformation and upgrading, and further promoting the integrated development of breeding, breeding, raising, slaughtering and marketing of poultry industry.
By building an advanced national chicken seed industry R & D and breeding promotion base, vigorously promote high-quality national chicken seedlings and their series of high-quality products, improve the coverage of national chicken improved varieties and expand the production scale of improved varieties, which is conducive to enterprises to use the scale effect to reduce operating costs, improve business profitability, actively explore the extension to the downstream and terminal of the national chicken industry chain, and promote the transformation, upgrading and high-quality development of enterprises. The implementation of the project is in line with national policies and local strategic planning, and reflects the social value of the company in implementing the National Rural Revitalization Strategy, promoting the development of rural industries, improving the efficiency of local agricultural production and promoting the realization of the goal of local rural revitalization of society.
The above investment and construction projects are still in the early stage and will not have a significant impact on the company's financial situation and operating results in the short term.
5、 Project investment risks and Countermeasures
1. Risk of raw material price fluctuation and Countermeasures
In the cost of breeding chicken breeding, the feed cost accounts for the largest proportion of the total breeding cost. In this regard, Guanghong seed industry controls the production cost by mastering the market dynamics, timely purchasing, determining the feed supplier in the form of public bidding, actively exploring the alternative products of main raw materials, reasonably adjusting the feed formula and other ways, so as to reduce the impact of the price fluctuation of main raw materials on the operation.
2. Animal disease risk and Countermeasures
Epidemic risk is one of the main risks faced by the livestock and poultry breeding industry. In order to reduce the pressure of epidemic prevention and reduce the expenditure of epidemic prevention, the project establishes an all-round, multi-level and multi angle epidemic risk prevention mechanism, including the allocation of professional personnel to monitor the condition of animals, the construction of washing, drying and other facilities covering the site, the use of industrial Internet of things to intelligently manage chicken houses, and the provision of harmless treatment equipment for dead and sick chickens to prevent the infection of epidemic diseases. The project will also build a preventive immune system to minimize the risk of animal diseases.
3. Market risks and Countermeasures
In terms of market risk, the actual situation of market supply and demand may deviate from the forecast. The project will strengthen the development of Chinese market and new products, realize product diversification, and develop new market segments for different consumption levels; When the market situation is not ideal, keep close contact with the downstream broiler breeding, slaughtering and processing and terminal sales groups, constantly adjust and optimize the product variety structure and enhance the product competitiveness; For high-quality national chicken products, explore the joint construction of industrial chain and extension to the downstream to reduce the business risk caused by market cyclical fluctuations. Strengthen the dynamic research of the market, and timely adjust the inventory scale and product variety structure.
4. Environmental protection policy risks and Countermeasures
With the gradual improvement of the government's requirements for environmental protection, enterprises need to pay higher environmental protection investment and operating expenses, which directly increases production and operation costs and affects operating profits. The project effectively controls environmental protection risks through centralized harmless treatment and resource utilization of fecal sewage. Strictly establish and improve the environmental protection management system, and dynamically improve the environmental protection testing and evaluation facilities and equipment. Strengthen the research on new and advanced environmental protection technologies, explore the comprehensive recycling of waste, and reduce the pressure of environmental protection costs.
6、 Other
The company will pay close attention to the progress of relevant investment and fulfill the obligation of information disclosure in time according to relevant regulations. Please invest rationally and pay attention to investment risks.
It is hereby announced.
Guangdong Guanghong Holdings Co.Ltd(000529) board of directors may 19, 2002
