Luoyang Xinqianglian Slewing Bearings Co.Ltd(300850) (address: Jiuzhou Road, Luoxin Industrial Park)
Feasibility analysis report on the project of issuing convertible corporate bonds to unspecified objects to raise funds
January 2002
1、 Overview of the raised funds
The total amount of funds raised in this issuance is expected to be no more than 150 million yuan (including 150 million yuan). After deducting the issuance expenses, the net amount of funds raised is planned to be invested in the following projects:
Unit: 10000 yuan
No. project name project investment amount raised fund proposed investment amount
1 gearbox bearing and precision parts project 111320.00 111320.00
2. Supplementary working capital 38680.00
Total 150000.00 150000.00
Before the funds raised in this offering are in place, the company can invest in advance with self raised funds according to the actual situation of the implementation progress of the investment project with raised funds, and replace them after the raised funds are in place. After the funds raised in this offering are in place, if the actual net amount of funds raised is less than the total amount of funds to be invested in the above-mentioned investment projects with raised funds, the insufficient part of the raised funds shall be solved by the company with its own funds or through other financing methods.
2、 Background of the project invested by the raised funds
(I) the global wind power installed capacity is growing rapidly
With the international community paying more and more attention to energy security, ecological environment, abnormal climate and other fields, reducing the combustion of fossil energy and accelerating the development and utilization of renewable energy have become the common consensus and concerted action of countries all over the world. In 2015, the new installed capacity of global renewable energy power generation exceeded that of conventional energy power generation for the first time, indicating that the construction of global power system is undergoing structural transformation.
As a clean and stable renewable energy, wind energy is one of the power generation methods with the most mature technology, the most large-scale development conditions and commercial development prospects in the field of renewable energy. At present, more than 100 countries around the world have begun to develop wind power. According to the statistics of the Global Wind Energy Council, the cumulative installed capacity of global wind power increased from 23.9gw to 742.7gw from 2001 to 2020, with a compound annual growth rate of 19.83%. The growth rate is fast. The specific installed capacity is as follows:
Source: Global Wind Energy Council
Among them, Asia, Europe and North America are the main global wind power markets. According to the statistics of the Global Wind Energy Council, in 2020, the cumulative installed capacity of Asia, America and Europe were 339.4gw, 169.8gw and 218.9gw respectively, accounting for about 98% of the global cumulative installed capacity.
(II) China's wind power industry policy provides an important guarantee for the rapid development of wind power market
In September 2020, China made it clear that it would strive to reach the peak of carbon dioxide emissions by 2030 and strive to achieve carbon neutralization by 2060. In October 2020, the wind power industry issued the Beijing Declaration on wind power in Beijing, saying that in order to cope with climate change and low-carbon transformation, achieve the peak of China's carbon emissions by 2030, strive to achieve carbon neutralization by 2060, and ensure an annual increase of more than 50gw of installed capacity. After 2025, the annual newly installed capacity of wind power in China shall not be less than 60GW, reaching at least 800 million KW by 2030 and at least 3 billion kw by 2060. The sustainable development of clean energy such as wind power has brought long-term development opportunities to the wind power industry.
On December 12, 2020, Xi Jinping delivered an important speech entitled "carry on the past and forge ahead into the future and start a new journey of global response to climate change" through video at the climate ambition summit, and announced that by 2030, China's carbon dioxide emission per unit of China's GDP will be reduced by more than 65% compared with 2005, and the proportion of non fossil energy in primary energy consumption will reach about 25%, Forest reserves will increase by 6 billion cubic meters over 2005, and the total installed capacity of wind power and Cecep Solar Energy Co.Ltd(000591) power generation will reach more than 1.2 billion kilowatts.
(III) China's installed capacity continues to expand and the wind power industry continues to develop
In recent years, the sustained and rapid development of China's wind power industry has benefited from clear planning and development objectives of continuous upgrading. According to the statistics of China Wind Energy Association, the newly installed capacity of wind power in China will be 54.4gw in 2020, with a year-on-year increase of 102.99%; By the end of 2020, the cumulative installed capacity of wind power in China reached 290.7gw, a year-on-year increase of 23.02%; The cumulative installed capacity of wind power in China has increased from about 2% in 2000 to about 38% in 2020, far exceeding the global average. It has become the largest and fastest-growing market of wind power generation in the world.
The cumulative installed capacity and annual new installed capacity of wind power in China from 2004 to 2020 are as follows: data source: China Wind Energy Association
(IV) breakthroughs in key technologies, continuous enrichment and improvement of operation and maintenance experience and industry standards, and rapid development of offshore wind power
From the perspective of key technologies of offshore wind power, China has made many breakthroughs. In terms of localization of offshore wind turbines, manufacturers of complete wind turbines such as Xinjiang Goldwind Science And Technology Co.Ltd(002202) , Shanghai Electric Group Company Limited(601727) , Ming Yang Smart Energy Group Limited(601615) have carried out test demonstration of large capacity units above 5MW. In terms of offshore wind farm construction, the degree of specialization of wind power construction ships has been high, and its lifting and operation capacity can meet the installation requirements of large capacity units; At the same time, the piling equipment has been relatively perfect, and the foundation construction technology and construction technology are basically mature to meet the construction requirements of large-capacity wind turbine foundation.
From the perspective of offshore wind power operation and maintenance, China has accumulated some operation and maintenance experience. By the end of 2020, China's cumulative installed capacity of offshore wind power is about 10GW, and has accumulated some operation and maintenance experience; The operation and maintenance ship promotes innovation, the professional operation and maintenance ship is applied, and the operation and maintenance level is continuously improved. At the same time, China's first national standard for offshore wind farms, design standard for offshore wind farms (GB / t51308-2019), has been implemented since October 1, 2019. This standard has reached the international advanced level and filled the gap in the design standard of China's offshore wind farms.
Offshore wind power has the advantages of high power generation capacity of wind turbines, large installed capacity of single unit, stable operation of units, no land occupation, no water consumption and suitable for large-scale development. At the same time, offshore wind power is generally close to traditional power load centers, economic development in coastal areas, large power grid capacity and good wind power access conditions, which are convenient for power grid consumption, Without the problem of long-distance power transmission, the global wind farm construction has developed from land to offshore.
According to the 13th five year plan for wind power development and review and Prospect of offshore wind power 2020, China will focus on promoting offshore wind power construction in Jiangsu, Zhejiang, Fujian, Guangdong and other provinces. It is expected that by 2030, the offshore wind power installed capacity target of China's coastal provinces will be close to 60GW, and by the end of 2020, the cumulative installed capacity of China's offshore wind power will be about 10GW, There is more room for growth. 3、 Necessity of investment project with raised funds
(I) expand the business scale of gale power parts, improve the profitability of the company and enhance the competitiveness of the company
Wind power bearing business has always been the core business of the company. With long-term technical accumulation, rich production experience and high-quality management ability, the company provides customers with slewing ring products with excellent performance. After years of development, the company has strong independent innovation ability and strong market competitiveness. It has maintained a long-term and stable cooperative relationship with customers and formed a brand effect. The high-power wind power yaw pitch bearing and wind power main shaft bearing have reached the level of import substitution.
The company plans to raise funds through the issuance of convertible bonds to develop the business of gearbox bearings and precision parts. As an important part of the wind power machine, the gearbox has a huge market space. At the same time, the company can rely on the business experience and resources accumulated by wind power bearing in procurement, production and sales, and translate the experience and resources to the wind power gearbox bearing and precision parts business, so as to realize the coordinated development of wind power bearing and wind power gearbox precision parts business.
This issuance of the company can further increase the market share of wind power parts, seize the expansion opportunity of wind power market, meet customers' demand for large-scale wind power parts, improve the overall profitability of the company and enhance the core competitiveness of the company, which is of great strategic significance to realize the long-term sustainable development of the company and improve the long-term return of shareholders.
(II) it is conducive to strengthening cooperation with customers and realizing the sustainable development of the company
The company focuses on the R & D, production and sales of core components of wind power. With years of R & D accumulation and technical advantages, as well as high-quality and performance products, the company has established close cooperative relations with customers such as Ming Yang Smart Energy Group Limited(601615) , prospective energy, Dongfang Electric Corporation Limited(600875) , Harbin power wind energy, Sany Heavy energy, CSCEC marine equipment, CRRC wind power, etc.
As the core component of the wind turbine, gearbox is the key and difficult point of the localization of high-power wind turbine. The company's customers are mainly wind power complete machine manufacturers, and the demand for gearbox, wind power gearbox bearings and precision parts also continues to grow. The company's raised investment project can provide customers with wind power gearbox bearings and precision parts products, which will further strengthen the cooperative relationship with customers and realize the sustainable development of the company.
(III) meeting the growing demand for working capital
In recent years, the business scale of the company has increased rapidly and the revenue scale has gradually expanded. During the reporting period, the operating revenue of the company was 457.1282 million yuan, 64.3097 million yuan, 2064.401 million yuan and 1899.7764 million yuan respectively, and the revenue scale has increased rapidly. Due to the improvement of business scale, the amount of working capital required for daily operation is also increasing. The raised funds can meet the company's growing demand for working capital and improve the company's ability to resist operational risks.
At the same time, the company will make full use of this issuance to further optimize the product line, continuously deepen the business layout in the field of wind power parts, comply with the market development trend, comprehensively improve the market competitiveness of the company's products and services, and continuously improve the company's comprehensive competitive strength and sustainable profitability. 4、 Feasibility of the project invested by the raised funds
(I) the national industrial policy provides a strong guarantee for the steady development of the company
Focusing on the development direction of China's industrial policy, the project focuses on the development of wind power gearbox bearings and precision parts; This product is not only included in the guidance catalogue for key products and services of strategic emerging industries (2016 Edition), but also encouraged by the guidance catalogue for industrial structure adjustment (2019 Edition), which is in line with the national industrial policy.
The outline of the 14th five year plan clearly points out that we should accelerate the development of non fossil energy, adhere to both centralized and distributed development, vigorously improve the scale of wind power and photovoltaic power generation, accelerate the development of distributed energy in the East and middle part, orderly develop offshore wind power, accelerate the construction of hydropower bases in the southwest, safely and steadily promote the construction of coastal nuclear power, and build a number of clean energy bases with complementary multi energy, The proportion of non fossil energy in total energy consumption has increased to about 20%. Meanwhile, the state clearly proposes that the proportion of non fossil energy in China's primary energy consumption will reach about 25% by 2030. According to the prediction of Citic Securities Company Limited(600030) Research Report, the average annual new installed capacity of wind power during the "14th five year plan" period is expected to exceed 50gw, which is a significant increase compared with the average installed capacity during the "13th five year plan" period.
The rapid development of wind power industry will bring high-speed growth and continuous demand for gearbox bearings and precision parts.
(II) the company has strong technical R & D capability and product production process
The company is a high-tech enterprise jointly recognized by the Department of science and technology of Henan Province, the Department of finance of Henan Province, the State Administration of Taxation of Henan Province and the Local Taxation Bureau of Henan Province. It has been engaged in the production of slewing ring for more than ten years. It has a r & D team focusing on the production of large slewing ring for a long time, and invests a lot of money for product and technology R & D every year. With the joint efforts of the R & D team and a large amount of R & D capital investment, the company's technical achievements are remarkable. At present, the company has 91 patents, including 13 invention patents. A number of technical achievements of the company have been appraised by the technical achievements organized by China Machinery Industry Federation and are at the leading level in the world or China, including "development and application of shield machine series main bearings" "Development of 2 MW permanent magnet direct drive wind turbine main shaft bearing" won the second and third prizes of "China machinery industry science and Technology Award" jointly issued by China Machinery Industry Federation and China Society of mechanical engineering, respectively, filling the Chinese gap in the design and manufacture of shield machine main bearing and direct drive wind turbine main shaft bearing.
After years of development, relying on the independent research and development of process technology and the accumulation of long-term and gradual experience, the company has formed strong technical advantages in the field of wind power bearing products, covering various core key processes that determine material performance and stability, such as forging, heat treatment, ultrasonic flaw detection and quenching, and has been industrialized.
The company has accumulated rich experience in the construction and operation of wind power bearing processing production line in the early stage, and formed a perfect operation mechanism and quality control system covering key links such as technology R & D, procurement, production, sales and after-sales service, so as to meet the strict requirements of customers for product quality; At the same time, the company continues to introduce and cultivate a highly skilled and experienced talent team covering production, process technology, management and other fields, and has established and improved the system of talent introduction and training.
(III) the company has high-quality customer resources
The company's products are mainly used for wind turbine generator sets, shield machines, marine and port machinery, marine engineering equipment, engineering machinery and other professional equipment. Customers have strict requirements for product quality and strict certification system for suppliers. It takes a long and complex process to pass the customer's certification. For example, after the first experimental bearing provided to Harbin electric wind energy Co., Ltd. operated smoothly for two years, the company passed its approval and entered the list of qualified suppliers of main shaft bearings. Due to the strict screening and assessment of suppliers by downstream customers in the industry, the cost of changing suppliers is very high. Once they enter the list of qualified suppliers of downstream customers, they will form a long-term and stable cooperative relationship.
The company relies on advanced long-term industry accumulation, professional production technology, excellent R & D ability and excellent product quality
