On May 19, the application for IPO and gem listing of Hefei Hengxin Life Technology Co., Ltd. was accepted by Shenzhen Stock Exchange. The company plans to issue no more than 25.5 million new shares and raise about 830 million yuan. It will invest in the project of 30000 tons of PLA compostable green environmental protection biological products, intelligent upgrading and transformation project, R & D technology center project and supplementary working capital. The sponsor is Huaan Securities Co.Ltd(600909) .
Hengxin life develops, produces and sells paper and plastic tableware with raw materials such as base paper, PLA particles and traditional plastic particles. It is a supplier of paper and plastic tableware for many well-known enterprises at home and abroad, such as Ruixing coffee, staples, Amazon, Xi tea, Starbucks, yihetang, McDonald’s, Dex, miyue ice city, manner coffee, hanbaowang, coco, Gu Ming, DQ and so on. The net profits of the company in 2020 and 2021 (based on the lower one before and after deducting non recurring profits and losses) were 260865 million yuan and 762636 million yuan respectively.
According to the prospectus, the company’s total investment in this raised investment project is 890 million yuan, and the proposed fund-raising is about 830 million yuan. Among them, the annual output of 30000 tons of PLA compostable green environmental protection biological products project has a total investment of 600 million yuan, and the proposed raised fund is 540 million yuan. The construction period of the project is three years. The planned products of the project include PLA paper cup, cup cover, cup cover, paper bowl, knife, fork, spoon and straw. Through the implementation of the project, an intelligent factory capable of producing a full range of biodegradable and environmental friendly tableware will be built.
The total investment of intelligent upgrading and transformation project is 85 million yuan, and the proposed fund-raising is 85 million yuan. The construction period of the project is 2 years. The project plans to purchase paper cup automatic packaging line, intelligent logistics system and other intelligent production logistics, packaging and warehousing logistics integration equipment, transform the production logistics, packaging and warehousing logistics area of the existing plant, build an intelligent system covering the links of production logistics, packaging automation and warehousing logistics, improve the efficiency of production logistics, automatic packaging and warehousing logistics and reduce labor costs.
The total investment of the R & D technology center project is 55.62 million yuan, and the proposed fund-raising is 55.62 million yuan. The construction period of the project is 3 years. Through the implementation of this project, the company plans to introduce high-level R & D talents, combine the existing technical capacity and reserves, increase the research and development of PLA material properties and application fields, seize the industry development opportunities, meet the company’s business development needs and improve the company’s market competitiveness.
In addition, the company plans to use 150 million yuan of the raised funds to supplement working capital, meet the demand for working capital for the company’s business development and reduce financial risks.
The company said that it will always adhere to the corporate mission of “taking social responsibility and contributing to human environmental protection”, practice the corporate purpose of “creating value for customers”, adhere to technological innovation to drive product innovation, continuously extend the depth of products and services, let more customers enjoy the environmental life experience brought by Hengxin life, and finally realize the corporate vision of “becoming a pioneer in global environmental protection”.
