Create a world-class welding expert
Securities code: 300154 securities abbreviation: Shenzhen Riland Industry Group Co.Ltd(300154) Announcement No.: 2022-007 Shenzhen Riland Industry Group Co.Ltd(300154)
Announcement on using some idle self owned funds for securities investment
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.
Shenzhen Riland Industry Group Co.Ltd(300154) (hereinafter referred to as “the company”) held the 6th meeting of the 5th board of directors on January 21, 2022, deliberated and adopted the proposal on using some idle self owned funds for securities investment, and agreed that the company and its holding subsidiaries use idle self owned funds with an amount of no more than RMB 310 million for securities investment without affecting the normal operation of the company. The relevant matters are hereby announced as follows:
1、 Investment overview
1. Investment purpose: to improve the company’s capital use efficiency, increase investment income, improve the company’s profitability, and seek more benefits for the company and shareholders.
2. Investor: the company and its holding subsidiaries (subsidiaries within the scope of consolidated statements).
3. Investment scope: including but not limited to stock investment, bond investment, securities repurchase, public funds, exchange funds, additional issuance or allotment of shares by listed companies and other investment activities recognized by Shenzhen Stock Exchange.
4. Source of funds: the funds used by the company and its holding subsidiaries for securities investment are part of the idle self owned funds of the company and its holding subsidiaries.
5. Investment quota: the company and its holding subsidiaries intend to use idle self owned funds with a quota of no more than RMB 310 million for securities investment. The quota can be jointly used by the company and its holding subsidiaries during the investment period, and the income obtained from investment can be reinvested.
6. Investment term: valid within three years from the date of adoption of the sixth meeting of the Fifth Board of directors of the company.
7. Implementation method: the board of directors authorizes the president of the company to exercise decision-making power according to the idle self owned funds of the company within the limit of RMB 310 million, and leads the special securities investment team of the company to implement it.
8. The use of idle self owned funds for securities investment does not involve related party transactions, nor does it constitute a major asset restructuring.
9. Decision making procedure: this matter has been deliberated and approved at the 6th meeting of the 5th board of directors of the company, and the board of supervisors and the independent directors
Create a world-class welding expert
The legislative director expressed his consent. According to the articles of association and other provisions, this matter does not meet the deliberation standard of the general meeting of shareholders, so it is not necessary to submit it to the general meeting of shareholders for deliberation.
2、 Investment risk analysis and risk control measures
1. Investment risk
(1) Securities investment is greatly affected by changes in macroeconomic situation, fiscal and monetary policies, exchange rate and capital. The investment is affected by market fluctuations and the investment income is uncertain;
(2) The company will intervene timely and appropriately according to the economic situation and changes in the financial market, so the actual income of securities investment is unpredictable;
(3) The redemption and sale of investment products and the realization of investment income are affected by the price factors of corresponding products and need to abide by the corresponding transaction settlement rules and agreements. Compared with monetary funds, there is a certain liquidity risk;
(4) Operational risks of relevant personnel.
2. Risk control measures
(1) When investing in securities, the company and its holding subsidiaries will make decisions, manage, inspect and supervise securities investment matters in strict accordance with the articles of association and securities investment management system, so as to effectively control and prevent operational risks;
(2) Since there are still certain market and investment risks in securities investment, the company will strengthen market analysis, research and personnel training, timely adjust investment strategy and scale according to changes in market environment, and strictly control investment risks;
(3) If necessary, external personnel with rich practical investment management experience can be employed to provide consulting services for the company’s venture capital, so as to ensure that the company carries out strict and scientific demonstration before investment and provide reasonable suggestions for correct decision-making; (4) The audit and supervision department of the company shall regularly supervise and inspect the company’s securities investment in accordance with the relevant provisions of the internal audit system;
(5) The audit committee of the board of directors has the right to investigate and track the company’s securities investment at any time, so as to strengthen the early-stage and tracking management of the company’s securities investment projects and control risks;
(6) The board of supervisors of the company has the right to conduct regular or irregular inspection on the company’s securities investment. In case of illegal operation, it can propose to convene the board of directors to review and stop the company’s securities investment activities;
(7) Independent directors can inspect the use of securities investment funds and have the right to appoint external audit institutions to conduct special audit of funds;
(8) The company will timely perform the obligation of information disclosure in accordance with the relevant provisions of Shenzhen Stock Exchange.
3、 Impact on the company and its holding subsidiaries
Create a world-class welding expert
1. The company and its holding subsidiaries use some idle self owned funds for securities investment on the premise of ensuring that it does not affect the daily operation of the company and its holding subsidiaries, does not affect the normal capital turnover needs of the company and its holding subsidiaries, and does not affect the normal development of the main business of the company and its holding subsidiaries;
2. Through appropriate securities investment, we can improve the capital use efficiency, obtain certain investment benefits, further improve the overall performance level of the company, and seek more investment returns for the company and shareholders.
4、 Opinions of the board of supervisors
The board of supervisors believes that the company and its holding subsidiaries can use some idle self owned funds for securities investment without affecting the normal operation of the company, which can improve the use efficiency and income of the company’s funds and will not affect the development of the company’s normal business. It is agreed that the company and its holding subsidiaries use some idle self owned funds with an amount not exceeding RMB 310 million for securities investment. Within the above limit, the funds can be used by the company and its holding subsidiaries on a rolling basis, and the investment period is valid within three years from the date of deliberation and approval at the sixth meeting of the Fifth Board of directors of the company.
5、 Independent opinions of independent directors
The independent directors carefully considered the proposal on using some idle self owned funds for securities investment and expressed the following opinions:
1. The proposal on using some idle self owned funds for securities investment has been deliberated and adopted at the 6th meeting of the 5th board of directors of the company, and the board of supervisors has expressed its consent.
2. The company has formulated the securities investment management system. The internal control system is relatively perfect, the internal control measures and systems are sound, and the safety of funds can be guaranteed.
3. Under the premise of not affecting the normal operation of the company, the company and its holding subsidiaries use some idle self owned funds for securities investment, which can improve the use efficiency and income of the company’s funds, will not adversely affect the company’s production and operation activities, and is in line with the interests of the company, its holding subsidiaries and all shareholders.
6、 Documents for future reference
1. Resolutions of the 6th meeting of the 5th board of directors of the company;
2. Resolutions of the 6th meeting of the 5th board of supervisors of the company;
3. Independent directors’ independent opinions on relevant matters of the sixth meeting of the Fifth Board of directors of the company.
It is hereby announced.
Shenzhen Riland Industry Group Co.Ltd(300154) board of directors January 21, 2002
