Securities code: 300068 securities abbreviation: Zhejiang Narada Power Source Co.Ltd(300068) Announcement No.: 2022-010
Zhejiang Narada Power Source Co.Ltd(300068)
Announcement on using idle self owned funds for cash management
The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete, and are responsible for any false records, misleading statements or major omissions in the announcement.
Zhejiang Narada Power Source Co.Ltd(300068) (hereinafter referred to as “the company”) held the 28th meeting of the seventh board of directors on January 25, 2022, and deliberated and adopted the proposal on cash management with idle self owned funds. In order to improve the use efficiency of funds, the company plans to use idle self owned funds with a maximum amount of no more than 500 million yuan for cash management, and the authorization period is within 12 months from the date of deliberation and approval by the board of directors. Within the above quota and period, the fund can be recycled and used in a rolling manner. The details are as follows:
1、 Cash management using self owned funds this time
(I) investment purpose
In order to improve the use efficiency of the company’s funds, without affecting the normal operation of the company, the rational use of some temporarily idle own funds for cash management can increase the capital income and obtain more returns for the company and shareholders.
(II) investment quota
The company plans to use temporarily idle self owned funds with a maximum amount of no more than 500 million yuan for cash management. Within the above limit, the funds can be recycled and used.
(III) investment varieties
The company will strictly control risks and strictly evaluate investment products. The funds within the above limit shall be used to purchase investment products with high safety and good liquidity with a term of no more than 12 months, and shall not be used for speculative investment.
(IV) investment period
Valid within 12 months from the date of deliberation and approval by the board of directors.
(V) implementation mode
Within the limit, the board of directors authorizes the company’s management to exercise the investment decision-making power, and the financial management department is responsible for the specific purchase.
(VI) information disclosure
The company will timely fulfill the obligation of information disclosure in accordance with the relevant requirements of the Listing Rules of Shenzhen Stock Exchange and the guidelines for the standardized operation of companies listed on the gem of Shenzhen Stock Exchange.
2、 Investment risk analysis and risk control measures
(I) investment risk
1. Although the products to be purchased by the company belong to low-risk investment varieties, the financial market is greatly affected by the macro-economy, and it is not excluded that the investment is affected by market fluctuations.
2. The company will intervene timely and appropriately according to the economic situation and changes in the financial market, so the actual income of short-term investment is unpredictable.
3. Operation and monitoring risks of relevant staff.
(II) risk control measures
1. The company will strictly abide by the principle of prudent investment, select low-risk investment varieties, not use them for other securities investment, and will not buy wealth management or trust products with stocks, their derivatives and unsecured bonds as investment objects;
2. The financial management department and financial personnel of the company will timely analyze and track the investment direction and project progress of cash management. If the evaluation finds that there are risk factors that may affect the safety of the company’s funds, corresponding measures will be taken in time to control the investment risk;
3. The internal audit and supervision department of the company will conduct daily supervision on the use of funds and audit and verify the use of funds from time to time;
4. The independent directors and the board of supervisors of the company will supervise and inspect the use of funds, and can hire professional institutions to audit when necessary.
5. The company will do a good job of relevant information disclosure in accordance with the relevant provisions of Shenzhen Stock Exchange.
3、 Impact on the company’s operation
The company adheres to standardized operation, maintains and increases value and prevents risks. Under the condition of ensuring the normal operation of the company, the normal use plan of the company’s own funds and the safety of funds, the company uses idle own funds for cash management, which will not affect the normal development of the company’s daily operation. Through appropriate financial management, we can improve the efficiency of fund use, obtain certain income and obtain more returns for the company and shareholders.
4、 The review procedure for cash management using some idle self owned funds this time
（1） Deliberations of the board of directors
On January 25, 2022, the 28th meeting of the seventh board of directors of the company deliberated and approved the proposal on using idle self owned funds for cash management, which agreed that the company would use no more than 500 million yuan of temporarily idle self owned funds for cash management without affecting the normal operation, and the period was valid within 12 months from the date of deliberation and approval of the company. Within the aforesaid quota and period, the temporarily idle self owned funds can be used on a rolling basis. At the same time, the general manager of the company is authorized to decide the specific investment plan and sign relevant contracts and documents within the amount and validity period approved by the board of directors according to the actual needs.
（2） Opinions of the board of supervisors
On January 25, 2022, the 26th meeting of the sixth board of supervisors of the company deliberated and adopted the proposal on cash management with idle self owned funds. The board of supervisors held that the company’s use of temporarily idle self owned funds for cash management is conducive to improving the use efficiency of funds and increasing capital income without affecting the normal operation of the company, There are no circumstances damaging the interests of the company and shareholders. The board of supervisors agreed that the company would use no more than 500 million yuan of idle self owned funds for cash management in 2022.
（3） Opinions of independent directors
The company plans to use its own funds with a maximum amount of no more than 500 million yuan for cash management, which is conducive to improving the efficiency of the company’s capital use and increasing income. It is in line with the provisions of relevant laws, regulations and normative documents such as the Listing Rules of Shenzhen Stock Exchange gem and the guidelines for the standardized operation of companies listed on Shenzhen Stock Exchange gem, There is no situation that damages the interests of the company and all shareholders, especially minority shareholders. It is agreed that the company shall use its own funds with a maximum amount of no more than RMB 500 million for cash management, and the service life shall be 12 months from the date of deliberation and approval by the board of directors. Within the above use period and limit, the funds can be used on a rolling basis.
5、 Documents for future reference
1. Resolutions of the 28th meeting of the 7th board of directors of the company;
2. Resolutions of the 26th meeting of the 6th board of supervisors of the company;
3. Independent opinions of the company’s independent directors on relevant matters.
Zhejiang Narada Power Source Co.Ltd(300068) board of directors
January 26, 2022
