Jiaxin Silk IPO Project Change Investment Project Use Inverter

In November 12th, Jiaxin silk Issued three announcements, one letter to the controlling shareholders pledge, and the other two were about the consideration of the change of IPO project, and all the funds used for permanent supplementary liquidity. It is worth noting that after the use of IPO funds changed, the four IPO investment projects have been changed since the listing in 2012.

Zhejiang Jiyu Hsin law firm senior partner, Li Jian, said that Jiaxin silk has repeatedly changed the use of investment funds. Although it has fulfilled the relevant deliberations and announcement procedures, its blood donation plus 364 million yuan of loans has accounted for 52% of the total amount of actual fund-raising. The practice of "ordering good dishes on tables and changing vegetables repeatedly" has been a problem with the obligations and integrity of the listed companies, which has seriously misled investors' decisions and is suspected to infringe on the legitimate rights and interests of investors. It is hoped that the regulatory authorities will further improve relevant laws and regulations, and severely punish such a way of raising money for pumping houses on the roof.

After listing in 2010, Jiaxin silk actually raised $700 million net, of which 359 million yuan was raised. In addition to the 250 million yuan invested in the fund-raising investment project, the use of over raised funds: 191 million yuan is used to return bank loans, 68 million yuan is permanently replenish the working capital, and 100 million yuan is for external investment. The end of the special account for raising funds is 105 million yuan, which includes 97 million yuan in addition to interest.

But in October 24th, Jiaxin silk It is announced that in order to raise the efficiency of fund raising and reduce the financial cost of the company, the company plans to add 97 million yuan of capital and interest to the project, which is originally invested in the project, to a total amount of 105 million yuan (the actual implementation of the daily account balance) shall be permanently replenish the working capital. Plus 191 million yuan of loans, Jiaxin silk total of 364 million yuan was used to make up for "blood enriching", that is, more than half of the fund-raising funds.

In addition, investment projects represent the future earnings of enterprises. Is Jiaxin silk considered that the cost of reducing financial costs is greater than the profitability of the project itself?

In this regard, the announcement is interpreted as follows: the export of products is the main product of the project. In recent years, the world economy has been continuously affected by the financial crisis and the European debt crisis. The domestic and international consumer market has been sluggish, slowing down the progress of the project, and it is expected that the consumption demand in the international market will not recover rapidly in the short term. In addition, the company has increased several investment projects in recent years, and the scale of bank loans has increased. The company plans to terminate the project and permanently replenish the working capital of the project plan funds. This will reduce the company's financial cost by about 4 million yuan.