Dongsheng Hong Speeded Up The Acquisition Of Quality Assets And Steadily Promoted Industrial Integration.

Recently, the Jiangsu state-owned enterprises mixed demonstration benchmark East Sheng Hong announced again, following the completion of the company's completion of the injection of high-quality assets Sheng Hong refining, the company's wholly-owned subsidiary of Jiangsu Sheng Hong Petrochemical will make a price of 1 billion 992 million yuan, the cash acquisition group's Honggang petrochemical 100% stake, the industry chain layout initiatives uninterrupted.

Local state-owned enterprises mixed with new benchmarks for sustainable development

Since the start of the new round of mixed reform of state-owned enterprises in 2014, whether we can explore new ideas of mixed pformation of overseas enterprises and build a new mode of healthy development of state-owned enterprises to achieve a stable and sustainable development has become the focus of market attention for mixed reform enterprises.

In September 27, 2018, the Eastern market of the original listed company, controlled by state owned assets Office of Wujiang District of Suzhou, launched a major asset reorganization, and successfully completed the 100% stake in Jiangsu's national hope high tech fiber Co., Ltd., which was held by Jiangsu Sheng Hong Polytron Technologies Inc and National Development Fund Co., Ltd.

The success of the project has played a great enlightening and guiding role in the market-oriented economic pformation and development in Jiangsu province. Insiders said that the two sides insisted on the direction of "mixing" to promote "change", adhering to the concept of win-win cooperation and opening up, which is a model of mixed pformation of state-owned listed companies in Jiangsu province.

Strong performance, the main business market has obvious advantages.

It is reported that after the completion of the merger, Dongsheng Hong has a good development trend. The company focuses on the R & D, production and sales of civilian polyester filament products. Through continuous independent research and development and technological innovation, the competitiveness of the products has rapidly improved, ranking the forefront of the domestic industry.

In April 2nd, Dongsheng Hong (000301) officially disclosed the first annual performance report after restructuring and listing. According to the report, the company achieved a business income of 18 billion 440 million yuan, a net profit of 847 million yuan attributable to shareholders of listed companies, and excluding net worth and other impairment factors, the net profit attributable to shareholders of listed companies was 1 billion 556 million yuan.

Among them, in 2018, the national hope high tech company achieved a net profit of 1 billion 456 million yuan to deduct the net profit from the non return to the parent company, with a performance of 1 billion 240 million yuan.

In the first quarter of this year, the company's performance continued to be optimistic. In 2019, Q1 realized operating income of 4 billion 349 million yuan, an increase of 20.97% over the 18 year Q1 (3 billion 595 million yuan), and a net profit of 316 million yuan attributable to shareholders of listed companies. However, the company declined slightly. But the company said that along with the recovery of the silk industry in April, the company's product market competitiveness is strong, and its confidence in its performance will be better than that in the first quarter.

The layout of the whole industry chain and the acceleration of the process of industrial integration

In addition to the strong momentum accumulated at the end of market demand, the company's industrial and business layout is full of energy storage.

In response to the state's development of high-end petrochemical products and the development strategy of integration of oil refining and chemical industry, Sheng Hong group first launched the integration project in Lianyungang, Jiangsu. It is reported that the project is expected to become a highly competitive pillar brand and development benchmark in the seven world class petrochemical industry bases in 2014.

It is understood that the total investment of Sheng Hong refining and chemical integration project is about 77 billion 500 million yuan, the annual processing capacity of crude oil is 16 million tons, the annual output of aromatics is 2 million 800 thousand tons, and ethylene is 1 million 100 thousand tons. It is expected to be completed and put into operation in 2021, and the annual output value will be about 120 billion yuan, and profits and taxes exceed 20 billion yuan.

In this regard, in March 8th, Dongsheng Hong completed the 100% acquisition of Sheng Hong refining with 1 billion 10 million yuan in cash, and increased its capital by 7 billion yuan through the petrochemical industry in the form of money. In the beginning of April, the company also publicly stated that the proposed non-public offering would not exceed 3 billion of the green company debt, all of which would be used for the integration of petrochemical projects, and to accelerate the strategic layout of refining and chemical integration.

In addition, according to the previous listed commitments, recently, the company announced that its wholly owned subsidiary, Jiangsu Sheng Hong Petrochemical Co., Ltd. intends to acquire a 100% stake in Honggang petrochemical, a cash acquisition group, with a paction price of 1 billion 992 million yuan and was unanimously approved by the shareholders' meeting.

The listed company said that through the acquisition of Honggang petrochemical, it will solve the related paction problem of PTA purchase by the listed company, and at the same time, it will help speed up the strategic layout of the new high-end textile industry chain of "-PX/ -PTA- ethylene glycol polyester polyester fiber".

It is reported that Honggang Petrochemical is currently building a 2 million 400 thousand ton / year PTA production plant project, which is expected to be put into operation in the fourth quarter of 2020, when the PTA capacity of the company will reach 3 million 900 thousand tons. After the completion of the expansion, besides the rapid upgrading of production capacity, it is expected to increase in terms of energy consumption, environmental protection, product quality and working hours, and it is also expected to significantly reduce the overall cost.

2019 is the key year for the pformation of Dongsheng Hong after the completion of the mixed reform. Apart from its strong core competitiveness, Dongsheng Hong Sheng Hong Sheng group has a unique development advantage. With the strong competitive power of the group in the real economy and relying on its broad layout of the industrial layout, the East and the downstream industry chain is expected to achieve penetration. The innovation and development of the traditional industry will steadily push forward, and the business level will continue to modernize and internationalize.