Zhijiang Biological Technology Innovation Board Raised 1 Billion Yuan Of Fund Raised In The Scientific And Technological Innovation Board

Net profit in the first half of the year increased by 1259.16%, which is undoubtedly a brilliant growth data.

The main real-time diagnostic equipment for PCR and molecular fluorescence technology. On January 26, this year, Zhijiang biology became one of the first enterprises in China to obtain the registration certificate of new coronavirus nucleic acid detection reagent, and obtained the first registration certificate, and rapid mass production.

Due to the outbreak of Xinguan epidemic, in the first half of 2020, medical institutions urgently need to improve the ability of nucleic acid detection, the market demand for molecular diagnosis related products increases, and the sales volume of Zhijiang biological products also increases significantly.

At the time of high performance, Zhijiang biology, which had failed in the main board listing, launched a sprint to the science and technology innovation board.

"Compared with the main board, the listing threshold of the science and technology innovation board is lower, the valuation is higher, and the trading mechanism is more flexible. Therefore, the success rate of IPO on the science and technology innovation board is higher and the financing cost is lower. " Shen Meng, executive director of Xiangsong capital, told the 21st century economic reporter.

On June 1, the listing application of Zhijiang biological science and technology innovation board was accepted by the Shanghai Stock Exchange, with a plan to raise 1.356 billion yuan. The 21st century economic report reporter noted that compared with its previous rush to the main board of 334 million yuan of fund-raising, a surge of more than 1 billion yuan.

On September 24, Zhijiang biology will be examined by the municipal Party Committee on the science and technology innovation board.

The amount of funds raised by diverting to the science and technology innovation board increased greatly

Zhijiang biological was founded in April 2005 and listed on the new third board in December 2015.

According to the prospectus, Zhijiang biology is a leading enterprise in molecular diagnosis with advanced technology and complete products in China, focusing on the R & D, production and sales of molecular diagnostic reagents and equipment. The company has developed more than 400 kinds of products, covering the vast majority of national legal infectious diseases.

From 2017 to the first quarter of 2020, the operating revenue of Zhijiang biological Co., Ltd. was 192.7096 million yuan, 224.3506 million yuan, 258.8725 million yuan and 217.75.05 million yuan respectively, and the net profit attributable to the parent after deducting non-profit was 44.7126 million yuan, 50.4927 million yuan, 44.3247 million yuan and 97.9837 million yuan, respectively.

It can be seen that the company's performance is relatively stable from 2017 to 2019, and the performance in the first quarter of 2020 will increase sharply, which is inseparable from the impact of the new crown epidemic.

Zhijiang biological's main business income mainly comes from reagent sales. From 2017 to 2019 and from January to March 2020, the sales revenue of nucleic acid detection kits accounted for 94.43%, 94.03%, 87.01% and 72.76% of the company's main business income, respectively.

At the beginning of the year, the outbreak of new coronavirus in China, Zhijiang biological research and development of new coronavirus nucleic acid detection reagent in the first time. On January 26, the company became one of the first enterprises in China to obtain the registration certificate of new coronavirus nucleic acid detection reagent, and obtained the first registration certificate, and rapid mass production.

On June 1, 2020, the listing application of Zhijiang biological technology innovation board was accepted by Shanghai Stock Exchange. The company intends to issue no more than 48.6761 million new shares on the sci tech Innovation Board of Shanghai Stock Exchange, no less than 25% of the total share capital after the issuance. It is planned to raise 1.356 billion yuan, including 219 million yuan for "in vitro diagnostic reagent production line upgrading project", 222 million yuan for "molecular diagnosis engineering R & D center construction project", 115 million yuan for "marketing and service network upgrading project", 550 million yuan for "product R & D project", and 250 million yuan for "supplementary working capital".

The 21st century economic report reporter noted that compared with its previous rush to the main board of 334 million yuan of fund-raising, a surge of more than 1 billion yuan.

According to the two editions of the prospectuses disclosed in 2017 and 2018, Zhijiang bio plans to raise 334 million yuan, including 89.91 million yuan for the "in vitro diagnostic reagent production line upgrading project", 129 million yuan for the "molecular diagnosis engineering research and development center construction project", and 115 million yuan for the "marketing and service network upgrading project".

That is to say, "product R & D projects" and "supplementary working capital" are the main increment of the raised funds.

The 21st century economic report reporter consulted the latest science and technology innovation board prospectus of Zhijiang biology and found that among the five investment projects with raised funds, the first three obtained the project filing code and the first two obtained the EIA approval reply number. However, the newly added "product R & D project" has not yet obtained the approval and reply of these two items.

Warning letter on withdrawal of IPO

This is not the first attempt of Zhijiang biology to close A-share IPO.

In October 2017, Zhijiang biological Co., Ltd. submitted the IPO application materials and planned to land on the main board of Shanghai Stock Exchange. The sponsor was Citibank Orient Securities.

In August 2018, Zhijiang biological suspended the examination because the co underwriter Citibank orient was suspected of being involved in the violation of securities laws and regulations. At that time, the feedback had been announced.

On December 27, 2018, Zhijiang biological actively applied to withdraw its IPO materials, and the CSRC formally terminated the examination of its IPO application on January 3, 2019.

However, even if the IPO application was withdrawn, Zhijiang biological still did not escape the fate of being punished after being found out by IPO.

In the first half of 2019, IPO on-site verification was started as usual, and 24 IPO companies were selected as the inspection objects, among which Zhijiang biological was listed. According to Chang depeng, spokesman of China Securities Regulatory Commission on August 30, 2019, among the 24 IPO companies, only one of them was transferred to the audit department, although six of them were found to have more or less problems.

"The enterprise is suspected to have large amount of in-vitro income and in-vitro cost not recorded in the account, and transferred funds to the actual controller and his relatives, senior executives and core employees through the bank account of external collection and payment." This is how the CSRC described the suspected violations of the proposed IPO company, which has been handed over to the audit department.

On July 5, 2019, China Securities Regulatory Commission (CSRC) issued the decision on regulatory measures to issue warning letters to Shanghai Zhijiang Biotechnology Co., Ltd.

"After investigation, I will find that in the process of your company's application for IPO and listing, there are some problems, such as personal account payment of wages and other expenses, undisclosed capital transactions between the controlling shareholders and other related parties and the issuer, the existence of underpayment of expenses and over calculation of income, poor equipment management, related party transactions and internal organizational structure disclosure inconsistent with the facts. According to the relevant regulations, I will decide to take administrative supervision measures to issue warning letters to your company. " The SFC said.

In addition, at the time of the first declaration, Zhijiang bio was sponsored by Oriental Citibank securities, but Dongfang Citibank securities was controlled by Dongfang securities, the shareholder of Zhijiang biological products. Therefore, there are disputes about whether the sponsor is in line with the business independence, and the CSRC also pays attention to this.

This time, the sponsor institution of Zhijiang biology was changed from Citibank securities to Haitong Securities.

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