Dun’an crisis is over: executives take over some assets
The Beijing News reporter learned from industry and commerce information that Dunan Zhikong, one of Dunan ’s key enterprises, has recently changed its shareholding, Dunan Group ’s wholly-owned subsidiaries withdrew, and most new shareholders are composed of Dunan ’s senior executives. On April 16, the reporter contacted Dunan Zhikong and Dunan Group to learn more about the shareholding change, but did not get a reply yet.
Since the outbreak of the debt crisis, the Department of Dunan has continued to lose weight. The performance of its two listed companies, Dunan Environment and Jiangnan Chemical, has improved in 2019. Among them, Dunan Environment intensively disposed of assets at the end of last year, and the assets disposal income recorded 584 million yuan.
The first quarter of this year was hit by the epidemic, and both Dun’an Environment and Jiangnan Chemical performed poorly. The Dunan environment, which specializes in refrigeration accessories and refrigeration equipment, is affected by the market downturn in the air-conditioning industry. It is expected that the first quarter results will turn from profit to loss. Jiangnan Chemical expects its first-quarter results to fall by more than 50% year-on-year, and due to capital needs, it currently intends to clear the stocks held by Xuefeng Technology.
As of the end of the third quarter of 2019, Dunan Group’s liabilities totaled 46.984 billion yuan. Dunan Environment’s total liabilities as of the end of 2019 were 6.489 billion yuan, a significant decrease from the same period last year.
Changes in the shareholdings of key enterprises in Dun’an Department
According to the business information of Zhejiang Dunan Intelligent Control Technology Co., Ltd. (hereinafter referred to as “Dunan Intelligent Control Technology”), its industrial and commercial changes occurred on February 18, 2020. The original shareholder Zhejiang Dunan General Equipment Co., Ltd. withdrew and the new shareholder was added. Zhejiang Zhusheng Intelligent Technology Co., Ltd.
Dunan Intelligent Control Technology is one of the key enterprises of Dunan Department. According to the official website, Dunan Zhikong is an industrial group specializing in the development and manufacture of valve products. It is a well-known brand in the Chinese valve industry. It owns Zhejiang Dunan Zhikong Technology Co., Ltd., Anhui Red Star Valve Co., Ltd., and Nantong Power Station Valve. There are five entities in the company, Zhejiang Huayi Precision Machinery Co., Ltd. (833125) and Zhejiang Dunan Automatic Control Technology Co., Ltd.
Zhejiang Dun’an General Equipment Co., Ltd. (hereinafter referred to as “Dun’an General”) is a wholly-owned subsidiary of Dun’an Holding Group Co., Ltd. According to information from the company, it originally held 44.49% of Dun’an Intelligent Control Technology. According to Dunan Zhikong Technology Industrial and Commercial Information, Dunan General was one of its founding shareholders, and it once withdrew from May 2018 and was changed to Ningbo Hongxu Investment Management Partnership (Limited Partnership). On January 19, 2020, Ningbo Hongxu withdrew, and Dunan GM re-invested in Dunan Zhikong Technology, and withdrew again a month later.
As for the new shareholder of Zhejiang Zhusheng Intelligent Technology Co., Ltd. (hereinafter referred to as “Bamboo Intelligent”), the industrial and commercial information shows that it was established in November 2019 with a registered capital of 50 million yuan. The shareholders are Wang Jianbiao, Jiang Jianwei, Yao Haijun, Yao Six natural persons including Haifeng, Zhao Zhiyong and Yao Tong.
According to the company’s investigation, many shareholders of Zhusheng Intelligent served in the Department of Dunan, Yao Tong was the legal representative and chairman of Anhui Red Star Valve Co., Ltd. (hereinafter referred to as “Red Star Valve”), and was also a member of Nantong Power Station Valve Co., Ltd. Legal representative and executive director, Jiang Jianwei is the director and general manager of Red Star Valves, Wang Jianbiao is the director of Xuzhou Dunan Heavy Industry Machinery Manufacturing Co., Ltd., Zhejiang Dunan Precision Industry Group Co., Ltd. and Red Star Valves, and Zhao Zhiyong is Dunan Holding Group Co., Ltd. Director of the company and Zhejiang Dunan Industrial Co., Ltd.
Dunan Department continued to lose weight, and its listed companies, Dunan Environment and Jiangnan Chemical, disposed of assets
Dun’an Group is a large domestic private enterprise that has borrowed heavily in recent years to implement rapid expansion. Its business covers many fields such as precision manufacturing and advanced equipment, civil explosion chemical industry, new energy, new materials, modern agriculture, investment management and so on. But in May 2018, Dunan Group’s debt problems broke out.
Dunan Group later admitted that the liquidity crisis was caused by the company’s successive redemption of multiple bonds since 2018, which consumed a large amount of the company’s own operating cash flow, and the 1.2 billion ultra-short-term financing bonds issued in April 2018 did not Can be successfully issued, leading to liquidity problems.
After the capital crisis, the Department of Dunan continued to lose weight and received China Cinda Chi aid in May last year.
Dunan Environment, a listed company under the Dunan Department, withdrew from many companies in the last two months of 2019.
Shanghai Fengshen Environmental Equipment Engineering Co., Ltd. (hereinafter referred to as “Shanghai Fengshen”) business information shows that its investor change occurred on December 18, 2019, the original wholly-owned shareholder Dun’an Environment withdrew, and the new shareholder Shanghai Weijing Technology Co., Ltd. was added. .
According to reports, Shanghai Fengshen was established in 2000 with a registered capital of 100 million yuan. It specializes in medical cleaning systems, medical air safety systems, green hospital construction, industrial cleaning and civil engineering. It is a collection of special air environment research, development, A diversified enterprise integrating installation and service. According to Dunan Environment’s 2019 annual report, the transaction price of Shanghai Fengshen was 39.5 million yuan.
As for Shanghai Fengshen’s new shareholder, Shanghai Weijing Technology Co., Ltd., business information shows that it was established in October 2019. The shareholders are Jiaxing Zhenzhuo New Domain Equity Investment Partnership (Limited Partnership) and Shanghai Jingyi Technology Partnership (Limited Partnership) .
In order to withdraw from Shanghai Fengshen, Dunan Environment mentioned it for the first time in the 2019 annual performance forecast in late January, and stated that during the reporting period, the company effectively promoted the disposal of various non-core business assets, including 100% equity of Shanghai Fengshen. The disposal of the project reduced the current profit.
According to Dun’an Environment’s 2019 annual report, as of December 31, 2019, Shanghai Fengshen’s net profit for listed companies in 2019 was -11,014,600 yuan.
Shanghai Fengshen is not the only subsidiary of Dunan Environment. In the annual report, Dunan Environment stated that in 2019, the company combined with its own situation to promote the disposal of various non-core assets and businesses. During the reporting period, the company successively sold asset businesses such as Wu’an Summit, Shanghai Fengshen, and Tianjin Energy Saving to further optimize the company’s assets. structure. The time for Dunan Environmental Disposal to Wuan Summit and Tianjin Energy Saving is October 31, 2019 and December 31, 2019, respectively, and the transaction price is 278 million yuan and 377.5 million yuan, respectively.
Dunan Environment’s 2019 annual report shows that the company achieved operating income of 9.104 billion yuan during the reporting period, a year-on-year decline of 3.15%; net profit attributable to the mother was 131 million yuan, a loss of 2.167 billion yuan in the same period last year. Among them, the asset disposal income was 584 million yuan, compared with -209.1139 million yuan in the same period last year.
As for Jiangnan Chemical, another listed company in the Dun’an Department, Xuefeng Technology, which intends to clear the stocks, intends to clear its shares. Xuefeng Technology ’s announcement last month showed that Jiangnan Chemical, which holds 7.29% of the shares, plans to reduce its cumulative holdings of the company ’s unrestricted circulating shares by no more than 48 million shares, or more than the company ’s total share capital, through centralized bidding, block trading and agreement transfer. 7.29%, the reason for the reduction of shareholding is due to shareholders ’capital needs.
Jiangnan Chemical’s 2019 performance report shows that its performance has also recovered. During the reporting period, operating income was 3.635 billion yuan, an increase of 25.98% year-on-year; net profit attributable to the mother was 401 million yuan, an increase of 82.72% year-on-year. Jiangnan Chemical said that the company’s performance growth benefited from the significant increase in civil explosive product capacity, blasting project revenue, and the improvement of the situation of wind curtailment and light curtailment in some areas. Some newly built wind farms have been put into operation and increased grid-connected power generation. Cost reduction and efficiency increase also contributed.
However, under the impact of the new crown epidemic, the performance of Dun’an Environment and Jiangnan Chemical in the first quarter of this year was not optimistic.
Affected by the new crown epidemic, home appliance companies generally under pressure in the first quarter. According to the announcement of Gree Electric, a leading air-conditioning company, the net profit attributable to shareholders of listed companies in the first quarter is expected to be 1.33 billion yuan to 1.71 billion yuan, a year-on-year decrease of 70% to 77%. Gree Electric said in the announcement that it was affected by the new coronavirus pneumonia epidemic. The sales and installation activities of the terminal market of the air-conditioning industry can hardly be carried out, and the company and upstream and downstream enterprises cannot resume work in time. In addition, the consumer demand for air-conditioning terminals shrank in the first quarter.
The Dunan environment, which specializes in refrigeration accessories and refrigeration equipment, has also been affected by the industry downturn. Dunan Environment ’s performance forecast for the first quarter of 2020 shows that its expected performance is a loss, with net profit attributable to the parent of -35 million yuan-0 million yuan, and a profit of 53.093 million yuan in the same period last year.
Dun’an Environment stated on the performance changes that during the reporting period, due to the impact of the new coronavirus infection pneumonia, the demand for the air-conditioning industry declined in the first quarter, the company and upstream and downstream industry chain companies resumed work, and product production and delivery were affected to a certain extent, resulting in the company Operating income declined, and net profit attributable to shareholders of listed companies decreased.
The Jiangnan Chemical Announcement shows that it is expected that the net profit attributable to the mother will be 21.3237 million yuan to 31.142 million yuan in the first quarter of this year, a decrease of 70% to 56% from the same period last year.
As for the reasons for the change in performance, Jiangnan Chemical stated that, in addition to the impact of the Xinguan epidemic, the fair value of Xuefeng Technology’s shares fell at the end of the reporting period, and the fair value of Xuefeng Technology’s shares held by the company fell by about 28.8 million yuan, affecting the shareholders of listed companies during the reporting period. The net profit is about 24.48 million yuan, which is a non-recurring gain or loss.
In terms of liabilities, as of the end of 2019, Dun’an environmental liabilities totaled 6.489 billion yuan, a decrease of more than 20% compared with 8.157 billion yuan in the same period of the previous year.
Dunan Group’s current financial data is updated to the 2019 third quarter report. According to the financial report, as of the end of the third quarter of 2019, Dun’an Group’s liabilities totaled 46.984 billion yuan, an increase from the 45.754 billion yuan at the beginning of the period.
Beijing News reporter Zhu Yueyi Zhao Yibo Editor Li Weijia Proofreading Li Shihui