Kangda New Materials plans to raise 750 million additional funds for the adhesive and new material projects

On the evening of October 19, Kangda New Materials disclosed the fixed increase plan, and the target of the issuance includes no more than 35 specific objects, including the controlling shareholder Tangshan Financial Holding Incubation.

If the issuance is completed, the Tangshan State-owned Assets Supervision and Administration Commission will indirectly hold 24.

The plan shows that the fixed increase is expected to raise no more than 750 million yuan, and it will invest in the "30,000 tons/year adhesive and upstream and downstream new material projects of Tangshan Fengnan District Kangda Chemical New Materials Co.

Kangda New Materials mainly produces mid-to-high-end adhesives, new functional polymer materials, and fine chemicals

However, one of the main reasons for the difference in the performance of adhesives at home and abroad is the problem of raw materials.

Through the construction of this project, the problem that two key raw materials such as modified special epoxy resin and modified polyester are subject to foreign suppliers will be solved, and the advantages of product performance and price will be improved in terms of cost and stable mass production of products.

Through the implementation of the project, Kangda New Materials plans to greatly increase the production and sales scale of adhesives, increase the company's adhesive products in the domestic market share, and consolidate the company's leading edge in the domestic adhesive industry

From the performance point of view, this year, Kangda's new material business has also been affected by the continuous rise in raw material prices

On the day of the disclosure of the plan for private capital increase, Kangda New Materials announced the termination of the public issuance of A-share convertible corporate bonds

It is worth noting that on the same day, Kangda New Materials Company also received a relevant regulatory letter from the Shenzhen Stock Exchange, and the matter was also related to "funds", but it was not financing, but "financial assistance"

The regulatory letter shows that from March 26, 2021 to June 30, 2021, Kangda New Materials provided a total of 63 million yuan in financial assistance to its holding subsidiary, Tangshan Fengnan District Kangda Chemical New Materials Co.

The above-mentioned behavior of Kangda New Materials violated relevant regulations, and the Shenzhen Stock Exchange hopes that the listed company will learn a lesson, strictly abide by laws and regulations, and prevent such incidents from happening