Two acquisitions during the year, the layout of the industrial transformation, Grand Holdings continued to increase the bio-pesticide track

Grand Holdings announced on April 26 that the company intends to use cash payment to acquire a total of 100% of Liaoning Weike for 145 million yuan
.
The company held the fourth meeting of the Ninth Board of Directors in 2021 on the same day to consider and pass the proposal
.
Liaoning Weike is a national high-tech enterprise engaged in the research and development, production, sales and application of biological pesticides and biological fertilizers
.
This is also after the acquisition of Fujian Kaili in February this year, Broad Holdings has once again launched and deployed in the field of biological pesticides
.
The company stated that it will continue to deepen the industrial transformation, take the agricultural high-tech industry as one of the company's key development industries, continue to increase investment, and promote the company's innovation and industrialization in the agricultural high-tech field
.
Biological pesticides help the development of agricultural high-tech industries.
China's pesticides are still dominated by chemical pesticides
.
According to the "List of Active Ingredients for Biopesticide Registration in China (2020 Edition)" (draft for comments) formulated by the Ministry of Rural Agriculture on March 19, 2020, as of May 2020, there are a total of 1,220 registered biopesticide products in China.
However, there are 41,614 kinds of pesticide products registered during the validity period in China, and bio-pesticide registration products account for only 2.
9% of the total pesticide products
.
However, the current agricultural high-tech industry has become the main theme of development.
As consumers continue to increase their awareness of environmental protection and food safety, regulatory regulations and new technologies and new products continue to emerge, biological pesticides have gradually emerged
.
Biological pesticides refer to preparations that use living organisms or their metabolites to kill or inhibit agricultural harmful organisms, and are safe, effective, and non-polluting
.
Biological pesticides are consistent with the requirements of protecting the ecological environment and the coordinated development of society, which also means that in terms of replacing chemical pesticides, it has broad development prospects and is a sunrise industry under the requirements of today's sustainable development
.
Yuanda Holdings has seen this prospect and has continued to deploy in the field of biological pesticides this year
.
The proposed acquisition of Liaoning Weike exclusively owns the patent of tetramycin parent drug and difen? barium sulfate
.
Tetramycin is produced by fermentation of a special strain selected from Wuzhou, Guangxi-Streptomyces non-hygroscopicus subsp.
Wuzhou.
It has a broad bactericidal spectrum, high safety, high bactericidal activity, low residue, good recombination, tissue repair, and immunity The tetramycin fermentation residue can also be used for bacterial fertilizer to realize comprehensive utilization
.
Difen? Barium sulfate is developed for the characteristics of the digestive system of rodents.
A new generation of pollution-free rodenticide with a specific target is processed by a special process such as functional microorganisms, diphenoxylate, barium sulfate, and food attractants
.
Diphen? Barium sulfate uses a physical mechanism of action to kill rodents, which is different from traditional rodenticides.
It has the characteristics of eliminating the hidden dangers of human and livestock poisoning, no need to prepare antidote, and the residual agents after rodents can not be recycled, friendly to the ecological environment, and non-resistant.

.
Broad Holdings stated that the bio-pesticide industry to which Liaoning Weike belongs has high technological content and broad development prospects.
It is an emerging industry supported by the state and is in line with the company's strategic layout in the agricultural high-tech industry
.
The product pipeline is becoming more and more enriched.
After years of development, Broad Holdings has grown into a high-quality integrated service provider for bulk commodities, while using the resources and experience accumulated in the bulk commodity market for many years to extend to the upstream and downstream of the bulk commodity industry chain.
Increase the proportion of the industry sector in the company's overall business
.
In 2021, bio-pesticide will become one of the main directions of Broad Holding's industrial investment
.
According to Broad Holdings, Liaoning Weike is a national-level high-tech enterprise engaged in the research and development, production, sales and application of biological pesticides and biological fertilizers.
It has the exclusive patent of tetramycin mother drug and difen·barium sulfate
.
In 2020, Liaoning Weike’s sales revenue will be 50.
44 million yuan and the net profit will be 15.
94 million yuan
.
In February of this year, Grand Holdings and Fujian Kaili Biotechnology Co.
, Ltd.
signed the "Framework Agreement on Equity Acquisition" and planned to acquire 85.
1167% of Fujian Kaili
.
Fujian Kaili is a high-tech enterprise specializing in the research and development, production, sales and application of biological pesticides and biological pesticide preparations.
It has the exclusive patent of Zhongshengmycin technical
.
Fujian Kaili’s 2020 sales revenue of 118.
58 million yuan and net profit of 31.
53 million yuan
.
In addition, Broad Holdings decided to invest 1 million yuan to jointly establish an ecological agriculture research and development center with the Institute of Plant Protection of the Chinese Academy of Agricultural Sciences (hereinafter referred to as: the Institute of Plant Protection of the Chinese Academy of Agricultural Sciences)
.
The Institute of Plant Protection of the Chinese Academy of Agricultural Sciences is the first professional research institute established by the Chinese Academy of Agricultural Sciences, and is the most comprehensive scientific research institution in the field of plant protection in China
.
The 50 million yuan of incubation funds for the first phase of the R&D center will be provided by the company or its affiliated agricultural high-tech enterprises in accordance with the project cooperation agreement
.
Taking Liaoning Weike and Fujian Kaili as the entry point for the bio-pesticide industry, and leveraging the innovative development strength of the Institute of Plant Protection of the Chinese Academy of Agricultural Sciences, it demonstrates the determination of Broad Holdings to accelerate its deployment in the agricultural high-tech industry and continue to seek new development
.
Broad Holding stated that the company's entry into the biopesticide industry through the acquisition of Liaoning Weike will help enrich the company's product pipeline in the biopesticide field, and can form a synergistic effect with the company's proposed acquisition of Fujian Kaili, and further enhance the company's comprehensive competitiveness and subsequent development.
Ability to enhance the company’s ability to resist risks and sustained profitability is conducive to creating more value for the company’s shareholders and conforms to the long-term interests of all shareholders of the company
.
The company will continue to deepen the industrial transformation, take agricultural high-tech industry as one of the company's key development industries, continue to increase investment, and promote the company's business development in the agricultural high-tech field innovation and industrialization
.