Changhong Hi-Tech plans to increase fixed asset investment by 505 million yuan, and continue to expand dual main business and activate development potential
Latest News: On the evening of September 2, Changhong Hi-Tech announced that it would hold the 19th meeting of the second board of directors and the 14th meeting of the second board of supervisors on September 2 to review The “Proposal on Increasing Partial Investment in Fixed Assets” and the “Proposal on Investment in Fixed Assets by the Company’s Wholly-owned Subsidiaries” were passed, and the company plans to use its own funds of RMB 505 million to increase fixed asset investment in three projects.
It is reported that Changhong Hi-Tech has been focusing on the business development in the field of styrenic thermoplastic elastomer TPES since its establishment, and has strong technical research and development advantages; at the same time, the full biodegradable material PBAT track has formed a double TPES and PBAT track. Wheel drive industrial layout. In the first half of 2022, the company achieved a significant year-on-year increase in revenue and net profit, of which operating income increased by 83.66% year-on-year, and net profit attributable to the parent increased by 59.34% year-on-year.
The announcement shows that in order to respond to the trend of domestic and foreign markets, expand the supply chain by improving product quality and developing and applying new products to meet market demand, Changhong Hi-Tech plans to invest an additional 235 million yuan with its own funds to carry out 95,000 tons of high-performance thermoplastics per year. Elastomer industrialization technical transformation project. Through the addition of new equipment and facilities and overall optimization and transformation, the project realizes the diversification of brands and the flexibility of production, so that the original 250,000 tons/year solution styrene-butadiene rubber capacity expansion and transformation project (Phase II) project is based on the original SBS and SEBS brand production process. At the same time, it has flexible production of LCBR, ES/EV series, SEBS (SBS, SBR) series grades, which can better enhance the company’s core competitiveness, realize the company’s technological progress and industrial upgrading, and further improve the company’s economic and social benefits.
At the same time, after the company’s 120,000-ton/year PBAT project was put into production, the quality of the finished products was stable and recognized by downstream customers. Therefore, Changhong Hi-Tech also plans to invest 170 million yuan in the deep processing of PBAT products with an annual output of 120,000 tons of PBAT products and intelligently upgrade technical renovation projects for its wholly-owned subsidiary Zhejiang Changhong Biomaterials Co., Ltd. Recycling technology transformation project.
Changhong Hi-Tech said that the investment in fixed assets will help Changhong Hi-Tech continue to expand its dual-main business strategy, further activate the company’s future development potential, and also demonstrate the company’s optimism about future development prospects.