Yishitongke Chuangban IPO approved for registration of lithium battery coating materials mainly for Ningde Times and Pu Tai Lai

The Securities Regulatory Commission (CSRC) recently approved the registration of Science and Technology Innovation Board IPO of Anhui Yishitong material Technology Co., Ltd. (referred to as "Yishitong") in accordance with legal procedures, according to a news release by the Securities Regulatory Commission (CSRC).

IPO, Yishitong plans to raise about 360 million yuan for "construction project of boehmite production base for diaphragm coating of power battery", "construction project of production base of functional powder materials for electronic communication", "construction project of Yishitong (Hefei) advanced inorganic non-metallic materials R & D center" and operation and development reserve funds.

Among them, the construction project of boehmite production base for power battery coating diaphragm mainly builds two boehmite production lines and supporting projects, including the purchase of advanced equipment for production, recruitment of talents for production, etc., after the project is completed and reaches production, it is planned to increase production capacity by 6000 tons per year, with the goal of expanding the production capacity of boehmite to meet the rapid growth of downstream demand and increase market share. Further enhance the competitiveness of Yishitong in the domestic boehmite industry.

Boehmite products are mainly used for diaphragm coating and electrode coating of lithium battery. At present, the project is in the process of investment and construction, which is different from the new energy lithium battery boehmite intelligent production project (hereinafter referred to as "Bengbu Yuhui District Project") signed by Yishitong and the people's Government of Yuhui District of Bengbu City in February 2021.

In February 2021, Yishitong and the people's Government of Yuhui District of Bengbu City signed "Investment Agreement on Intelligent production Project of Boehmite for New Energy Lithium Battery" and "Supplementary Agreement on Intelligent production Project of Boehmite for Lithium Battery of New Energy". It is agreed that the company will invest in the construction of intelligent production project of boehmite for new energy lithium battery in Bengbu Yuhui District, with a total investment of 286 million yuan.

Public data show that Yishitong was listed on the new third board on September 21, 2015 and delisted on March 5, 2019. Yishitong's main business is the R & D, production and sales of advanced inorganic non-metallic composites, including active safety materials for lithium batteries, electronic communication functional materials and low-smoke halogen-free flame retardant materials.

According to the registration draft of Yishitong, from 2018 to 2020, the sales revenue of the company's lithium battery coating materials accounted for 58.38%, 67.50% and 71.84% of the main business income, respectively, which is the main source of revenue and profit of the company.

Battery net noted that from 2018 to 2020, Yishitong's revenue from selling lithium battery coating materials to Ningde era accounted for 30.16%, 28.65% and 27.89%, respectively. The proportion of revenue from selling lithium battery coating materials to Pu Tai Lai, a manufacturer of lithium battery diaphragm coating in Ningde era, accounted for 14.26%, 24.43% and 21.63%, respectively.

From January to March of 2021, the operating income of Yishitong was 72.9034 million yuan, an increase of 134.96% over the same period last year, mainly due to the low sales of the company affected by the novel coronavirus epidemic in the same period last year. From January to March in 2021, the new energy vehicle industry downstream of the company continued the strong market demand since the second half of 2020, leading to a substantial increase in the purchasing demand for the company's lithium battery coating materials from the company's major lithium battery customers. Sales have increased significantly compared with the same period last year. From January to March of 2021, the net profit of the company and the net profit attributable to the shareholders of the parent company after deducting non-recurring profits and losses were 17.4839 million yuan and 16.6297 million yuan respectively, an increase of 206.66% and 273.77% respectively over the same period last year, exceeding operating income. The increase is mainly due to the reduction of the impact of fixed assets amortization and share payment expenses on net profit after the increase in the scale of production and marketing of the company.

In the first half of 2021, Yishitong is expected to achieve an operating income of 150 million yuan to 165 million yuan, a change of about 127.55% lui 150.30% over the same period last year, and an estimated net profit of 39 million yuan to 45 million yuan, an increase of about 285.64% UV 344.97% over the same period last year. Net profit after deducting non-recurring profits and losses is 35 million yuan to 41 million yuan, which is about 411.30% and 498.95% over the same period last year.