Xiangtan Electric and Chemical shareholding Co., Ltd. Hunan Yuneng listing application was accepted and counseling agency was CITIC Securities.

Recently, Xiangtan Electric and Chemical announced that the company recently received notice from Hunan Yuneng New Energy Battery Materials Co., Ltd. (hereinafter referred to as "Hunan Yuneng"). The application materials submitted by Hunan Yuneng to the Hunan Regulatory Bureau of China Securities Regulatory Commission for initial public offering and listing guidance were accepted and a written confirmation document was obtained recently. The counseling agency is CITIC Construction Investment Securities Co., Ltd.

Xiangtan Dianhua said that Hunan Yuneng's application for an initial public offering and listing will help it broaden its financing channels, enhance its capital strength, rapidly expand its industrial scale, improve its competitiveness, and promote its long-term development.

It is reported that Xiangtan electrochemical battery material business includes P-type EMD, alkaline manganese type EMD, high performance EMD, primary lithium manganese type EMD, lithium manganate cathode material and high purity manganese sulfate, among which P type EMD, alkaline manganese type EMD, high performance EMD, primary lithium manganese type EMD are mainly used in the production of primary batteries, lithium manganate cathode materials and high purity manganese sulfate are mainly used in the field of secondary batteries.

In 2020, the total revenue of Xiangtan electrification was 1.224 billion yuan, up 1.13% from the same period last year; the total profit was 25.3995 million yuan, down 66.72% from the same period last year; and the net profit belonging to shareholders of listed companies was 25.3847 million yuan, down 62.66% from the same period last year, and basic earnings per share was 0.04 yuan.

A few days ago, Xiangtan Dianhua estimated that the net profit attributed to shareholders of listed companies in the first quarter of 2021 was 18 million yuan to 23 million yuan, an increase of 255.18%, 353.85% over the same period last year, and basic earnings per share of 0.03 yuan to 0.04 yuan. The change in performance is mainly due to the fact that the company's performance in the first quarter of 2021 is expected to rise significantly compared with the same period last year, mainly due to a comprehensive price increase in the first quarter of 2021 after the company gradually increased the price of its products in November 2020.

Recently, Xiangtan Electric Chemical Co., Ltd. has increased the layout of manganese products and raw materials by means of joint venture, capital increase, expansion and so on.

On December 22, 2020, the board of directors of Xiangtan Electric Chemical Company agreed to increase the capital of Xiangtan Nanmuchong Manganese Industry Co., Ltd. by 15.3 million yuan. After the capital increase, the company holds a 51% stake in Nanmuchong Manganese Industry and strengthens the reserve of manganese resources. On the same day, Xiangtan's board of directors also approved a wholly-owned subsidiary, Jingxi Xiangtan Electrochemical Technology Co., Ltd., to expand the project with an annual production capacity of 10, 000 tons of high-performance lithium manganate electrolytic manganese dioxide.

On December 23, 2020, Xiangtan Dianhua plans to invest 110.2 million yuan in currency with Xinxiang Zhongtian New Energy Technology Co., Ltd., Jingxi Lisheng Enterprise Management Partnership (limited partnership) and Jingxi Lipeng Enterprise Management Partnership (limited partnership) to set up Jingxi Lijin New Materials Co., Ltd. extend the layout of the manganese industry chain.

Xiangtan electrification also actively introduces strategic investors. On December 25, 2020, Xiangtan Dianhua received a notice from Hunan Yuneng, a shareholding company, that Hunan Yuneng had recently completed the capital increase, and its registered capital has been changed from "200 million yuan (about 299 million yuan)" to "Wu Yilu thousand eight hundred yuan (about 568 million yuan)". The announcement shows that the capital increase price of Hunan Yuneng is 3.3419 yuan per share, of which strategic investors and employee shareholding platforms such as Ningde Times New Energy Technology Co., Ltd., BYD Co., Ltd. and other strategic investors and employee shareholding platforms increase capital with cash, totaling 648 million yuan; all shareholders of Jingxi Xiangtan Electric New Energy Materials Co., Ltd. increase equity capital with their 100% equity stake in Jingxi New Energy, with an increase of 250 million yuan.

In addition, Xiangtan electrification also actively participated in the establishment of industrial investment funds. On February 2, 2021, the 32nd meeting of the Seventh Board of Directors of the company examined and adopted the Bill on participation in the Establishment of Industrial Investment funds. It is agreed to jointly invest with Agricultural Bank of China International (Hunan) Investment Management Co., Ltd., Hunan State-owned Enterprise M & A Fund Management Co., Ltd., Hunan Xingxiang Investment holding Group Co., Ltd., Changsha Changxin Investment Management Co., Ltd., etc., to establish Hunan Xingxiang Agricultural Bank New Energy New Materials Science and Technology Private Equity Fund (provisional name, subject to final approval and registration, hereinafter referred to as "Xingyin Fund"), the total size of Xingyin Fund is 1 billion yuan. The scale of the first phase is 300 million yuan, and the company subscribes 15 million yuan of the first phase with its own funds.