Yongtai Technology plans to acquire 150 million of Yongtai Hi-Tech to improve the layout of lithium battery materials.

On the evening of August 13th, Yongtai Technology (002326) issued an announcement that on the same day, the company signed the "Equity transfer Agreement" with Fujian Yongjing Technology Co., Ltd. (hereinafter referred to as "Yongjing Technology"). The company intends to use its own capital of RMB 150 million to acquire 15% of Shaowu Yongtai High-tech Materials Co., Ltd. (hereinafter referred to as "Yongtai High-tech") held by Yongjing Technology. After the completion of the acquisition, the company will hold 75% stake in Yongtai High-tech, and Yongjing Technology will no longer hold Yongtai High-tech stake.

Yongtai Technology said that lithium electricity and other materials are one of the company's key business sectors. Yongtai Gaoxin, as an important carrier of this sector, has strong comprehensive competitiveness and profitability. Based on the optimistic development prospect of the lithium battery industry, and in order to strengthen the company's control over Yongtai high-tech and improve the efficiency of the company's management decision-making, the company acquired the 15% stake held by Yongjing technology. This acquisition will help to further improve the company's industrial layout, increase the company's overall competitive advantage, and enhance the company's sustainable profitability.

According to the information of the online exchange meeting held by Yongtai Technology on August 12th, Yongtaixin's main products are lithium hexafluorophosphate, lithium difluorosulfonimide and other lithium battery materials, of which lithium hexafluorophosphate has an existing production capacity of about 2000 tons / year. the project, which is currently under expansion of 6000 tons / year, is progressing smoothly, and the total production capacity is expected to reach 8000 tons / year by the end of 2021, and the actual production will depend on the progress of the project. The project with an annual production capacity of 20000 tons of lithium hexafluorophosphate, which is currently being expanded, has begun the preliminary safety assessment, environmental assessment and design work, and the follow-up construction will be accelerated to meet the needs of downstream customers.

In addition to Yongtai High-tech, Inner Mongolia Yongtai Chemical Co., Ltd., a subsidiary of Yongtai Technology holding Company, is another business entity in the field of lithium battery materials. It is reported that the subsidiary is building a number of projects at Synchronize, including projects with an annual output of 5000 tons of VC and an annual capacity of 3000 tons of FEC, and the renovation of old equipment in the existing workshop. At present, the project is progressing smoothly, and preparations before trial production are being carried out urgently.

At present, Yongtai Technology has normally produced high-quality lithium hexafluorophosphate, and has successfully developed commercial production processes of other mainstream electrolyte additives with high quality, high efficiency and high performance, such as LIFSI (lithium difluorosulfonimide), LiDPF (lithium difluorophosphate), LiDODFP (lithium difluorodioxalate), VC (ethylene carbonate) and FEC (fluoroethylene carbonate).

According to the half-yearly report of Yongtai Technology in 2021, the company's operating income in the first half of this year was 1.976 billion yuan, an increase of 24.54% over the same period last year, and the net profit belonging to shareholders of listed companies was 95.2994 million yuan, down 54.85% from the same period last year. However, the net profit belonging to shareholders of listed companies after deducting non-recurring profits and losses was 177.3557 million yuan, up 61.16% from the same period last year. On the whole, the performance of the company's main business increased, while the non-recurrent profit and loss outside the main business decreased.

Yongtai Technology said that in the first half of this year, thanks to the rapid development of the new energy vehicle industry, the market demand for lithium materials, especially lithium hexafluorophosphate, increased significantly, and product prices continued to rise. The company actively seizes the market opportunity, increases market development efforts, speeds up production capacity construction and technological innovation, and greatly improves the profitability of lithium materials products. At the same time, the company's pharmaceutical and pesticide business has developed steadily, so that the company's overall gross profit margin level has been improved, and the main business performance has increased more than the same period last year. Among them, lithium electricity grew the fastest, achieving an increase of 196.88% over the same period last year.

It is worth noting that not only excellent results in the first half of the year, Yongtai Technology Lithium and other materials also ushered in the opening order in the second half of the year.

On August 3rd, Yongtai Technology announced that the company has signed a "material purchase Agreement" with Ningde Times, which stipulates that Ningde Times will purchase lithium hexafluorophosphate, difluorosulfonimide lithium (LIFSI) and ethylene carbonate (VC) products from the company during the validity period of the agreement.

According to the agreement, the parties determined the minimum purchase quantity of lithium hexafluorophosphate products, lithium difluorosulfonimide (LIFSI) and vinyl carbonate (VC) products, among which: (1) lithium hexafluorophosphate: the total minimum purchase quantity of the buyer from July 31, 2021 to December 31, 2026 is 24150 tons; (2) the total minimum purchase quantity of difluorosulfonimide lithium (LIFSI): buyer is 3550 tons from July 31, 2021 to December 31, 2022, and the minimum purchase quantity from January 1, 2023 to December 31, 2026 is 80% of the supplier's actual production capacity; (3) after the ethylene carbonate (VC): supplier has put into production and reached production capacity of 200t / month, the minimum purchase quantity of the buyer during the agreement period shall not be less than 200t / month.

Guosheng Securities latest research report analysis said that the CATL direct procurement of electrolyte materials and provide prepaid payment of 600 million yuan, to enhance the industrial voice of electrolyte materials, the strategic significance is particularly prominent. In view of the strategic supplier relationship between Yongtai Technology and CATL, it is speculated that the company's new lithium material production capacity is still expected to be supported by Synchronize.