China丨Fengshan plans to set up a subsidiary of ¥100 million to further integrate related business segments

Fengshan announced that according to the development strategy and future business plans, the company intends to set up a wholly-owned subsidiary Fengshan (Jiangsu) with its own or self-raised funds of 100 million yuan.

It is reported that the business scope of the subsidiary and includes licensed projects: pesticide production; pesticide retail; pesticide wholesale; fertilizer production; packaging and decoration printing; printing of documents, materials and other printed matter; specific printed matter printing; port operation. General projects: R&D of biopesticide technology, compound microbial fertilizer and biological organic fertilizer; Fertilizer sales; manufacturing of basic chemical raw materials (excluding manufacturing of licensed chemicals such as dangerous chemicals); Sales of chemical products (excluding licensed chemical products); production of chemical products (excluding licensed chemical products); special chemical products manufacturing.

In addition, the company plans to transfer the new material industrial park, which is located in Dafeng production base, and Shanghai branch and other related assets, including the production and business operation related inventory, fixed assets, intangible assets (such as pesticide registers card production qualification) and the relevant government subsidies according to the book value of creditor's rights and debts to the newly established wholly owned subsidiary of Fengshan(Jiangsu).The book value of the assets to be transferred is about ¥927 million on Aug 31, 2022. The company's qualification related to pesticide production and operation will be changed to the newly established subsidiary, and the personnel placement will be carried out in accordance with the principle of "people follow the business".

As indicated in the announcement, The company's initial public offering to raise funds investment projects in the production line’s technological transformation of the output of 1700 T/A of Quizalofop-p-ethyl, 1083 T/A of Potassium chloride, 500T /A of Quizalofop-p-tefuryl, 700T/A of Cyhalofop-butyl, 300 T/A of Clodinafop-propargyl, 1000 T/A of Triclopyr and 1000 T/A of Triclopyr 2-butoxyethyl ester. The implementation subject of the technical reform project of these technical production lines was changed from the main company to the newly established subsidiary Jiangsu Fengshan.