Yushun Electronics Spends 33 Million to Enter Strengthened Optical Glass
Yushun Electronics (002289, share it) announced today that it intends to use its own funds of 33 million yuan to establish a joint venture Shenzhen Huai Shuofeng Technology Co., Ltd. to enter the production and operation of strengthened optical glass. The company accounts for 61.11% of the registered capital. After the project is put into production, the sales volume of capacitive touch screen optical glass products will reach 10.6 million pieces/year, and the annual net profit after tax will reach 22.69 million yuan. According to the announcement, the registered capital of Huali Shuofeng is planned to be 54 million yuan, and Yushun Electronics, Shanghai Yijiu, Wang Xiaolin, and Wang Jinlin have invested 33 million yuan, 20 million yuan, 500,000 yuan and 500,000 yuan respectively. Among them, Yushun Electronics accounts for 61.11% of the registered capital, and Shanghai Yijiu accounts for 37.04%. The agreement of each investor stipulates that Wang Xiaolin and Wang Jinlin shall serve as the core management personnel of the joint venture company, responsible for daily operation and management, and have been in office for at least 5 years. The funders also agreed that the business target of Luxe Shuofeng from 2011 to 2014 is that the net profit after deducting non-recurring gains and losses is not less than 5 million yuan, 10 million yuan, 20 million yuan and 30 million yuan, respectively. If the business target of a certain year meets the above conditions, the dividends received by Yushun Electronics, Shanghai Yijiu, Wang Xiaolin, and Wang Jinlin will be changed to 31.13%, 18.87%, 25%, and 25% respectively; Dividends will be distributed based on the actual paid-in capital contribution ratio at the time of the establishment of Huali Shuofeng. After 2015, dividends and capital increase will be made according to the proportion of registered shareholders' actual paid-in capital. In addition, in order to tie the management and the company's interests, the agreement also stipulates that Wang Xiaolin and Wang Jinlin should use all dividends to increase the capital of Huali Shuofeng. During the period, Yushun Electronics and Shanghai Yijiu waived the right to increase the capital of Huali Shuofeng. When Wang Xiaolin and Wang Jinlin's total capital contribution reached 28 million yuan, they began to distribute dividends and increase capital according to the proportion of each shareholder's actual capital contribution at that time. The company expects that the total construction period of the project is planned to be 6 months from plant design and decoration to trial production and formal production. After the project is put into production, the sales volume of capacitive touch screen optical glass products will reach 10.6 million pieces/year, the annual sales income will reach 16.32 million yuan, and the annual net profit after tax will reach 22.69 million yuan.