On March 27th, Huasu Co., Ltd. issued a stock issuance plan. The company plans to issue no more than 872 million shares at 1.0553041 yuan per share. It is expected that the raised capital will not exceed 920 million yuan.
Huasu Co., Ltd. stated that since the company's main business is facing a good development opportunity, the raised funds will be used for the construction of the second phase of the company's 1 million tons/year PVC project, which will be expanded through this issue. The company's main product production capacity, optimize the company's financial structure, enhance the company's profitability and resistance to risk, enhance the company's overall competitiveness.
According to the announcement, the proposed target of the stock issuance is 3 legal person companies, among which the company’s existing shareholder, Huaibei Mining (Group) Co., Ltd., intends to subscribe for 470 million yuan, and Anhui Sanyeyichuang Industry Development Fund Co., Ltd. plans to subscribe 3.5 Billion yuan, Dingyuan County State-owned Assets Operation Co., Ltd. plans to subscribe for 100 million yuan.
Huasu Plastic Co., Ltd. is mainly engaged in the production and sale of polyvinyl chloride resin (PVC) and caustic soda. In 2017, the company achieved revenue of 3.932 billion yuan and net profit of 187 million yuan.