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    Home > Medical News > Latest Medical News > Comey Pharmaceuticals responded by questioning that major shareholders would reduce the proportion of pledges

    Comey Pharmaceuticals responded by questioning that major shareholders would reduce the proportion of pledges

    • Last Update: 2021-02-27
    • Source: Internet
    • Author: User
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    Kangmei Pharmaceuticals issued a clarification announcement on the evening of October 17, on the recent media reports of large balance of book money funds, inventory, large shareholders equity pledge ratio and high gross margin of trade in Chinese herbal medicine related content to verify and make corresponding explanations.
    For the large balance of book money funds, Kangmei Pharmaceuticals explained that according to the company's strategic planning, new project investment, industrial mergers and acquisitions and trade in Chinese herbal medicine, such as the demand for monetary funds and financing scale is very large. According to the announced project investment plan, the company's projected project investment capital needs in the next few years will be 44.391 billion yuan. On June 30, 2018, the Company's book currency funds amounted to 39.885 billion yuan, and together with the Company's daily business operations and trade in Chinese herbal medicines, the Company needs to maintain a high balance of monetary funds.
    the media questioned the inventory of expendable biological assets, development costs and product development, Kangmei Pharmaceuticals from the company's own development reasons and third-party evaluation reports and other aspects of the details.
    understood that the company's expendable biological assets are mainly forest ginseng and plantation ginseng. Among them, the property rights of Lin's ginseng belong to Kangmei Pharmaceutical Co., Ltd. (parent company), with a book value of 2.848 billion yuan as of December 31, 2017; The accounts of Co., Ltd. ("Kangmei Xin Kaihe") and Ginseng Co., Ltd. ("Tian'an Land Ginseng") were valued at 404 million yuan as of December 31, 2017. The assessment report issued by the intermediary agencies on April 13 this year showed that the value of the above-mentioned forest ginseng assessment was 3,619 million yuan, and the value added was 771 million yuan, with a value-added rate of 27.06%, mainly due to the natural growth and appreciation of forest ginseng.
    For the reasons for the sharp year-on-year decrease in Comm's net profit for 2017, Kangmei Pharmaceuticals said that sales of new Kaihe Red Ginseng products decreased, coupled with the start-up of the new Jilin Ginseng Industrial Park base, plant, machinery and equipment increased depreciation costs. In addition, since 2016, Kangmei Xin Kaihe Red Ginseng products are mainly sold to the parent company, the parent company finally realized external sales, therefore, simply refer to Kangmei Xin Kaihe's income can not truly reflect the sales of Xin kaihe Red Ginseng products.
    And the company's expendable biological assets do not take into account inventory price decline for two reasons: First, the current forest ginseng has not yet begun to harvest and external sales, the company each year hired an assessment body with forest ginseng assessment qualification to assess the value of forest ginseng, found no signs of impairment; As of December 31, 2017, the book value is about 404 million yuan, of which about 110 million yuan can be collected, the pre-collection cost is about 30 yuan / catty to 50 yuan / catty, the cost is lower than the market sales price, there is no impairment.
    Further explained that the management model adopted by the company's plantation ginseng is "company and farmer", but the farmer is not an employee of the company. In addition, ginseng growth needs a cycle, Comme ginseng is generally more than 5 years, can not be immediately reflected in income, so there is no direct link between planting area and operating income. In summary, the Company's assessment and impairment testing of the relevant expendable biological assets showed no signs of impairment, and the relevant accounting treatment met the requirements of the Enterprise Accounting Standards.
    on the pledge of the company's majority shareholder, Comey Pharmaceuticals said that as of June 30, 2018, Comey Industrial held 1.64 billion shares of the company's shares, accounting for 32.98 percent, of which 15 0.08 billion shares, the pledge ratio of 91.91 percent, the main purpose is day-to-day business operations, participate in the rights issue, increase holdings, subscribe to the company's non-public issue of shares, participate in the long-term equity investment of enterprises and other business, in line with the policy guidance, there is no false situation. Major shareholders expect to gradually reduce the proportion of pledges in the future. (Shanghai Securities News)
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