Declaration
The China Securities Regulatory Commission and the exchange's decisions or opinions regarding this issuance do not guarantee the authenticity, accuracy, or completeness of the application documents and disclosed information, nor do they provide substantive judgments or guarantees regarding the issuer's profitability, investment value, or investor returns. Any contrary statements are false representations. According to the Securities Law, after securities are legally issued, the issuer is responsible for changes in operations and earnings. Investors must independently assess the issuer's investment value and make their own investment decisions, bearing the investment risks arising from changes in the issuer's operations and earnings or fluctuations in securities prices.
Important Matters Reminder
Investors are particularly advised to carefully read the full text of this prospectus before making investment decisions and pay special attention to the following important matters.
1. Credit Rating of the Convertible Bonds
The convertible bonds to be issued by the company have been rated by China Chengxin International Credit Rating Co., Ltd. According to their credit rating report, the credit rating of the convertible bonds is AA, and the company's main credit rating is also AA. After the bonds are listed, China Chengxin will conduct regular or irregular tracking ratings of the bonds' credit status and issue tracking rating reports. Regular tracking ratings will be conducted at least once a year during the bond's duration. If external operating conditions, the company's situation, or changes in rating standards lead to a downgrade of the credit rating of the convertible bonds, it will increase investment risks for investors and affect their interests.
2. Guarantee Matters for the Convertible Bonds
The issuance of convertible bonds to unspecified objects will not be secured. If significant negative events affecting management and repayment ability occur during the bond's duration, the lack of guarantees may increase repayment risks for the convertible bonds.
3. Participation of Major Shareholders or Executives in the Subscription of Convertible Bonds
In accordance with the Securities Law and the Management Measures for Convertible Bonds, the company's controlling shareholders, actual controllers, natural person shareholders holding more than 5%, directors, and executives have provided subscription commitments related to the issuance of convertible bonds to unspecified objects. For details, please refer to Section 4 of this prospectus titled "Basic Information of the Issuer" under "Commitments and Performance."
4. Special Risk Reminders
Investors are advised to carefully read the full text of Section 3 "Risk Factors" of this prospectus and pay special attention to the following risks:
- Risk of Global Heparin Market Fluctuations: The heparin raw material business is significantly affected by industry cycles due to fluctuations in the global economy, terminal clinical demand, and regulatory policies. The price of heparin has seen significant volatility, impacting the company's operating performance.
- Risks from Pharmaceutical Industry Policy Reforms: The increasing regulatory scrutiny in the pharmaceutical industry poses risks to the company, especially if its main products fail to win bids in centralized procurement, potentially leading to a decline in market share and adverse effects on performance.
- Risk of Fluctuations in Gross Profit Margin: The company's gross profit margin has fluctuated due to raw material price changes and market competition. Significant increases in raw material prices or decreases in product prices could lead to a decline in gross profit margins.
- Risks of Inability to Implement Fundraising Projects Smoothly or Below Expectations: The company plans to use RMB 410 million for innovative drug research and development projects, which are subject to various risks, including clinical trial failures and unforeseen challenges.
- Company's Profit Distribution Policy and Cash Dividend Policy: The company emphasizes reasonable returns to investors, especially small and medium-sized investors, and aims for a stable profit distribution policy. The policy prioritizes cash dividends, with specific conditions and proportions outlined.