[Image: Jinhe Biotechnology logo]
Jinhe Biotechnology Co., Ltd. (hereinafter referred to as the "Company") is a company listed on the Main Board of the Shenzhen Stock Exchange. To meet the capital requirements for business development, strengthen the Company's capital base, and enhance its comprehensive competitiveness and risk resistance, the Company has prepared this feasibility analysis report for the issuance of A-shares to specific targets via a simplified procedure, in accordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Administrative Measures for the Registration of Securities Issuance by Listed Companies, and other relevant laws, regulations, and normative documents.
(Unless otherwise specified in this report, relevant terms have the same meanings as defined in the "Jinhe Biotechnology Co., Ltd. 2025 Plan for Issuing A-Shares to Specific Targets via Simplified Procedure (Revised Draft)")
I. Background and Purpose of This Issuance
(I) Background of This Issuance
- Industry and Policy Background of This Issuance
In recent years, the state has attached great importance to ecological environmental protection and green development, vigorously promoting sewage treatment and resource recycling. Since the 18th National Congress of the Communist Party of China, ecological civilization construction has been incorporated into the "Five-in-One" overall layout. Guided by Xi Jinping's thought on ecological civilization, the Inner Mongolia Autonomous Region has strengthened its political responsibility and historical mission for ecological environmental protection, fully implemented the spirit of General Secretary Xi Jinping's important speeches and instructions, firmly established the concept that "lucid waters and lush mountains are invaluable assets," resolutely implemented the decisions and arrangements of the Party Central Committee, and committed to building a national ecological security barrier. In recent years, the state has issued and implemented regulations and policies such as the "Water Pollution Prevention and Control Action Plan," the "Environmental Protection Law of the People's Republic of China," and the "Opinions of the General Office of the State Council on Promoting Third-Party Governance of Environmental Pollution," which have clarified the direction for ecological environmental protection and industrial green transformation. Improving water efficiency and promoting wastewater emission reduction and resource utilization are no longer optional paths for the industry, but an inevitable trend that conforms to policy requirements and aligns with green development strategies. At the same time, the research and development of efficient and low-consumption wastewater treatment technologies and the full achievement of zero wastewater discharge goals have become the new normal for various industries under policy-driven and environmental constraints to achieve sustainable development.
The state attaches great importance to food security and the construction of a reserve system. At the national level, the Ministry of Finance and the National Food and Strategic Reserves Administration have jointly promoted the "High-Quality Grain Project," encouraging green warehousing and intelligent upgrades to achieve "high-quality grain storage." The Ministry of Agriculture and Rural Affairs and other departments have issued documents to promote the high-quality development of agricultural product processing, supporting corn processing to increase added value and promoting the extension of the industrial chain. In terms of local planning and industrial layout, the "14th Five-Year Plan for Grain and Material Reserve Development" of the Inner Mongolia Autonomous Region clearly states the need to improve the local grain reserve system, optimize reserve layout and variety structure, and improve regional food security capabilities. The "Guidance Catalogue for Industrial Structure Adjustment" (2024 Edition) lists the "promotion and application of safe and green grain storage technology and equipment" as an encouraged project.
- Background of the Company's Own Development Strategy