The hottest newway plans to raise 700million to ex

Neway plans to raise 700million to expand production and development in the medium and high-end valve market

Changjiang business daily news ● Changjiang business daily Li Shun's independent research and development continues to make breakthroughs, and Neway shares () continues to promote products to the medium and high-end. With the continuous growth of orders for self-developed medium and high-end products, Newell () plans to significantly increase its production capacity and transform to medium and high-end valves. On the evening of June 16,

Changjiang business daily news ● Changjiang business daily Li Shun's independent research and development continued to make breakthroughs, and Newell Holdings () continued to promote its products to the medium and high end

in the independent may lead to the estimation of its fatigue life is too high, the order of middle and high-end products developed continues to grow, and Newell () plans to significantly increase its production capacity and transform to middle and high-end valves

on the evening of June 16, Newell announced that it plans to publicly issue convertible bonds, raising a total of no more than 700million yuan, mainly for special valve factories, valve parts production and other projects

Newell is the leader of domestic industrial valves. In the past two years, it has achieved the localization of many types of valve products through independent research and development, especially the development of nuclear power valves and deep-sea underwater valves has made new progress, the proportion of medium and high-end products has increased, and the company's performance has continued to grow. In the case of the decline of the company's valve sales last year, the net profit reached 455 million yuan, an increase of 66.18% year-on-year. The fund-raising and production expansion will promote the transformation of the company's products to medium and high-end valves

it is planned to raise 700 million to expand the production of 60000 special valves

the total amount of funds raised by Neway shares in this issuance will not exceed 700 million yuan. After deducting the issuance expenses, it is planned to be used entirely for Neway fluid control (Suzhou) Co., Ltd. Tong'an special valve factory project, valve parts production project and supplementary working capital

Tong'an special valve factory can reset the value shown in the figure. The project is mainly used to produce butterfly valves and other special valves suitable for severe working conditions and special application fields. After the completion of the project, the annual production capacity of 60000 special valves will be realized, and the transformation of the company's products to medium and high-end valves will be further realized; After the completion of the valve parts production project, it will achieve an annual production capacity of 14000 tons of valve parts, further improve the upstream industrial chain layout of Newell, meet the requirements of high-end valve quality and production capacity, and support the upgrading of valve products

last year, among the nine products of the company, only the output and sales of butterfly valve products increased by 14.89% and 42.40% year-on-year respectively. As a new performance growth point of the company, the implementation of the fund-raising project will help the company improve the production efficiency of medium and high-end butterfly valves and expand production capacity

according to the analysis of Soochow securities (8.010, 0.43, 5.67%) research report, China is the largest consumer of industrial valves, and more than half of domestic valve demand still depends on imports. As the leader of domestic industrial valves, Neway shares accounted for only 1.5% of the market in 2019, and there is a wide space for domestic substitution in this field. After the special valve project is completed and put into operation, the total output value of the company is expected to reach billion yuan

breakthroughs have been made in independent research and development, and the added value of products has increased

in fact, Neway has been promoting the expansion of production. In the second half of last year, Newell precision forging (Liyang) Co., Ltd., a new company invested by Newell, was officially commissioned and put into operation. At the same time, close to the forging plant, the fourth foundry plant of Liyang phase II project construction company was started. It is expected that it can be commissioned and put into trial operation in 2020. This valve parts production project is expanded on the above basis, which will further improve the supply capacity of the company's casting valves

Newell, as a supplier of industrial valves, currently has ten series of products, including gate valve, stop valve, check valve, ball valve, butterfly valve, regulating valve, api6a valve, underwater valve, safety valve and nuclear power valve. The company is in a leading position in the fields of ultra supercritical thermal power units, nuclear power, petroleum refining, coal chemical industry, air separation, oil (gas) production equipment, liquefied natural gas (LNG), natural gas and oil long-distance pipelines and gathering equipment, deep-sea oil extraction, large-scale hydropower and other fields, filling a number of gaps in the country

the large-diameter high-pressure top mounted pneumatic ultra-low temperature switching ball valve for liquefied natural gas independently developed by the company is the first attempt to localize this type of switching ball valve in the domestic LNG terminal project. Some new products of the company have been imported and replaced in customer projects such as PetroChina and CNOOC. Last year, the company successfully delivered large-diameter butterfly valves in batches to PetroChina, Hengli Petrochemical (13.600, 0.12, 0.89%) and other customers. The ultra-low temperature three eccentric butterfly valve also passed the test witness of shell experts, making the company one of shell's few butterfly valve suppliers in the world

with the launch of R & D products, the company has gradually enriched the types of products, increased the proportion of medium and high-end products such as ball valves, butterfly valves, forged steel valves, safety valves and other models, and accelerated the implementation and utilization of carbon fiber composites in the fields of high-speed rail headstock and other fields, increasing the added value of products. At the same time, with the company's in-depth implementation of the key customer strategy and in-depth cooperation with major customers such as PetroChina, Zhejiang Petrochemical, Wanhua, Hengli, shell and BP, orders continued to grow

especially due to the increase in sales of medium and high-end products, the company's profitability has increased significantly. In 2018 and 2019, the revenue growth rate of the company was 16.10% and 9.92% respectively, and the net profit growth rate reached 31.02% and 66.18%. This is mainly because the gross profit margin of the company's products, as a major railway transportation user, increased from 31.32% in 2017 to 36.24% in 2019. Among them, last year, the product structure of the company was optimized. Although the sales volume of valves fell, the net profit reached 455 million yuan, reaching a new high in recent five years