At present, on the one hand, private placement continues to increase investment in warehousing, on the other hand, the company increases investment in the energy sector. These projects will achieve an effective breakthrough in the development of the company's main business, bring new profit growth points, and help to improve the company's valuation.
The reform in the energy field will greatly increase the market main body in the oil and gas field, stimulate the development vitality of the industry, and expand the growth space of the industry. Hengji Daxin is expected to significantly benefit from the policy dividend brought by the reform.
Controlling shareholders and management subscribe for additional shares on a large scale, reflecting confidence in the development of the company.
Recently, Henderson released a preliminary plan for a non-public offering of shares. According to the plan, Henderson plans to issue no more than 30 million shares to seven specific targets at 7.49 yuan per share, raising about 220 million yuan. We recently conducted an in-depth survey of the company and had in-depth exchanges with the management of the company.
Additional issuance expands the industrial chain, and the estimated value of income is improved both.
Hengji Daxin is mainly engaged in terminal loading and unloading, warehousing, barge transit, pipeline transportation and bonded warehousing of bulk liquid petrochemical products. At present, it has become one of the largest and best petrochemical storage bases in China. According to the non-public offering plan issued by the company, all the funds raised this time will be used to supplement the current fund and be used for the development of the company's three new projects. These three projects are Jin Tengxing warehousing project, Shandong oil and gas project and LNG project in cooperation with Green Energy Hi-Tech.
Henji Daxin completed the acquisition of Hubei Jintenxing Industry in April 2014 and acquired its warehousing project through the acquisition. After the project is completed and put into production, the company can provide Wuhan and its surrounding areas with 18720 square meters of storage capacity of packaged dangerous chemicals and 10800 cubic meters of liquid dangerous chemicals storage tanks. Through the Jinteng Automobile Xing warehousing project, the company can develop its regional center in central China and the market in the middle reaches of the Yangtze River, and expand the company's main business.
The registered capital of Shandong Oil and Gas Investment Company is proposed to be 500 million yuan, of which the company's capital contribution is 60 million yuan and the proportion of equity is 12%. The 12th five-year Plan period is a key period for the country to comprehensively build a modern energy industry system, and it is also an important period for the development of China's natural gas industry to a new level. Shandong Oil and Gas Investment Company plans to cooperate with large enterprises to participate in local oil and gas projects. It is worth noting that Huaxin Venture Capital, which is controlled by Shandong SASAC, will subscribe for 5 million additional shares of the company, fully reflecting the support of the Shandong provincial government to Shandong Oil and Gas Investment Company.
In addition, the company's cooperation with Green Energy Hi-Tech to carry out the LNG project also fully reflects the company's strategic layout in the natural gas industry. Green Energy Hi-Tech is the first company to commercialize LNG in China, with leading domestic technology reserves and R & D capabilities. Green Energy has gradually introduced investors such as Ping An Insurance, Everbright Financial Holdings and CGN in 2011. At present, Green Energy has registered capital of 477 million yuan and assets of 3.5 billion yuan. Henderson cooperates with Green Energy to carry out LNG projects, including the discussion of LNG liquefaction plant, LNG storage and transportation, gas filling station, trade and other businesses, which can give full play to the advantages of both sides in their respective professional fields, will help to improve the company's industrial layout, enhance future profitability, and enhance the company's overall strength and market competitive advantage.
The expansion of the above projects of Hengji Daxin fully reflects the strategic layout of the company under the background of oil and gas reform. There is not only the expansion of horizontal business, but also the development of vertical new areas, highlighting the company's strategic vision. At present, on the one hand, continue to increase investment in the field of warehousing, warehousing logistics is the company's cash cow business, clear business model, stable cash flow, stable profitability. On the other hand, the company's expansion in the energy field will provide the company with high flexibility to grow. These projects will achieve an effective breakthrough in the company's main business, bring new profit growth points, and help to improve the company's valuation.
Oil reform kicked off, benefit policy dividend at present China's oil and gas field reform has begun. According to the spirit of comprehensively deepening reform at the third Plenary session of the 18th CPC Central Committee, in the field of energy, promoting oil and gas reform has become the focus of attention of all parties. Petrochina Company Limited and China Petroleum & Chemical Corp have both made substantial moves. In addition, an energy work reform group aimed at promoting oil and gas reform is brewing, and oil import rights may be opened up or launched as soon as possible. The focus of energy reform will be to liberalize competition and encourage all kinds of investors to compete openly in the field of energy development. The reform in the energy field will greatly increase the market main body in the oil and gas field, stimulate the development vitality of the industry, and expand the growth space of the industry. Hengji Daxin is expected to significantly benefit from the policy dividend brought by the reform.
In addition, a bright spot of the company's non-public offering plan is that a large proportion of the company's controlling shareholders and senior executives subscribe for additional shares. Among them, controlling shareholder Shiyou Chemical subscribed for 5 million shares, General Manager Zhang Xinyi's affiliated enterprise Hengrong Runye subscribed for 10 million shares, and senior executives of the company's affiliated enterprise Hengqin Rongtong subscribed for 2 million shares. The company's senior management subscribes for more than half of the additional shares, and the subscribed shares are not transferable within three years. It is worth noting that Zhang Xinyi, the general manager of the company, increased his stake in the company by 2.5% with 45 million yuan in January 2014. this time, by focusing on the enterprise to subscribe for 10 million shares, it fully reflects the management's high confidence in the later development of the company.
