Honghui Guangtong IPO: Frequent changes in counseling institutions and financial leaders, and a year to change the sponsoring brokerage
On December 5, Shanghai Honghui Guangtong Technology Co., Ltd. (hereinafter referred to as Honghui Guangtong) issued a reply to the inquiry letter on the review of the application documents for public offering of shares and listing on the Beijing Stock Exchange.
According to the application documents, since its listing in 2015, Honghui Guangtong has launched listing counseling and frequently changed the counseling institution many times, namely the announcement of the initial listing counseling and filing in July 2016, the counseling agency is Kyushu Securities, the initial listing application documents submitted to the China Securities Regulatory Commission in October 2017, and the application was terminated and withdrawn in April 2018, the listing counseling filing was announced in January 2019, and the counseling agency was Ping An Securities, and the counseling was changed to the selected layer listing in March 2020, and the counseling was terminated in June 2020, and the listing counseling filing was announced on the Science and Technology Innovation Board in November 2020, and the counseling agency was Huatai United SecuritiesIn February 2021, the counseling institution was changed to Zhongtian Guofu, in January 2022, it was announced that the listing counseling sector was changed from the Science and Technology Innovation Board to the Beijing Stock Exchange, and in July 2022, the counseling institution was changed to Capital Securities.
From 2020 to 2023, Honghui Guangtong changed three times to continuously supervise the lead brokerage, namely from Zhongshan Securities to Ping An Securities in March 2020, from Ping An Securities to Zhongtian Guofu Securities in April 2021, and from Zhongtian Guofu Securities to Capital Securities in August 2022.
During the reporting period, the financial person in charge of Honghui Guangtong changed twice, namely Ye Gang resigned in December 2020 and the financial person in charge was changed to Yan Wei, and in December 2022, Yan Wei resigned and the financial person in charge was changed to Wang Yijun.
In this regard, the Beijing Stock Exchange asked Honghui Guangtong to explain in detail the reasons for the frequent changes of counseling institutions, sponsoring securities firms, and financial leaders in recent years, whether it reflects that the company has greater risks in meeting the conditions for issuance and listing, and if so, explaining what aspects and matters are involved.
Honghui Guangtong said that the issuer decided to change the counseling institution and the lead brokerage firm after careful consideration due to the needs of its own selection of different listing sectors, based on the recognition of the brokerage team and the actual situation of facilitating continuous supervision, and it was reasonable to change the counseling institution and the lead brokerage firm in succession, and it was reasonable for the issuer's financial person in charge to resign due to personal development planning or family needs.
Honghui Guangtong also said that according to the development and changes of the capital market and the latest requirements of different sectors, the company selects different sectors for declaration based on the company's own characteristics. With regard to the irregularities and the effectiveness of financial internal control, such as equity holding on behalf of the sponsor after due diligence, in vitro personal cards, capital flow of key natural persons, R&D capabilities and R&D expense accounting, correction of major accounting errors, etc., the issuer actively carried out rectification and regulation under the guidance of the sponsor. After passing the rectification regulations, the issuer meets the conditions for issuance and listing.
According to Leju Finance's "Pre-trial IPO", Honghui Guangtong is a high-tech enterprise focusing on the optical communication industry, specializing in the research and development, production and sales of optical communication materials and optical communication devices. The company's optical communication material products mainly include optical fiber and cable filling paste, optical fiber secondary coating materials, and optical communication device products mainly include PLC components, PLC optical splitters, PLC optical splitter wafers and chips, filters and other optical communication devices.
In terms of performance, the audited operating income of Honghui Guangtong in 2020, 2021 and 2022 was 543 million yuan, 796 million yuan and 944 million yuan respectively, and the net profit attributable to shareholders of the parent company was 36.929 million yuan, 57.8346 million yuan and 57.0648 million yuan respectively.