Juguang Chemistry intends to participate in the public recruitment

On August 18, 2022, Juggi Chemical (688669.SH) issued a announcement on the public recruitment of investors intending to participate in Anhui Hyde Chemical Technology Co., Ltd. bankruptcy and reorganization investor.

Guangdong Juxuan Chemical Co., Ltd. (hereinafter referred to as "Company" or "Listed Companies") held the fourth meeting of the sixth board of directors on August 18, 2022 to review and approve the "About to participate in Anhui Hyde Chemical Technology Co., Ltd. "Proposal recruited for bankruptcy and reorganization investors", agreed to the company's participation in Anhui Hyde Chemical Technology Co., Ltd. (hereinafter referred to as "Hyde Chemical") bankruptcy reorganization investors, and authorized the company to participate in the company's participation in the selection of investors and preparation for bidding bidding Documents, reviews and investment candidates and other work.

At present, the public recruitment of investors participating in the bankruptcy and reorganization investors does not constitute a major asset reorganization stipulated in the "Administrative Measures for the Reorganization of the Major Assets Reorganization". The above matters do not need to submit it to the shareholders' meeting for review. Approval procedure.

On May 24, 2021, He County People's Court issued (2021) Anhui 0523 Break Shen No. 4 "Civil Ruling", which was determined to accept the reorganization application of Hyde Chemical in Anhui Hexian Rural Commercial Bank Co., Ltd. in accordance with the law. On June 2, 2021, the County People's Court offered (2021) Anhui 0523 Breaking No. 5 "Decision", designated Shanghai Jintian City (Hefei) Law Firm as Hyde Chemical Manager (hereinafter referred to as "manager"). On August 16, 2022, the company received the "Invitation Letter" issued by the manager.

According to analysis, Hyde Chemical and its business can reduce the risk of volatility of the company's raw materials, improve the layout of the company's industrial chain, cooperate with the company's projects and deepen the industrial structure. Based on the long -term strategic development considerations, the company intends to participate in public recruitment of Hyde chemical bankruptcy and reorganization investors.

On August 18, 2022, the company held the fourth meeting of the sixth board of directors to review and approve the "Proposal on Public Recruitment of Bankruptcy and Reorganization Investors Investment in Anhui Haide Chemical Technology Co., Ltd.". The whole investor recruits publicly. The public recruitment of investors to participate in the bankruptcy and reorganization of Hyde Chemical Industry does not constitute a related transaction, nor does it constitute a major asset reorganization.

According to the "Invitation Letter", the intention of investors to participate must meet the following main requirements:

1. Write bidding documents as required, and submit it before 17:00 on August 20, 2022.

2. A bidding deposit of 5 million yuan will be paid to the manager's account before August 18, 2022.

According to the "Invitation Letter", Hyde Chemical uses the method of transferring equity to reorganize, and the reorganization investors provide

The debt repayment funds and obtaining the equity of Hyde Chemical in the form of 0 considerations, the total debt repayment amount provided by the reorganization of investors should not be less than 200 million yuan.

On August 18, 2022, the company held the fourth meeting of the sixth board of directors to review and approve the proposal to participate in the disclosure of the public recruitment of bankruptcy and reorganization investors to participate in Anhui Haide Chemical Technology Co., Ltd. ".

Independent directors have expressed the following independent opinions on the transaction: this time participating in the public recruitment of the investor of the bankruptcy and reorganization of Hyde Chemical, the development plan is in line with the company's development plan. The project and deepen the industrial structure, in line with the interests of the company and all shareholders. The public recruitment of investors participating in the bankruptcy and reorganization of Hyde Chemical Industry does not constitute a major asset reorganization, does not involve related transactions, and does not harm the interests of the company's public shareholders. We agree with the company's participation in the public recruitment of investors in Hyde Chemical Bankruptcy and Reorganization.

The public recruitment of investors participating in the bankruptcy and reorganization of Hyde chemical industry does not need to be submitted to the shareholders' meeting for consideration.

Participate in the selection of investors of the bankruptcy and reorganization of Hyde Chemical, the company is expected to pay 50 million yuan bid deposit, and at the same time submit bidding documents to participate in the review. Hyde Chemical's bankruptcy reorganization review committee reviewed the number one of the total scores as candidate reorganization investors. Candidate reorganization investors need to submit 45 million yuan of reorganized investment margin within 5 days after the manager notice in writing (excluding 5 million yuan in bidding deposits paid), otherwise it will be deemed to abandon the qualifications of reorganization investors. The payment of the above 50 million yuan bid deposit will not affect the company's normal production and operation.

The company intends to participate in the public recruitment of the investors of the bankruptcy and reorganization of Hyde Chemical. Whether it is eligible for participation and whether it can become a reorganized investor is still uncertain.

Whether the draft reorganization plan can obtain the voting of the creditor's meeting or the Anhui and the County People's Court ruled that there is still uncertainty.

The company intends to participate in this bankruptcy and reorganization, and there is still uncertainty for reorganization methods and reorganizations.

This investment may constitute a major asset reorganization.

The company will perform the corresponding approval procedures and information disclosure obligations in a timely manner according to the progress of matters. Investors are requested to pay attention to investment risks.

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