300 million Ah lithium battery project shut down in the deep mud of Greater Southeast facing the risk of delisting

Into the muddy business of lithium power, Greater Southeast is facing the risk of delisting.

On April 28, the Greater Southeast (002263) announcement showed that the company will terminate the implementation of the "annual production of 300 million Ah high-energy power lithium-ion battery construction project."

It is understood that the implementing body of the project is Zhejiang Green Sea, a wholly-owned subsidiary of the company. The estimated total investment of the project is 795.6 million yuan. As of December 31, 2017, the company invested a total of 83.768 million yuan, and the project progress was 10.53 %.

Greater Southeast said that because of the current state of the government's subsidies for automotive batteries are unclear, downstream demand is weak, the company's power products in the face of sluggish market demand, the cautious expansion of production. At the same time, the price increase of raw materials on lithium batteries is relatively large, causing the market price trend of finished products to be unclear. In order to avoid the above risks, the company plans to terminate the implementation of the project.

As a veteran plastic film, plastic packaging enterprises, the greater Southeast would like to transform lithium-electric power to seek new profit growth point, now, lithium-electric business seems to be the development of the company's "oil bottle."

At present, the lithium battery business involved in the southeast mainly includes lithium battery separators and lithium ion batteries. High-tech lithium battery has learned that the southeast has been involved in lithium battery separators for more than seven years, and has been involved in lithium-ion batteries for at least five years.

According to financial data, in 2016, the revenue of the lithium battery isolation film business in Greater Southeast was 1.565 million yuan, and the total revenue accounted for 0.16 %; Lithium battery business revenue of 7.4874 million yuan, the total revenue ratio of 0.79 %. In 2017, the company's diaphragm sales volume was only 1.7148 million square meters, a year-on-year decrease of 30.94 %; The sales volume of lithium batteries was 1.3337 million, a year-on-year decrease of 24.35 %.

On the one hand, the development of the lithium power business is unsatisfactory. On the other hand, the company's heavily invested online game field has also progressed slowly. In 2016 and 2017, the net profit of Greater Southeast was 186 million yuan and 568 million yuan respectively.

According to the Greater Southeast 2017 Daily News, because the company's net profit audited for two consecutive fiscal years was negative, the company's stock was warned of the risk of delisting since May 2, and the stock abbreviation was changed from "Greater Southeast" to "* ST Southeast".

To make matters worse, the first quarter report showed that Greater Southeast achieved revenue of 291 million yuan, a year-on-year increase of 31.28 %; The net profit loss was 6,457,700 yuan, a year-on-year decrease of 169.2 %. This means that the predicament in Greater Southeast has still not improved.

It is worth mentioning that Greater Southeast, which is in deep trouble, may welcome a change of owner of the controlling shareholder. On January 2, 2018, Greater Southeast issued an announcement that the company's controlling shareholder, Da Southeast Group, is negotiating with Jiangsu BaiNeng New Energy Automobile Co., Ltd. on equity transfer matters. If the agreement is signed and the transfer is finally completed, the company's control rights will change.

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