Grandway Advised Zhenghai Magnetic Material on Convertible Bond Issuance Approved by SZSE

On September 21, 2022, Yantai Zhenghai Magnetic Material Co., Ltd. (stock abbreviation: Zhenghai Magnetic Material, stock code: 300224) was approved by the Listing Committee of SZSE ChiNext at the 67th meeting in 2022 for the application to issue convertible corporate bonds to unspecific investors.

Since its establishment in 2000, Zhenghai Magnetic Material has been deeply engaged in the field of NdFeB magnets, mainly in the R&D, production and sales of high performance NdFeB permanent magnet materials. After more than 20 years of rapid development, Zhenghai Magnetic Material has become one of the leading companies in high performance NdFeB permanent magnet materials and has established core competitive advantages in terms of products, technology, business model, brand and market. The high performance NdFeB permanent magnet materials are mainly used in new energy, energy-saving and intelligentizing high-end applications, including energy-saving and new energy vehicles, EPS and other automotive electrification products, inverter air conditioners, wind power generation, industrial automation, intelligent consumer electronics and energy-saving elevators, etc. It is the main supplier of high performance NdFeB permanent magnet materials in the field of new energy and energy saving.

The total amount to be raised from the issuance of convertible bonds to unspecific investors will not exceed RMB 1,400.00 million, which will invest in the electronic special material manufacturing (construction of high performance rare earth permanent magnet R&D and production base) project (Phase I) to supply working capital to further enhance the company’s core competitiveness and achieve long-term sustainable development.