China Italy compression of more than 1.1 billion yuan to raise capital Sichuan Changhong plan to dig 300 million

A week after the suspension, Huayi compression (000404.　　SZ) today announced the issuance of additional programs, to include Sichuan Changhong Electric Co., Ltd., including not more than 10 of the specific investors issued 100 million ~2 billion shares, the issue price is not less than 7.85 yuan/share, is expected to raise the total amount of capital not more than 1.1 billion yuan, including Sichuan Changhong to 300 million yuan cash subscription.　　According to the company announcement, raise funds to invest in 4 aspects, respectively, is a new production capacity of 5 million units of ultra-high efficiency and frequency converter compressor line project, a new annual output of 6 million high-performance and commercial compressor production line project, Huayi Compression Technology Research institute construction projects and supplementary liquidity. December 2007, Sichuan Changhong to 234.011 million yuan to the holding shareholder Jingdezhen Huayi Electric Company holding 97.1 million shares, accounting for 29.92% of the total equity, become the company's largest shareholder.　　If the issuance scheme is passed, Sichuan Changhong investment in China Italy compression of the total funds will increase to more than 500 million yuan. In Sichuan Changhong became the largest shareholder in China, Italy compressed profit in 2008 and 2009 more significant increase. However, the three quarterly reports released in 2010 years have disappointed the market somewhat. According to the Chinese-Italian compression of the three quarterly bulletin, the third quarter of the company's operating profit of 38.83 million yuan, down 35.68%, the owner of the parent company net profit of 15.54 million yuan, down 51.95% year-on-year.　　The company said that the overall gross profit margin is mainly due to the rise in raw material prices, the reporting period, copper, steel and other major raw materials prices continue to rise sharply, because of the compressor industry competition is more intense, the company's compressor price increases far less than the price of raw materials, which led to a decline in profitability Days congenial gu think, starting from the third quarter, copper-dominated raw material prices appear concussion market, of which, the company's third quarter single quarter comprehensive gross profit margin of 11.66%, down 2.63% year-on-year, 0.07% increase in the chain.　　2010 years of the Four seasons, raw material prices are still mainly shocks, the company's gross margin continues to fall less likely. Xiang-finance securities that for China-Italy compression, the latter should pay attention to capacity expansion and product structure of high-end driving growth.