When will Zhongke Sanhuan issue shares?

Zhongke Sanhuan (000970) will issue shares. The base date of this allotment is June 5, 2022 1.50 shares, which will be distributed to all shareholders in the proportion of 10 shares.

Beijing Zhongke Sanhuan High-tech Co., Ltd. is a Beijing Sanhuan New Materials High-tech Company affiliated to China Academy of Sciences, which was established in August 1985. 1On July 23, 1999, approved by the State Economic and Trade Commission 199653, Zhongke Sanhuan was established as a joint-stock company with a registered capital of 5200, with Beijing Sanhuan New Materials High-tech Company as the main sponsor and jointly funded by American TRIDUS Company, Ningbo Electronic Information Group Co., Ltd., Taiquan (USA) Company, Ningbo United Group Co., Ltd. and Lenovo Group Holding Company. It was listed on China Shenzhen Stock Exchange on April 20th, 2000. Zhongke Sanhuan continues the main business of Sanhuan Company, engaged in research and development, production and sales of magnetic materials and their application products.

Due to the leading position of Sanhuan Company in the rare earth permanent magnet material industry, Sanhuan Company and Institute of Physics of Chinese Academy of Sciences jointly undertook the task of establishing a national magnetic material engineering research center, and related work is under way. 1995, China Academy of Sciences and China Nonferrous Metals Import and Export Corporation, together with other American institutions, jointly acquired the Magnequench factory (mainly producing bonded NdFeB magnetic powder, which belongs to the upstream product of bonded NdFeB products) under the General Motors Corporation of the United States, and changed the Magnequench factory into Magnequench International Inc (hereinafter referred to as "MQI"). In the process of acquisition, Chinese Academy of Sciences, considering the important influence of Sanhuan Company in NdFeB field, entrusted Sanhuan Company to act as an agent for acquisition, and registered as a shareholder of MQI Company in the name of Sanhuan Company. Sanhuan Company is entrusted by Chinese Academy of Sciences to manage equity.

Zhongke Sanhuan has accepted five manufacturers of sintered NdFeB rare earth permanent magnets-Ningbo Keningda, Tianjin Sanhenglai (in cooperation with Taiwan Province All Metals), Sanhuan Hehua (in cooperation with German Vacuum Melting Co., Ltd.), Zhaoqing Sanhuan Jingyue and Yuxian Jingxiu; A manufacturer of bonded NdFeB rare earth permanent magnets-Shanghai Epson Magnetics (in cooperation with Japan Seiko Epson Co., Ltd.) and a manufacturer of soft magnetic ferrite-Nanjing Jinning Sanhuan Fuji Electric (in cooperation with Japan Fuji Electric Co., Ltd. and Nanjing Jinning Electronics Group).

The main products of Zhongke Sanhuan are sintered NdFeB magnets, bonded NdFeB magnets, soft ferrite and electric bicycles. Its NdFeB magnets have been widely used in high-end applications, such as computer hard disk drives, optical disk drives, automobile motors, nuclear magnetic resonance imaging equipment and so on. It is a representative enterprise of rare earth permanent magnet industry in China and one of the largest NdFeB permanent magnet manufacturers in the world.