Qinchuan Machine Tool plans to increase capital by 1.23 billion yuan, and invest in industrial machine tools and new energy vehicles

On July 7, Qinchuan Machine Tool issued an announcement that the company plans to raise no more than 1.23 billion yuan through a private placement from no more than 35 specific investors, including the controlling shareholder Fast Gear Group.

The funds raised from this private placement will be used for the Qinchuangyuan·Qinchuan Group's high-end industrial mother machine innovation base project (Phase I), the research and development and industrialization construction project of rolling functional components in the new energy vehicle field, the new energy passenger vehicle parts construction project, the complex tool industry chain strengthening and supplementing chain empowerment and technology transformation project, and to supplement working capital.

Judging from the projects of the private placement, the investment projects of the raised funds are still to deepen the development in the field where Qinchuan Machine Tool itself is located. 454 million yuan of the raised funds will be used to promote the Qinchuangyuan Qinchuan Group's high-end industrial mother machine innovation base project.

At present, my country's high-end CNC machine tools are heavily dependent on foreign imports, and key areas have long been subject to technical blockades and product embargoes by foreign developed countries. The technical research and development of high-end CNC machine tool products is of great significance to improving my country's technological innovation capabilities and R&D level.

Therefore, Qinchuan Machine Tool will rapidly improve the level of high-end CNC machine tools and expand the scale of production through the Qinchuangyuan·Qinchuan Group High-end Industrial Mother Machine Innovation Base Project (Phase I). It is understood that the project is mainly to develop and produce high-end five-axis machining centers, high-end general CNC systems, precision measuring instruments, intelligent machine tools, digital manufacturing centers and system integration related products.

In recent years, Qinchuan Machine Tool has continued to make efforts in industrial mother machines. In 2021, Qinchuan Machine Tool newly developed the YKZ7236 gear grinding machine, YK3115 gear hobbing machine, re-combined the Sayao series machining center, the BL5i new intelligent lathe, the new generation of CNC turning and milling center BL20-HSY, and the MK1620E intelligent CNC grinder.

In 2021, Qinchuan Machine Tool's machine tool business revenue was 2.428 billion yuan, accounting for 48.06% of its total revenue, and its revenue also began to enter a profit model.

In addition, in the announcement of this private placement, Qinchuan Machine Tool also mentioned that it will invest in new energy vehicle projects, 180 million yuan will be used for the research and development and industrialization construction of rolling functional components in the new energy vehicle field, and 130 million yuan will be used for the construction of new energy passenger vehicle parts.

Driven by downstream highly prosperous industries such as new energy vehicles and consumer electronics, the demand for the upstream machine tool industry has further increased. Since 2020, the machine tool industry has entered a period of rapid growth.

However, new energy vehicles have higher requirements for the precision and materials of automotive components and are currently still dependent on imports. There are no stable, mass-produced alternative products in China that can meet the development scale of the new energy vehicle industry.

Qinchuan Machine Tool said that the company has started to deploy in the field of new energy vehicle industry manufacturing, and can provide high-end equipment required for key parts processing to downstream, and directly provide key components such as precision screw pairs and high-end gears to new energy vehicle companies, further enriching the product structure of new energy vehicle parts and expanding product categories, thereby improving the company's profitability and consolidating and strengthening its market position.

In fact, in the industrial machine tool industry, some companies are also trying their best to catch up with foreign brands. For example, Haozhi Electromechanical focuses on the business of high-speed precision electromechanical and its spare parts. Its products include various types of spindles, etc., which are mainly used for various types of CNC machine tools; Haitian Precision is mainly engaged in high-end CNC machine tool business, and its products include CNC vertical lathes, etc.; Huadong CNC is engaged in CNC machine tool business, and its products are machine tools and functional components...

It can be seen that more and more machine tool companies have begun to emerge in solving the "bottleneck" technology.