Over 100 million yuan of equity and funds were frozen, and the old industrial robot manufacturer was entangled in lawsuits

On July 20, Jiangsu Harbin Institute of Technology Intelligent Robot Co., Ltd. (hereinafter referred to as Harbin Institute of Technology Intelligent Robot), a long-established industrial robot manufacturer, issued an announcement. According to the announcement, some assets of Harbin Institute of Technology Intelligent Robot and its subsidiaries have been frozen due to some lawsuits. A total of 11 bank accounts of Harbin Institute of Technology Intelligent Robot and its subsidiary Haining Harbin Institute of Technology Woyao Robot Co. , Ltd. (hereinafter referred to as Haining Woyao) have been frozen, with a total amount of 11.7 million.

It has been listed for nearly 30 years, but it is still named "ST"

HGTE Intelligent Technology Co., Ltd. was successfully listed as early as 1995. It is a high-tech company focusing on high-end intelligent equipment manufacturing and industrial robots. It is one of the veteran companies in my country's industrial robot industry and has made significant contributions to promoting the development of my country's industrial robot industry. However, in May, the company was issued a negative opinion on the "Internal Control Audit Report" by Jiangsu Tianheng Accounting Firm. Therefore, the Shenzhen Stock Exchange implemented "other risk warnings" for the company's stock, and the stock abbreviation was changed from "HGTE Intelligent Technology Co., Ltd." to "ST Gongzhi".

The report shows that Harbin Institute of Technology Intelligent uses the equity method to account for four companies, including Harbin Institute of Technology Growth (Yueyang) Private Equity Fund Enterprise (Limited Partnership), Huzhou Dazhi Industrial Investment Partnership Enterprise (Limited Partnership), Heilongjiang Strict Supply Chain Service Co., Ltd. and Nantong Central South Harbin Institute of Technology Intelligent Robot Industry Development Co., Ltd. The total initial investment cost was 650 million yuan, and the balance at the end of 2022 was 420 million yuan. The investment income recognized in this period was -139 million yuan.

The above four companies are all equity investment platform companies, with a large amount of equity investments, large amounts of current accounts and large amounts of capital increase intention funds on their books. Due to the limited audit scope, the accountants believed that they failed to implement necessary audit procedures and could not determine whether Harbin Institute of Technology Intelligent Technology needed to make adjustments to the book value of long-term equity investments, investment income and other items in the financial statements of the above four companies, nor could they determine whether there were any significant related-party financial transactions that had not yet been identified. Tianheng Accounting Firm issued a negative internal control audit report.

Three lawsuits involved, tens of millions of funds and hundreds of millions of shares frozen

This time, six accounts of Harbin Institute of Technology Intelligent and five accounts of its subsidiary Haining Woyao were implicated, mainly due to three litigation disputes.

The first case was that Haining Pan Semiconductor Industry Investment Co., Ltd. applied to the Haining People's Court for pre-trial preservation in connection with its lawsuit requiring Harbin Institute of Technology Intelligent and Haining Woyao to fulfill their obligation to repurchase the equity of Zhejiang Harbin Institute of Technology Robot Co., Ltd. held by them. The court froze some accounts of the company and Haining Woyao.

As of the date of disclosure of this announcement, the lawsuit has not yet been formally heard in court. The company is actively communicating and negotiating with Haining Pan Semiconductor Industry Investment Co., Ltd., the court, etc. to take effective measures to resolve the litigation dispute as soon as possible.

The second case was that Haining Yilian Robot Manufacturing Co., Ltd. applied to the Haining People's Court for pre-trial preservation in connection with a lawsuit in which it required the company to repurchase its equity in Zhejiang Harbin Institute of Technology Robot Co., Ltd. The court froze some accounts of the company and Haining Woyao.

As of the date of disclosure of this announcement, the lawsuit is still in the pre-litigation mediation stage. HGIT has not received the court's response notice and is actively communicating and negotiating with Haining Yilian Robot Manufacturing Co., Ltd., the court, etc. to take effective measures to resolve the litigation dispute as soon as possible.

The third case was that Mr. Liu Yanzhong applied for property preservation to the Jilin Intermediate People's Court of Jilin Province in a lawsuit between him and Harbin Institute of Technology Intelligent Technology and Jilin Jiangji Minke Industrial Co., Ltd. based on a private loan dispute. The court froze some of the company's accounts.

As of the date of disclosure of this announcement, the Company has not received any relevant litigation materials from the court regarding this case and is actively communicating and negotiating with Mr. Liu Yanzhong, the court, etc. to take effective measures to resolve the litigation dispute as soon as possible.

In addition to funds, some of HGSI's equity was also frozen. By checking the National Enterprise Credit Information Publicity System, it was learned that the company's 100% equity in Tianjin Fuzhen and 100% equity in Haining Woyao were frozen. Influenced by the third case mentioned above, Mr. Liu Yanzhong applied to the Jilin Intermediate People's Court of Jilin Province for property preservation. The court froze the company's 100% equity in Tianjin Fuzhen (RMB 51 million) and 100% equity in Haining Woyao (RMB 200 million) for three years.

In addition, the subsidiary's land was also seized. Affected by the above case 2, Haining Yilian Robot Manufacturing Co., Ltd. applied to the Haining People's Court for property preservation in relation to the above case 2. The court ruled to seize the land use rights of the company's subsidiary Haining Woyao, located on the west side of Wenyuan Road and the south side of Gaoxin Road in Haining Economic Development Zone, Haining City, for a period of three years.

Transformation to find a way out, performance forecast turns loss into profit

In recent years, HGIT has frequently acquired other companies' equity to enrich its business lines. In 2018, it acquired 15.6977% of Gongda Special Robots for 108 million yuan, 100% of River Electromechanical for 566 million yuan, and 46% of Baokong Intelligent for 46.94 million yuan, aiming to build high-end intelligent manufacturing. In 2021, HGIT plans to acquire 70% of Jiangji Minke for 840 million yuan, and begin its transformation into the military industry.

At the same time, it is accelerating the application layout in the field of new energy vehicles. It is understood that Harbin Institute of Technology Intelligent's industrial robot application business has signed new energy vehicle production line orders with domestic and foreign new energy vehicle manufacturers such as NIO, BYD, Nanning Ningda, Geely PMA, Yutong Automobile, and Hozon New Energy Automobile.

In February this year, HIG Intelligent Technology Co., Ltd. issued an announcement stating that it plans to acquire 70% of the equity of Dingxing Mining (Dingxing Mining directly holds 51% of the equity of Xingli Technology) and 49% of the equity of Xingli Technology by issuing shares and paying cash. After the transaction is completed, HIG Intelligent Technology Co., Ltd. will directly hold 70% of the equity of Dingxing Mining and directly and indirectly control 100% of the equity of Xingli Technology.

After a series of combined efforts, Harbin Institute of Technology Intelligent seems to have achieved certain results. According to the latest announcement of the "2023 Semi-annual Performance Forecast", the net profit attributable to shareholders of the listed company in the first half of 2023 is estimated to be 0 yuan to 10 million yuan, while the loss in the same period last year was 276.1448 million yuan, an increase of approximately 100.00% to 103.62% over the same period last year. The company's performance forecast is to turn losses into profits.