募资7亿元扩产，华鼎股份背水一战

Core Viewpoint - Huading Co., Ltd. (601113.SH) has announced a new fundraising plan to raise up to 708 million yuan, marking the third such attempt in three years, aimed at financing a project for producing 65,000 tons of high-quality differentiated nylon PA6 filament [1][2] Financial Performance - Despite facing operational challenges, Huading has maintained a positive cash flow from operating activities, with a total net cash inflow of 1.962 billion yuan from 2020 to 2023 [2] - As of the third quarter of this year, the company's debt-to-asset ratio stands at 35.72%, which is lower than the industry average for chemical fiber peers [2] - The company reported a revenue of 5.995 billion yuan for the first three quarters of 2024, a year-on-year decrease of 5.39%, while net profit attributable to shareholders increased by 96.25% to 324 million yuan [8] Shareholder Structure - The controlling shareholder, True Love Group, acquired an 8.51% stake in Huading in 2022 and has since increased its shareholding to 24.69% through additional purchases [3] - The current fundraising plan aims to issue up to 250 million shares at a price of 2.83 yuan per share, with True Love Group planning to fully subscribe, potentially increasing its voting power to 38.91% [2][3] Strategic Shifts - Following the acquisition of True Love Group, Huading has shifted its focus away from a "dual main business" strategy that included cross-border e-commerce, which was deemed unsuccessful [4][6] - The company sold its cross-border e-commerce subsidiary, Tongtuo Technology, for 700 million yuan, a significant loss compared to the 2.9 billion yuan it paid for the acquisition [6] Industry Context - The nylon industry is characterized by strong cyclicality and has faced challenges due to geopolitical tensions and rising raw material costs, impacting demand for high-priced products [1][8] - The Chinese nylon market has shown steady growth, with demand increasing from 3.23 million tons in 2017 to 3.97 million tons in 2023, reflecting a compound annual growth rate (CAGR) of approximately 3.52% [8] - The market for outdoor and yoga products has been expanding, contributing to the overall growth in nylon demand [8]