Core Viewpoint - Jiangsu Guotai announced an adjustment to the conversion price of its convertible bonds, effective from November 18, 2025, reducing the price from 7.82 CNY per share to 7.65 CNY per share [1] Summary by Category - **Company Announcement** - Jiangsu Guotai will implement a profit distribution plan in mid-2025, which will trigger the adjustment of the conversion price for "Guotai Convertible Bonds" [1] - The new conversion price will be effective starting November 18, 2025 [1]

Core Insights - The report highlights the performance of three investment strategies: Low Price Enhancement, Improved Dual Low, and High Price High Elasticity, which recorded returns of 1.3%, 0.5%, and 0.7% respectively during the last period, outperforming the benchmark return of 0.3% [1] - Year-to-date, these strategies have achieved returns of 17.4%, 28.2%, and 52.2%, with cumulative excess returns of 0.3%, 11.2%, and 35.2% compared to the benchmark return of 17.0% [1] - The equity market experienced fluctuations, with the Wind All A and CSI Convertible Bonds rising by 1.5% and 0.3% respectively, indicating a resurgence of low volatility strategies [1] Low Price Enhancement Strategy - The latest holdings include new entries such as Jinggong Convertible Bond (Construction Decoration), Shangyin Convertible Bond (Bank), and Yangfeng Convertible Bond (Basic Chemicals) among others [2] - The adjustment rationale is based on the strong performance of the low price index (1.4%) and the resurgence of low volatility strategies, with a focus on stable or improving performance and reasonable premium rates [3] Improved Dual Low Strategy - The latest holdings feature new entries like Shangyin Convertible Bond (Bank) and Zhonghuan Convertible Bond (Environmental Protection) [4] - Adjustments were made due to the upward movement of the dual low index (0.4%), with a focus on stocks with improved performance or stable operations while avoiding those with high redemption progress [5] High Price High Elasticity Strategy - The latest holdings include new entries such as Wankai Convertible Bond (Basic Chemicals) and Shuiyang Convertible Bond (Beauty Care) [6] - The strategy's adjustments were influenced by the decline in high price index returns (-1.5%) and the need to manage redemption risks while maintaining a balanced industry allocation [7]

Core Viewpoint - Jiangsu Guotai announced plans to use up to 12 billion yuan for entrusted wealth management and up to 1.8306 billion yuan for securities investment, totaling 13.83 billion yuan, which exceeds the company's current market value by 11% [1][2][9] Group 1: Wealth Management and Securities Investment - The company plans to use idle funds for wealth management, including structured deposits, income certificates, large certificates of deposit, and government bond reverse repos, with a maximum single product term of 36 months [3][9] - The total amount for entrusted wealth management is capped at 12 billion yuan, with the possibility of rolling use of funds [3][9] - The company and its subsidiaries will invest up to 1.8306 billion yuan in securities, with a subsidiary planning to use 1.5 billion yuan for establishing a new subsidiary for securities investment [6][9] Group 2: Termination of Lithium Battery Project - Jiangsu Guotai announced the termination of a 1.538 billion yuan lithium-ion battery electrolyte project, which was expected to generate annual sales of 15.08 billion yuan and a net profit of approximately 790 million yuan [2][10] - The project was halted due to "land not being delivered" and "changes in the industry environment," with the company citing rapid capacity expansion leading to price declines as a reason [10][12] - The company had previously expressed high hopes for the project, indicating it would enhance the new energy materials supply chain and improve overall efficiency [10] Group 3: Financial Performance and Concerns - For the first half of 2025, the company reported revenue of 18.63 billion yuan, a year-on-year increase of 5.46%, and a net profit of 545 million yuan, up 10.85% [14] - The gross profit margin was 15.53%, a slight increase of 0.31 percentage points year-on-year, but the growth rate of net profit was significantly influenced by non-recurring gains [14][16] - The company's cash flow from operating activities has been declining since 2022, with a net outflow of 215 million yuan in the first half of 2025, despite an 80.56% year-on-year increase [16]

Core Viewpoint - Jiangsu Guotai International Group Co., Ltd. is convening its first extraordinary general meeting of shareholders in 2025 on September 10, 2025, to discuss a proposal for a new three-year shareholder dividend return plan for 2025-2027, which has been submitted by a significant shareholder [1][2]. Meeting Details - The meeting will take place on September 10, 2025, at 14:30, with network voting available from 9:15 to 15:00 on the same day [3]. - Shareholders registered by the cut-off date are entitled to attend and vote at the meeting, either in person or through a proxy [3][7]. Proposals for Discussion - The agenda includes a proposal to authorize the board of directors to manage matters related to a non-public issuance of exchangeable bonds and a proposal for cash management using temporarily idle funds from the issuance of convertible bonds [5][6]. - The proposal for the new three-year dividend return plan is aimed at enhancing shareholder value and has been deemed within the authority of the shareholders' meeting [2][6]. Voting Procedures - Shareholders can vote through the Shenzhen Stock Exchange trading system or the internet voting system, with specific procedures outlined for both methods [8][9]. - The voting results will be disclosed, especially for proposals affecting minority investors, ensuring transparency in the decision-making process [7].

Core Viewpoint - Jiangsu Guotai (002091) reported a closing price of 7.35 yuan on June 27, 2025, with a decrease of 0.27% and a turnover rate of 0.71% [1] Trading Information Summary - On June 27, the capital flow for Jiangsu Guotai showed a net outflow of 50.98 thousand yuan from main funds, a net inflow of 296.23 thousand yuan from speculative funds, and a net outflow of 245.25 thousand yuan from retail investors [1][3] Company Announcement Summary - Jiangsu Guotai International Group Co., Ltd. announced that it will pay the fourth-year interest on the "Guotai Convertible Bonds" at face value on July 7, 2025, with an interest payment of 15.00 yuan (including tax) for every 10 bonds [1][3] - The bond's interest rates are as follows: 0.20% for the first year, 0.40% for the second year, 0.60% for the third year, 1.50% for the fourth year, 1.80% for the fifth year, and 2.00% for the sixth year, with a redemption price of 108 yuan (including the last interest payment) [1] - The bond issuance in July 2021 totaled 45,574,186 bonds, raising 4,557,418,600 yuan, with a maturity of 6 years and a conversion period from January 13, 2022, to July 6, 2027 [1]

Group 1 - The company, Jiangsu Guotai International Group Co., Ltd., issued 45,574,186 convertible bonds (Guotai Convertible Bonds, code: 127040) on July 7, 2021, with a face value of RMB 1,000 each [1][2] - The annual interest for the bonds is RMB 15.00 (including tax), with interest rates of 1.50% for the fourth year, 1.80% for the fifth year, and 2.00% for the sixth year, and a redemption price of RMB 108 at maturity [1][3] - The interest payment date for the fourth year is set, and the interest will be paid to bondholders registered by the close of trading on July 4, 2025 [3][5] Group 2 - The calculation of annual interest is based on the formula I = B × i, where I is the annual interest amount, B is the total face value of the bonds held, and i is the annual coupon rate [2] - The company will pay interest within five trading days after each interest payment date, and bondholders who convert their bonds into shares will not receive interest for the current and subsequent periods [2][3] - The company has a credit rating of "AA+" with a stable outlook, and the convertible bonds also hold the same credit rating [2] Group 3 - Individual bondholders are subject to a 20% personal income tax on the interest earned, which will be withheld by the payment agents [4] - Foreign institutional investors are exempt from corporate income tax and value-added tax on interest income until December 31, 2025, under specific regulations [4][5] - The company provides additional information regarding the convertible bonds in its prospectus published on July 3, 2021, available on the official website [5]