Core Viewpoint - Jiangxi Sanxin Medical Technology Co., Ltd. plans to issue convertible bonds to enhance capital strength and profitability, with a total fundraising amount not exceeding 530 million yuan [2][11][30] Group 1: Necessity of the Issuance - The issuance of convertible bonds is necessary to improve the company's core competitiveness and sustainable development capabilities [3][4] - The projects funded by the issuance have been carefully evaluated and are expected to enhance the company's operational capacity [3][12] Group 2: Use of Proceeds - The net proceeds from the issuance will be used for the expansion of blood dialysis membrane and blood dialysis device production, as well as for the development of high-performance blood purification equipment [2][30] - The funds will also be allocated to the renovation of the electronic accelerator sterilization production line and to supplement working capital [2][30] Group 3: Issuance Object and Method - The issuance will target unspecified investors, including natural persons, legal entities, and qualified institutional investors [4][5] - Original shareholders will have priority in the allocation of the convertible bonds, with specific ratios to be determined by the board of directors [5][6] Group 4: Pricing and Adjustment Mechanism - The initial conversion price of the bonds will be based on the average stock price over the previous 20 trading days and the last trading day before the announcement [6][9] - The conversion price will be adjusted in case of stock dividends, new share issuance, or cash dividends [7][8] Group 5: Financial Health and Compliance - The company has maintained a stable financial condition, with asset-liability ratios of 35.33%, 34.31%, and 36.62% for the years 2022, 2023, and 2024 respectively [15][16] - The average distributable profit over the last three years is sufficient to cover the interest on the bonds, ensuring compliance with regulatory requirements [11][12] Group 6: Fairness and Reasonableness of the Issuance - The issuance plan has been thoroughly reviewed by the board and is deemed beneficial for the company's strategic goals and shareholder interests [31][32] - Measures will be taken to mitigate the potential dilution of immediate returns for shareholders [31]