1. Report Industry Investment Rating No information provided in the report. 2. Core Viewpoints of the Report - This week, the convertible bond market experienced an obvious style shift, with the TMT sectors like computer, media, and communication cooling off, while the power equipment sector led the rise, and photovoltaic convertible bonds performed brightly. The valuation of debt - oriented convertible bonds was firm, outperforming equity - oriented ones. With the market rising in a volatile manner, the valuation in the 130 - 140 yuan parity range was significantly weak due to strong redemption expectations. The convertible bonds lagged behind the underlying stocks, with their gains less than half of the underlying stocks. Indicators such as the median convertible bond price, the premium rate per hundred yuan, and the yield to maturity have returned to the upper edge of the oscillation range since September. If they can break through effectively, the short - term upward trend of convertible bonds is expected to be strengthened [2][3]. 3. Summary by Relevant Catalogs 3.1 Convertible Bond Valuation - The convertible bond premium rate per hundred yuan is still in an oscillating trend, within the range of 2 times the standard deviation above and below the 250 - day average. As of the latest, with outliers retained, the market - wide convertible bond premium rate per hundred yuan is 35.7%, down 0.1% week - on - week, and the latest percentile is at the 93.8% percentile since 2017 [2][4]. - Compared with last week, the valuations of debt - oriented and low - parity convertible bonds were stronger, with both the conversion premium rate and the bottom - support premium rate rising, and prices slightly increasing. The valuations of equity - oriented and high - parity convertible bonds were weaker, with the conversion premium rate oscillating downward. The valuation in the 130 - 140 yuan parity range declined significantly, and its historical percentile was significantly lower than other parity ranges [2][8]. - This week, the median convertible bond price and the yield to maturity were reported at 133.30 yuan and - 6.82% respectively, changing by + 0.96 yuan and - 0.18% week - on - week. Their current percentile levels are at the 99.80% and 0.30% percentiles since 2017 [2][13]. 3.2 Clause Tracking 3.2.1 Redemption - This week, Qibin Convertible Bond announced redemption, and Fenggong Convertible Bond announced non - redemption, with a strong redemption rate of 50%. Currently, there are 12 convertible bonds that have issued strong redemption or maturity redemption announcements but have not delisted. Among the non - delisted convertible bonds, the potential conversion or maturity balance of strongly redeemed and matured convertible bonds is 6 billion yuan. There are currently 40 convertible bonds in the redemption process, and 9 are expected to meet the redemption conditions next week [2][17][20]. 3.2.2 Downward Revision - This week, Aidi Convertible Bond proposed a downward revision. As of the latest, 98 convertible bonds are in the non - downward - revision period, 20 cannot be downward - revised due to net asset constraints, 2 have triggered the condition and the stock price is still below the downward - revision trigger price but no announcement has been made, 31 are accumulating downward - revision days, and 4 have issued board proposals for downward revision but have not held a general meeting of shareholders [2][22]. 3.2.3 Put Option - This week, no convertible bond issued a conditional put option announcement. As of the latest, 7 convertible bonds are accumulating put - option trigger days, among which 1 proposed a downward revision, 1 has triggered the downward - revision condition, and 5 are in the non - downward - revision period [2][25]. 3.3 Primary Issuance - This week, no convertible bond issued an issuance announcement. Qizhong Convertible Bond and Zhuomei Convertible Bond have been issued and are waiting for listing. As of the latest, there are 7 convertible bonds at the approval - for - registration stage, with a to - be - issued scale of 6.9 billion yuan; and 7 at the listing - committee - approval stage, with a to - be - issued scale of 6.3 billion yuan [2][27].

Group 1 - A new IPO subscription rule has led to wealthy individuals waking up early to compete for shares, indicating a highly competitive environment [1] - Several brokerage firms attempted to subscribe before 9:15 AM but faced challenges, highlighting the intense competition in the market [1] Group 2 - New Hope plans to establish a new rural development company in collaboration with two national-level funds [3] - Recent announcements regarding convertible bonds include the non-strong redemption of Fenggong Convertible Bond [4] - The North Exchange has new IPO listings, and several companies are in the process of subscription [3] Group 3 - Key data on convertible bonds includes various bonds with their current prices, redemption prices, last trading dates, and conversion values [6][8] - Specific convertible bonds such as Chunqiu Convertible Bond and Sheng24 Convertible Bond have been detailed with their respective financial metrics [6][8]

Core Points - Hengfeng Tools announced that its stock has met the conditions for the conditional redemption of its convertible bonds, "Fenggong Convertible Bonds," based on the closing price exceeding 130% of the conversion price [1] - The company’s board of directors decided not to exercise the early redemption rights for the "Fenggong Convertible Bonds" and will not redeem them in the next three months [1] - Future evaluations regarding the exercise of early redemption rights will be conducted after February 6, 2026, if the conditions are triggered again [1] Summary by Sections - **Company Announcement** - Hengfeng Tools issued a notice on November 6, stating that from October 17 to November 6, 2025, the stock price met the criteria for conditional redemption [1] - **Board Decision** - The board held its 17th meeting and resolved not to redeem the "Fenggong Convertible Bonds" early [1] - **Future Considerations** - The company will reassess the situation after February 6, 2026, regarding the potential exercise of early redemption rights if the conditions are met again [1]

Group 1 - Shareholders of Hongbo New Materials plan to reduce their holdings by no more than 3% of the company's shares [1] - Shareholders of Ruihua Tai plan to reduce their holdings by no more than 1% of the company's shares [1] - Trina Solar has signed a memorandum of cooperation with Pacific Green for a 5GWh grid-level battery energy storage system [1] Group 2 - The subscription for Zhuomei Convertible Bonds will open on November 7 [1] - Dapeng Industrial is a new stock available for subscription on the Beijing Stock Exchange [1] Group 3 - The table provides details on various convertible bonds, including their redemption prices, current prices, last trading dates, and conversion values [2][4]

Core Viewpoint - Hengfeng Tools announced that from October 17, 2025, to October 30, 2025, its stock price has closed at or above 130% of the current conversion price of the "Fenggong Convertible Bonds," which is 31.45 yuan per share [1] Summary by Sections - The company stated that if the conditional redemption clause of the "Fenggong Convertible Bonds" is triggered in the future, it has the right to redeem all or part of the unconverted convertible bonds at the bond's face value plus accrued interest [1]

Group 1 - The convertible bond of Fenggong experienced a decline of 2.13%, trading at 164.75 yuan per share, with a transaction volume of 58.7965 million yuan and a conversion premium rate of 9.42% [1] - The credit rating of Fenggong's convertible bond is "A+", with a maturity of 6 years and a tiered coupon rate starting from 0.20% in the first year to 2.50% in the sixth year [1] - The conversion price for the bond is set at 24.19 yuan, with the conversion period beginning on July 25, 2024 [1] Group 2 - Hengfeng Tool Co., Ltd. has nearly 30 years of continuous R&D and investment, leading the Chinese cutting tool industry with multiple records [2] - The company has contributed to high-end manufacturing sectors, successfully replacing imported products for major projects like large aircraft and gas turbines [2] - For the first half of 2025, Hengfeng reported a revenue of 337.6 million yuan, an increase of 17.71% year-on-year, and a net profit of 75.5394 million yuan, up 18.25% year-on-year [2] - As of June 2025, the concentration of shareholding is high, with the top ten shareholders holding 74.71% of shares and the top ten circulating shareholders holding 69.69% [2]

Group 1: Financial Performance - In the first half of 2025, the company achieved total revenue of 337.63 million yuan, a year-on-year increase of 17.71% [1] - The net profit attributable to shareholders was 75.54 million yuan, reflecting an 18.25% year-on-year growth [1] - The company aims for a consolidated revenue target of over 680 million yuan for the full year of 2025 [1] Group 2: Market Segmentation - The automotive parts sector accounts for 50% to 60% of the company's product applications, including new energy vehicles, fuel vehicles, and commercial vehicles [2] - Precision machinery, including smart drive applications, represents approximately 15% of the market [2] - Aerospace, power generation, and wind power equipment sectors also contribute around 15% [2] - The shipbuilding, steel structure, and rail transit sectors make up about 10% [2] Group 3: Investment Projects - The total investment for the "Annual Production of 1.5 Million Precision Cutting Tools" project is 466.83 million yuan, with 175.89 million yuan already invested, indicating a progress rate of 37.68% as of June 30, 2025 [3] - The production capacity will gradually be released as equipment is received and accepted [3] Group 4: Raw Material Costs - The company is facing rising prices for key materials such as high-performance high-speed steel and hard alloys due to market supply and demand dynamics [3] - Strategies include strengthening supplier partnerships and centralized procurement to mitigate cost impacts [3] Group 5: Robotics Sector Development - The company has provided initial development and trial services to over 10 humanoid robot component manufacturers, focusing on gear tools and precision threading tools [4] - Current demand for tools in the humanoid robot sector is low, and significant impacts on overall performance are not expected in the short term [4] Group 6: Convertible Bonds - As of August 18, 2025, the controlling shareholder holds 900,000 convertible bonds [4] - The company has decided not to exercise early redemption rights for the convertible bonds, even if conditions for redemption are met in the next three months [4]

Group 1 - The core viewpoint of the news is that Hengfeng Tools has demonstrated significant growth in revenue and net profit, indicating a strong performance in the high-end manufacturing sector [2] - Hengfeng Tools has achieved a revenue of 148.6 million yuan for the first quarter of 2025, representing a year-on-year increase of 19.1% [2] - The net profit attributable to shareholders for the same period is 28.29 million yuan, showing an increase of 8.26% year-on-year [2] Group 2 - Hengfeng Tools has a concentrated shareholder structure, with the top ten shareholders holding a combined 75.85% of the shares [2] - The company has successfully replaced imported products in high-end manufacturing, contributing to significant projects such as large aircraft and gas turbines [2] - The convertible bond issued by Hengfeng Tools has a credit rating of "A+" and a total term of 6 years, with a conversion price set at 24.19 yuan [1]

Group 1 - The core viewpoint of the news is that Hengfeng Tool Co., Ltd. has shown significant growth in revenue and profit, indicating a strong performance in the high-end manufacturing sector [2] - Hengfeng Tool has achieved a revenue of 148.6 million yuan for the period from January to March 2025, representing a year-on-year increase of 19.1% [2] - The net profit attributable to shareholders for the same period is 28.29 million yuan, reflecting an increase of 8.26% year-on-year [2] Group 2 - Hengfeng Tool's convertible bond, with a credit rating of "A+", has seen a price increase of 2.04% to 167.274 yuan per bond, with a trading volume of 61.6692 million yuan [1] - The bond has a conversion premium rate of 10.01%, and the conversion price is set at 24.19 yuan, with the conversion period starting on July 25, 2024 [1] - The bond's interest rates increase progressively over its six-year term, starting from 0.20% in the first year to 2.50% in the sixth year [1]

Group 1 - The core viewpoint of the news is the performance and characteristics of Fenggong Convertible Bonds, which have seen a price increase and a specific premium rate [1] - Fenggong Convertible Bonds have a credit rating of "A+" and a maturity period of 6 years, with a tiered coupon rate starting from 0.20% in the first year to 2.50% in the sixth year [1] - The conversion price for the bonds is set at 24.19 yuan, with the conversion period starting on July 25, 2024 [1] Group 2 - Hengfeng Tools Co., Ltd. has been a leader in the Chinese cutting tool industry for nearly 30 years, known for high-quality products and innovation [2] - The company reported a revenue of 148.6 million yuan for the first quarter of 2025, representing a year-on-year increase of 19.1%, with a net profit of 28.29 million yuan, up 8.26% year-on-year [2] - As of March 2025, the concentration of shareholding is high, with the top ten shareholders holding 75.85% of shares, and the top ten circulating shareholders holding 71.06% [2]