Jiangsu Flag Chemical Industry Co Ltd

Zhongqi Shares disclosed its 2026 plan for a private A-share placement to specific investors, aiming to issue up to 144 million shares to no more than 35 specific investors, including one of its actual controllers, Wu Yaojun. The total funds raised will not exceed 640 million yuan. Wu Yaojun intends to subscribe for no less than 50 million yuan, accepting the market-based pricing results. His subscribed shares will be locked up for 36 months, while shares subscribed by other investors will be locked up for 6 months. After deducting issuance expenses, the proceeds will be allocated as follows: 106 million yuan for an annual output of 3,400 tons of new pesticide technical material project, 55 million yuan for an annual output of 1,300 tons of new pesticide technical material project, 120 million yuan for an annual output of 15,500 tons of new pesticide technical material project, 60 million yuan for an annual output of 1,300 tons of pesticide project, 40 million yuan for a research and development center upgrade project, 69 million yuan for a novel pesticide product development and registration project, and the remaining 190 million yuan to supplement working capital. The company reported a net loss attributable to the parent of 191 million yuan in 2025 and did not distribute cash dividends that year. In 2024, net profit attributable to the parent was 11.721 million yuan, with a cash dividend of 0.5 yuan per 10 shares. In 2023, net profit attributable to the parent was 192 million yuan, with a cash dividend of 1.2 yuan per 10 shares. As of the end of March 2026, the company's accounts receivable stood at 619 million yuan, and inventory book value was 734 million yuan.