According to the latest news from China Rubber, Dongchen Holding Group Co., Ltd., which has entered the bankruptcy reorganization process, officially began to recruit investors. Its asset manager said in the announcement that it hopes to have strong investors as soon as possible. Save the Dongying enterprise that the parents live in the “Top 500 List”.
The news that Dongchen Group entered the bankruptcy process attracted everyone. This company, which was first established in 1994, can be called “sounding” in Shandong Province. It ranked the top 100 enterprises in Shandong with an annual income of 28 billion in 2017. The 74th and 59th of the top 100 enterprises in Shandong Province were selected as the top 500 private enterprises in China in 2017.
The company is also a private enterprise that invested in the construction of EPDM rubber earlier in China. Its planned investment of 50,000 tons/year of ethylene-propylene rubber project is nearly 1 billion yuan. It is said that the project is based on the solution polymerization process. It is the advanced technology of Italian IPT company.
According to the introduction of Dongchen Group, the company now owns the Shandong Synthetic Rubber Technology Development and Application Engineering Laboratory, and has introduced more than 200 application formulas. Due to the high fortress of EPDM technology, it is currently in short supply and does not exist. Overinvestment.
The Dongchen Group has a number of industrial layouts. In addition to the rubber and chemical business, there are biomedicine, electromechanical equipment, petrochemical, real estate and property services, and the company has certain market influence in various business areas.
Some local people commented that corporate bankruptcy is the result of people who are unwilling to see it, but in order to maximize the protection of the operational value of Dongchen Group's assets, they still hope to promote the process of bankruptcy and reorganization as soon as possible, and let the enterprise return to work as soon as possible. On the right track.
It is understood that due to the huge funding gap, the electromechanical business of the company's subsidiaries has been suspended. The annual production of 50,000 tons of EPDM rubber project was suspended in September last year, and the date of rework of various businesses is difficult to determine.
Why is Dongying’s famous enterprise bankrupt?
"China Rubber" learned that in the early 2018, the company was experiencing problems with the turnover of funds. In June 2018, the equity of thirteen companies under the Dongchen Group was subject to judicial freezing, involving a book value of 1.16 billion yuan. The proportion of net assets is as high as 23.92%.
According to the financial report, the company's performance in 2018 has dropped significantly. The operating income and net profit have decreased by 30.8% and 32.0% respectively compared with 2017. The decline in performance and continuous economic disputes have caused the company to fall into the "internal and external troubles". .
As the rating company lowered the corporate reputation of Dongchen Group, the attitude of the bank to its lending has also changed, making the company's capital turnover become more and more tense, and the debt ratio is getting higher and higher, as of the end of November 2018. The company's total liabilities are 9.856 billion yuan, and the asset-liability ratio is as high as 167%.
It is also said that the Dongchen Group was also bankrupted by the “interconnected mutual insurance” between the Dongying enterprise circles. The enterprises on the guarantee network are often “difficult to be brothers and sisters”. As long as one company has problems, other companies will also Being implicated.