Sunflower Pharmaceutical uses 600 million yuan of idle proprietary funds to purchase financial products and increase capital returns.

Data from Zhongfang.com
Kuaishou Pharmaceutical Group Co., Ltd. recently announced the latest developments in its cash management using idle funds. According to the announcement, the company used a total of 600 million RMB of idle funds to purchase financial products issued by four banks. Specifically, it bought 200 million RMB of fixed-income financial products from Industrial Bank, 100 million RMB of open fixed-income financial products from CITIC Bank, 100 million RMB of fixed-income financial plans from China Merchants Bank, and 200 million RMB of fixed-income financial products from China Minsheng Bank. The expected annualized yields for these financial products range from 1.95% to 2.5%.

This cash management operation was authorized by the company’s Fifth Board of Directors, Sixth Meeting, Fourth Supervisory Committee, and the 2024 Annual Shareholders’ Meeting. The relevant resolutions permit the company to use up to 2 billion RMB of idle funds for cash management, valid for 12 months from the date of shareholder approval, with rolling use permitted. The chairman is authorized to make decisions within the specified period and limit, with the finance department responsible for specific implementation.

The company stated that this move is a financial arrangement made to improve the utilization efficiency of idle funds and increase returns, while ensuring the needs and safety of daily operating funds. The company has established corresponding risk control measures, carefully selected investment products, and emphasized that this will not significantly impact the company’s production and operations, nor harm the interests of the company and shareholders. The announcement also disclosed that as of the announcement date, the outstanding balance of idle funds used for cash management was 1.85 billion RMB.