Under the tuyere of new energy vehicles, Matsui plans to raise 620 million yuan to expand the production of automotive paints

The company plans to issue convertible bonds to unspecified objects with a total amount of funds raised no more than 620 million yuan. After deducting issuance expenses, 442 million yuan will be used for automotive coatings and special resin projects (Phase I), and 179 million yuan will be used to supplement working capital.

The automotive coatings and special resin project (Phase I) will be implemented by the newly established wholly-owned subsidiary Hunan Matsui Surface Functional Materials Co., Ltd. The project construction site is located in the High-tech Industrial Development Zone of You County, Zhuzhou City, Hunan Province. The project is constructed in two phases. The raised funds will be dedicated to the first phase of the project, with a total investment of 594.4601 million yuan, and the proposed use of the raised funds will not exceed 441.500 million yuan. Once the project is completed, Matsui will have an annual production capacity of 33,000 tons of automotive coatings and supporting special resins, thereby further improving and optimizing the existing industrial layout and business structure, and enhancing the company's comprehensive competitiveness and brand influence.

Matsui Co., Ltd. said that the project is mainly based on water-based automotive coatings, which is in line with the development trend of the industry and just seizing the strategic opportunity period and industry popularity period for the development of new energy vehicles in China and the environmental protection of passenger automobile coatings. This move is expected to help the company grow its business rapidly.