The announcement shows that the total investment of the project is expected to be about 1.0-1.5 billion yuan, with a project land area of 300 acres. The company's wholly-owned subsidiary or the company's absolute holding company (holding more than 50% of the shares) established in Nanchang will be used for the construction of the industrial base. The first-phase factory construction area is 100,000 square meters. And the company promises to achieve an annual output value of 1.5 billion yuan within 3 years after reaching full production capacity. At the same time, the Nanchang Airport Economic Zone Management Committee has reserved 300 acres of industrial land for the company for three years. The company will decide on industrial investment based on the construction and development situation.
The cooperation agreement requires that the Nanchang Airport Economic Zone Management Committee provide a total of 100 million yuan in incentive support funds, which will be awarded to the company in three years based on the rate of achieving the target output value of 1.5 billion yuan each year. In addition, no more than 30% of the relevant production equipment purchased by the Nanchang project company will be subsidized, with the total amount not exceeding 100 million yuan. At the same time, when the company builds an LED experience hall in the industrial park, the Nanchang Airport Economic Zone Management Committee will provide a special subsidy of 50% of the total investment and a total amount of no more than 20 million yuan.
The Nanchang Municipal People's Government promises to provide the company and its Nanchang project company with a procurement quota of no less than RMB 500 million for application products within the jurisdiction within two years. The Nanchang Airport Economic Zone Management Committee will provide a subsidy of 30% of the chip sales price to the company and its Nanchang project company for using Nanchang local LED chip products.
Hongli Optoelectronics expects to start construction within two months after the land transfer contract comes into effect, the land meets the conditions for starting construction, and all design drawings and plans are completed. All construction, interior decoration and equipment installation will be completed and officially put into production in about a year. After all production is reached, the annual output value will be 1.5 billion yuan within 3 years. It is reported that the Nanchang Airport Economic Zone Management Committee has reserved 300 acres of industrial land for the company for three years, and the company will decide on industrial investment based on the construction and development situation. If the project can be successfully completed and put into operation, it will further expand the company's production and operation scale and enhance the company's risk resistance and profitability.
ANNA