Polylactic acid (PLA) has extremely high technical barriers and huge market space. HNJD Biotechnology Group will have a place in this field.
In April this year, HNJD was successfully listed on the Shenzhen Stock Exchange. Of the 442 million yuan raised, 52,621,800 yuan was used for the construction of a new biodegradable material project with an annual output of 10,000 tons of polylactic acid, which is expected to be completed in 12 months.
China's largest production capacity of lactic acid and salt
HNJD was established in 2006. The company is a high-tech enterprise focusing on R&D, production and sales of lactic acid and its series of products. The current main products include various grades of lactic acid and calcium lactate, sodium lactate and lactate.
HNJD currently has 128,000 tons of lactic acid and salt production capacity, including 105,000 tons of L-lactic acid and 23,000 tons of lactate. The company is the largest in China and a major global manufacturer, with a domestic market share of more than 60% , The global market share reached 18.34%. At present, the global lactic acid production capacity is about 750,000 tons. The other two companies with a capacity of more than 100,000 tons are Corbion-Purac from the Netherlands and Nature Works from the United States.
After more than 30 years of exploration, innovation and accumulation, HNJD's lactic acid and its derivatives are currently in the leading position in the production and sales scale, and the products are sold to more than 80 countries and regions in the world.
HNJD has established a national-level enterprise technology center, a national-level post-doctoral research station, a national-level CNAS laboratory, a national-level joint engineering laboratory, a provincial-level lactic acid biological new material academician workstation and other technology research and development platforms, and has achieved many research and development results. Among them, "L-lactic acid industrialization key technology and application" won the second prize of China's National Science and Technology Progress Award, and has 28 invention patents. The overall production technology of lactic acid and series products is at the advanced level in the industry and has a strong international Core competitiveness.
Zhang Peng, chairman of HNJD, said that for many years, the company has adhered to the development direction of fine and deep processing of grain, adopted modern biotechnology, continuously improved the level of science and technology, expanded the scale of the enterprise, and embarked on a new path of industrial development in plain and agricultural areas and became a national high-tech enterprise , National innovative pilot enterprise, national key leading enterprise of agricultural industrialization.
Enter PLA to create new profit points
In recent years, HNJD has maintained a continuous growth trend in terms of operating income and net profit. From 2017 to 2019, the company achieved operating income of 652 million yuan, 802 million yuan and 878 million yuan, and realized net profits of 47.796 million yuan and 8318.82 respectively Ten thousand yuan and 113 million yuan.
In the first half of 2020, HNJD's operating income was 473 million yuan, a year-on-year increase of 14.5%; the net profit attributable to shareholders of listed companies was approximately 65,387,700 yuan, a year-on-year increase of 13.81%.
HNJD is a leading company in China's lactic acid industry, extending its industrial chain into the PLA industry, creating new profit points and opening up more space. It is expected to achieve revenue of 961 million yuan, 1.24 billion yuan and 1.587 billion yuan in 2020-2022, and realize net profits of 166 million yuan, 242 million yuan and 349 million yuan attributable to the parent, with a year-on-year growth rate of 44.26%, 45.82%, and 44.10%.
HNJD plans to publicly issue 28.3 million shares and raise 442 million yuan for the project with an annual output of 50,000 tons of high-gloss pure L-lactic acid, a project with an annual output of 10,000 tons of polylactic acid biodegradable new materials and supplementary working capital. Among them, the annual production of 10,000 tons of polylactic acid biodegradable new materials project raised funds of 52,621,800 yuan, which is expected to be completed in 12 months.
Through the implementation of fundraising projects, HNJD will further enrich the company's product line and help enhance the company's profitability and future development potential.
Polylactic acid, also known as polylactide, is produced by dehydration and polymerization of lactic acid as a monomer. It is currently the most mature industrialized, largest output, most widely used, and lowest cost bio-based degradable plastic. Lactic acid can use renewable biomass such as corn, cassava, and straw as raw materials. It has a wide range of sources and is renewable. After PLA is used, it can be composted and degraded into CO2 and water, realizing the cycle in nature. PLA is the main increase in the demand for lactic acid in the future. Calculations show that only domestic demand will form millions of tons, and the global replacement space will reach the order of ten million tons, with huge potential.
PLA has extremely high barriers, and lactide is the technical bottleneck. High-purity and high-gloss-purity lactic acid raw materials are the basis of PLA synthesis. The production of intermediate lactide is the core of the PLA synthesis process, and it is also a technical bottleneck faced by Chinese domestic enterprises. Due to the difficulty of the process, the development of China's PLA industry is restricted.
The global potential demand for PLA reaches 6.51 million tons, and China also has a demand of 1.7 million tons. At present, the global production capacity is 330,000 tons, and the output is about 200,000 tons, mainly supplied by two foreign companies.
At present, HNJD has completed a 500-ton pilot project, and 10,000-ton lactide capacity is under construction and commissioning. At the same time, the raised investment project plans 50,000-ton high-gloss pure lactic acid and 10,000-ton polylactic acid production capacity, which will become the company's strategy in the field of new materials. layout.
HNJD lactic acid production has been at full capacity. In the first half of this year, the sales volume of lactic acid used for polylactic acid increased by more than 100% year-on-year.
In the future, the global market demand for polylactic acid will grow at an annual rate of about 10%. By 2023, the global demand for polylactic acid is expected to exceed 300,000 tons, far exceeding the 3% to 4% growth rate of the lactic acid market except polylactic acid. The company plans to strengthen the research and development of high-end lactic acid products, polylactic acid and diversified downstream products of lactic acid on the basis of existing business, and further expand the international market.