Business Plan
Strictly Confidential
|
|
Business Plan |
Legal Representative: Mr. Luo Tianrong
Address: No.34, Wenyuan Lane, Taiyuan, Shanxi
Post Code: 030001
Tel: 0351-4046677
Fax: 0351-4073572
Shanxi Four High Nanotechnology Co., Ltd.
September 2001
Contents
I. Executive Summary *
Product and Service *
Current Application Fields and Customers *
Core Technology *
Production Facilities and Capacities *
History and Milestones *
Briefing on Development Prospects *
Competitive Advantages and Uniqueness *
Shares Offered and Use of Proceeds *
Summary Financial Data *
II. Industry Analysis and Market Opportunities *
Nanomaterial Industry *
Market Characteristics of Nano Zinc Oxide *
Analysis on Global and Domestic Zinc Oxide Markets *
Analysis on Global and Domestic Nano Zinc Oxide Markets *
Analysis on Production of Zinc Oxide *
Analysis on Production of Nano Zinc Oxide *
Application Segments and Price Trend *
Marketing Characteristics and Distribution Channels *
Analysis on Competition Conditions *
Major Nano Zinc Oxide Producers *
III. Corporate Business and Operation *
Business Overview *
Products and Services *
Current Major Applications and Markets *
Current Major Clients *
Uniqueness of Products *
Comparison among Production Processes *
The Company's Technology *
Production Processes, Equipment and Facilities *
Research and Development *
Intellectual Properties and Proprietary Know-how *
Marketing and Globalization Strategy *
Staff and Human Resource Management *
Laws, Government Regulations and Industry Policies *
Lawsuits Involved *
IV. Growth Strategy and Development Goals *
Business Model *
Competitive Advantages and Uniqueness *
Growth Strategy *
Strategy Implementation *
Analysis on Target Markets *
Development Planning and Goals *
Development Schedule *
V. Organization and Management *
Organization Structure Chart *
Senior Management *
Introduction to Senior Management *
Expert Advisory Board *
Strategic Decision Committee *
Board of Directors *
Board of Supervisors *
Major Shareholders and Equity Changes *
VI. Financing Plan and Use of Proceeds *
BOD Decision on Equity Financing *
Financing Plan *
Financing Fees *
Detailed Description of Use of Proceeds *
VII. Risk Factors *
VIII. Rewards on Investment *
Appendix *
Shanxi Four High Nanometer Technology Company Limited is a leading nanomaterial application processing solution provider and nanomaterial producer and supplier.
We are committed to provide industrial customers with nanomaterials and application-processing solutions to help them lower cost, improve processing and strengthen the value-added products. But we do not stop there. We work together with our clients as their partner to help them to obtain and maintain the long-term competitive advantage.
We provide industrial customers with nanomaterial application processing solution.
As nano zinc oxide is a kind of new material, relevant technical application problems need to be solved whenever a brand-new application field is being developed. We work together with our clients to analyze the characteristics of the application system and the properties and functions of the nanomaterials so as to help the clients work out their processing ways and implement the production trials.
This procedure is the step to provide clients with the nanomaterial application processing solution, which improves the clients’ production processing and realize the nano zinc oxide’s effective application in their products.
We directly produce nano zinc oxide particles and sell to industrial customers.
The Nano ZnO we produced is of high content, low impurity, big specific surface area (10-130m2/g), and ultra fine particles (10-100nm).The content of Arsenic and Manganese is less than 1 ppm. As per customer's requests, we can also supply different functional products.
On the basis of specific application field and system, we supply different Nano ZnO after compounding and surface modifying, and produce Nano ZnO powder and emulsion. We solve all technical problems so as to help the clients apply efficiently.
Current Application Fields and Customers
The main procedures of the processing:
Coarse ZnO dissolve in NH3·H2O and (NH4)HCO3 →de-impurity →filter →evaporate ammonia(NH3,CO2recycling) →crystalline of zinc subcarbonate →wash+filter →dry+calcinate ＝nano scale zinc oxide
The technology was applied successfully in the commercial production in 1998 and applied for patent protection in the same year with the patent publication number of CN1210813A. The patent was awarded on August 17, 2001.
In March 2000, the experts organized by the Shanxi Provincial Science and Technology Authority carried out the appraisal on the technology. They recognized that “the production processing is a breakthrough comparing to the current domestic production technology and the properties of the products, which are at a leading position on the domestic market, are obviously better than those of the ones available currently.
Production Facilities and Capacities
Our production processing special equipment is supplied by domestic certified chemical equipment manufacturers. The production procedures can be accurately controlled according to the technical specifications and the products can satisfy all industry standard requirements.
In July 2001, the production line capable to produce 3000-ton nano zinc oxide annually was completed. Being in trial period, the line is the largest industrial equipment for ammonia immersion method in respect of scale in China.
|
1989 |
Initial stage, Jishan County Welfare Chemical Plant was founded |
|
1992 |
Began to research and develop nano zinc oxide technology |
|
1998 |
Succeeded after 7 years of R&D, and applied for invention patent |
|
1999 |
Began to produce in large scale and sell commercial nano zinc oxide |
|
1999 |
Patent application publicized, our proprietary 氨浸法 nano zinc oxide production processing began to gain the State patent protection |
|
2000.03 |
Acquired the Certificate for Shanxi Provincial Key New Product |
|
2000.03 |
Jishan County Welfare Chemical Plant was written off, Jishan Four High Company was founded with registered capital of RMB 15m |
|
2000.05 |
Obtained the Certificate for National Key New Product issued by the Ministry of Science and Technology, and the 3000 ton Project was approved by Yuncheng City Economic and Trade Commission |
|
2001.03 |
Shanxi Four High was founded with registered capital of RMB 22.6m |
|
2001.03 |
The Expert Advisory Committee founded, headed by Professor Zhang Gaoyong, a member of Chinese Academy of Engineering and Dean of China Consumer Chemical Research Institute |
|
2001.06 |
State Economic and Trade Commission listed our 8000-ton production line on the National Key Technology Innovation Program in 2001. The Strategic Decision Committee founded, headed by Professor Wei Jie of Tsinghua University and Professor Liu Wei of Peking University |
|
2001.06 |
Taiyuan Chemical Stock Company invested RMB 10.8m and our registered capital increased to RMB 28.6m |
|
2001.07 |
Professor Zhang Lide, Chief Scientist of National “973” Program, visited the Company. He confirmed our domestic leading position in nano zinc oxide production and became Vice Director of the Expert Advisory Committee. The 3000-ton Project was completed and began trial. |
|
2001.08 |
State Development and Planning Commission listed our 30000 ton Project on the National High-tech Industry Development Program and Approved its building. Seven series of products such as skin-care，antibacterial and insulator passed initial trial and customer appraisal began. |
Briefing on Development Prospects
General Stages
2001-2002: Growth Period;
2002-2006: Swift Development Period;
2006-2010: Stable Development Period;
2010-: Relatively Mature Period
The general characteristics of different stages are reflected in the development of sales volume and sales revenue in the following chart.
|
|
|
Competitive Advantages and Uniqueness
Solid Collaborative Relationships
We have established partnerships with industry leaders in many application fields in order to guarantee the close connection between our R&D and the market, and effectively shorten the time to market.
Low Cost
Based on our leading technology and process engineering, we believe our production cost is less than that of any domestic competitive rivals. The scale of our 3000-ton nano zinc oxide production line is currently the largest in China.
First Mover Advantage
Our scale production and commercial sale experiences of nearly 3 years will keep the production cost lowered continuously. Even if our unique processing were imitated by the competitive rivals, we would keep at two years of cost leading advantage. The collaborative relationships we established with our clients will be the entry barrier for the followers.
Leading Technology
Our patented Nano scale Zinc Oxide Produced by Ammonic Process is a leading technology recognized by the domestic nanomaterial academic circles and the industry. This patented technology together with our proprietary technology of “multi-modification” made a solid foundation for our successive innovation to satisfy the demands of our industrial customers.
Shares Offered and Use of Proceeds
