7 On July 7, Weilong Shares disclosed that it planned to transfer the Coomealla Vineyard and Nyah Vineyard in Australia and the accompanying assets through an agreement with BoroniaFarms (Aus) P/L ATF Boronia Farms Unit Trust and Nyah Vineyards Pty LtdATF Nyah Vineyards Unit Trust, the transfer price is approximately 66.06 million yuan.
As for the reason for the transfer, Weilong shares said that the sale of the vineyard meets the company's need to optimize its asset structure, effectively returns funds, improves the efficiency of asset operations, provides financial support for the company's production and operation development, and has a positive impact on the company's financial status. , in line with the company's long-term development strategy, and will not have any adverse impact on the company's normal production and operations. According to the announcement,
disclosed that the average annual output of the vineyards under this transaction is approximately 8,260 tons, accounting for approximately 76% of the entire annual grape output of the Australian subsidiary.
Among them, the first subject of the transaction is the Coomealla vineyard, with a total purchase amount of A$2.6645 million and an area of 167.55 hectares. Currently, it can produce normally. In the last year, it produced 4,036 tons of wine grapes and processed raw wine in the company's own winery. The Nyah vineyard and assets, the subject of this transaction, were purchased in September 2016 with a transaction price of A$4.4481 million and an area of 260.41 hectares. The asset was put into use in October 2016 and depreciation began to be provided for 5.5 years. It is currently in normal production, with an output of 4,119 tons of wine grapes in the most recent year, and raw wine is processed in the company's own winery.
Weilong Shares pointed out in the announcement that the company’s Australian winery has approximately 23,000 tons of inventory, and 88% of the tank capacity has been occupied. Due to the impact of the market and international environment, in the next year, the amount imported back to China or sold in Australia will There is no guarantee that enough tanks will be emptied for the processing of next year's grapes. Therefore, selling vineyard assets now can greatly alleviate the operating and financial pressure of the Australian subsidiary, reduce the company's debt, and reduce operating risks; if the market or international situation improves, the existing inventory of the Australian subsidiary can satisfy the head office. Raw material demand over the next two years. Subsequently, the Australian subsidiary can maintain ongoing operations by purchasing wine grapes locally.
