It is planned to establish a new base for rice seed research, production and sales in Changsha.
Recently, Hunan Agricultural University Jinnong completed a strategic investment of 5 million by Fengle Seed Industry. According to Hexun Financial Information, Fengle Seed Industry (000713.SZ): Acquired a 31.5% stake in Huanan Jinnong at an estimated price of RMB4.9964 million. After the acquisition, the company will hold 82.5% equity in Hunan Jinnong. In 2016, Fengle Seeds signed a contract to acquire a 51% stake in Hunan Nongda Jinnong Seed Industry Co., Ltd., and Nongda Jinnong became a subsidiary of Fengle Seed Industry.
Nongda Jinnong is an agricultural technology service provider. The predecessor of the company is the Hunan Seed Service Center of Hunan Agricultural University. It has more than 20 years of seed production and management foundation. According to its official website, Nongda Jinnong now owns more than ten varieties with independent intellectual property rights or exclusive development rights. The follow-up variety resources include C Liangyou 919, Chuangliangyou Jasmine, Chuangliangyou 926, selected by breeder Professor Chen Liyun. Chuangliangyou 858, Luliangyou 4026, C Liangyou 755, Shenyou 513, etc., have been widely promoted in production, and have the advantages of high resistance and stable production, suitable for light and simplified cultivation models. In 2019, its product “Shenyou 513” was recognized as a green super rice. In production and R & D, Nongda Jinnong relies on Hunan Nongda as a science and technology support, with agricultural colleges and universities in Research institutes establish scientific research cooperation.
Hefei Fengle Seed Industry Co., Ltd., which has been listed on the A shares, is hailed as the first seed industry in China, and its current asset scale is 680 million yuan. Since Fengle Seeds invested in Nongda Jinnong in 2016, Hunan Nongda Jinnong has integrated rice variety technical resources and established a complete sales channel. The additional investment objective of this round of Fengle Seed Industry for Nongda Jinnong is to continue to expand the layout of the rice seed industry, plan to establish a new base for rice seed research, production and sales in Changsha, and expand the market share of hybrid rice in southern China.