listed companies need financing every day, but as for financing, "I didn't have a choice before, but now I want to borrow some money at a low interest rate, and it's better not to pay it back".

convertible bonds perfectly meet this demand of the company.

On the evening of May 18th, 221, Huaxing Yuanchuang announced that the total amount of convertible corporate bonds to be issued should not exceed RMB 8 million, which will be used for the production base of precision testing and assembly automation equipment (Phase I); Production base of precision inspection and assembly automation equipment (Phase II); R&D and industrialization project of the next generation flat panel display detection equipment; Industrialization project of semiconductor SIP chip test equipment and supplementary liquidity.

firstly, issuing convertible bonds can enable companies to obtain lower-cost debt financing. Most convertible bonds have a low coupon rate and are issued at parity. This determines that the actual financing cost of convertible bonds is low.

At the same time of low-cost financing, it is equivalent to issuing additional shares to future convertible investors. Listed companies have obtained delayed and efficient equity financing.