Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jun. 30, 2021 | |
Document and Entity Information [Abstract] | |
Document Type | 6-K |
Document Period End Date | Jun. 30, 2021 |
Entity Registrant Name | Antelope Enterprise Holdings Ltd |
Current Fiscal Year End Date | --12-31 |
Amendment Flag | false |
Entity Central Index Key | 0001470683 |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS | ||
Net sales | ¥ 50,107 | ¥ 39,787 |
Cost of goods sold | (56,610) | (38,848) |
Gross profit (loss) | (6,503) | 939 |
Other income | 7,154 | 9,767 |
Selling and distribution expenses | (3,219) | (5,203) |
Administrative expenses | (17,196) | (14,708) |
Bad debt expense | (49,827) | (101,800) |
Finance costs | (1,094) | (418) |
Other expenses | (77) | 0 |
Loss before taxation | (70,762) | (111,423) |
Income tax expense | 7 | 85 |
Loss attributable to shareholders | (70,769) | (111,508) |
Other comprehensive loss | ||
Exchange differences on translation of financial statements of foreign operations | 76 | (91) |
Total comprehensive loss for the year | ¥ (70,693) | ¥ (111,599) |
Loss per share | ||
Basic (RMB) | ¥ (16.24) | ¥ (40.82) |
Diluted (RMB) | ¥ (16.24) | ¥ (40.82) |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
NONCURRENT ASSETS | ||
Property and equipment, net | ¥ 178 | ¥ 68 |
Right-of-use assets, net | 51,326 | 58,458 |
Total noncurrent assets | 51,504 | 58,526 |
CURRENT ASSETS | ||
Inventories, net | 27,364 | 52,201 |
Trade receivables, net | 58,782 | 101,470 |
Other receivables and prepayments | 7,780 | 845 |
Cash and bank balances | 34,029 | 12,344 |
Total current assets | 127,955 | 166,860 |
CURRENT LIABILITIES | ||
Trade payables | 5,494 | 6,750 |
Accrued liabilities and other payables | 22,927 | 22,846 |
Amounts owed to related parties | 36,348 | 36,348 |
Lease liabilities | 15,423 | 13,431 |
Taxes payable | 620 | 1,934 |
Total current liabilities | 80,812 | 81,309 |
NET CURRENT ASSETS | 47,143 | 85,551 |
NONCURRENT LIABILITIES | ||
Lease liabilities | 30,789 | 46,728 |
Total noncurrent liabilities | 30,789 | 46,728 |
NET ASSETS | 67,858 | 97,349 |
EQUITY | ||
Share capital | 937 | 591 |
Reserves | 66,921 | 96,758 |
Total stockholders' equity | ¥ 67,858 | ¥ 97,349 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - CNY (¥) ¥ in Thousands | Share capital [member] | Share premium [member] | Reverse recapitalization reserve [Member] | Merger reserve [member] | Share-based payment reserves [Member] | Statutory reserve [member] | Capital reserve [member] | Retained Earnings [Member] | Currency translation reserve [member] | Total |
Balance (Previously stated [member]) at Dec. 31, 2019 | ¥ (300,973) | ¥ 272,893 | ||||||||
Balance at Dec. 31, 2019 | ¥ 397 | ¥ 701,944 | ¥ (507,235) | ¥ 58,989 | ¥ 125,042 | ¥ 135,343 | ¥ 61,266 | ¥ (1,880) | ||
Statement Line Items | ||||||||||
Net loss for the year | (111,508) | (111,508) | ||||||||
Exchange difference on transaction of financial statements of foreign operations | (91) | (91) | ||||||||
Total comprehensive loss for the year | (111,508) | (91) | (111,599) | |||||||
Issuance of new shares for equity financing | 100 | 7,988 | 8,088 | |||||||
Equity compensation - employee share-based compensation | 4 | 314 | 318 | |||||||
Balance at Jun. 30, 2020 | 501 | 709,932 | (507,235) | 58,989 | 125,356 | 135,343 | 61,266 | (412,481) | (1,971) | 169,700 |
Balance at Dec. 31, 2020 | 591 | 717,808 | (507,235) | 58,989 | 126,164 | 135,343 | 61,266 | (494,068) | (1,509) | 97,349 |
Statement Line Items | ||||||||||
Net loss for the year | (70,769) | (70,769) | ||||||||
Exchange difference on transaction of financial statements of foreign operations | Previously stated [member] | 76 | |||||||||
Exchange difference on transaction of financial statements of foreign operations | 76 | |||||||||
Total comprehensive loss for the year | (70,769) | 76 | (70,693) | |||||||
Issuance of new shares for equity financing | 233 | 29,744 | 29,977 | |||||||
Warrants exercised | 106 | 10,287 | 10,393 | |||||||
Equity compensation - employee share-based compensation | 7 | 825 | 832 | |||||||
Balance at Jun. 30, 2021 | ¥ 937 | ¥ 757,839 | ¥ (507,235) | ¥ 58,989 | ¥ 126,989 | ¥ 135,343 | ¥ 61,266 | ¥ (564,837) | ¥ (1,433) | ¥ 67,858 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Loss before taxation | ¥ (70,762,000) | ¥ (111,423,000) |
Adjustments for | ||
Operating lease charge | 7,035,000 | 6,279,000 |
Depreciation of property, plant and equipment | 19,000 | 6,000 |
Amortization of prepaid expenses | 0 | 2,800,000 |
Write down of inventories (included in cost of sales) | 0 | |
Bad debt provision of trade receivables | 49,827,000 | 101,800,000 |
Share based compensation | 832,000 | 318,000 |
Interest expense on lease liability | 1,094,000 | 410,000 |
Operating cash flows before working capital changes | (11,955,000) | 190,000 |
Decrease in inventories | 24,837,000 | (21,129,000) |
Increase in trade receivables | (7,139,000) | 39,976,000 |
Decrease (Increase) in other receivables and prepayments | (6,934,000) | (5,473,000) |
Decrease in trade payables | (1,255,000) | (11,206,000) |
Decrease in unearned revenue | 0 | (396,000) |
Increase (decrease) in taxes payable | (1,315,000) | (1,028,000) |
Decrease in accrued liabilities, other payables, and amounts owed to related parties | 82,000 | 393,000 |
Cash generated from (used in) operations | (3,679,000) | 1,327,000 |
Interest paid | 0 | |
Income tax paid | (7,000) | (15,000) |
Net cash generated from (used in) operating activities | (3,686,000) | 1,312,000 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Acquisition of fixed assets | (129,000) | |
Decrease (increase) in restricted cash | 0 | 2,785,000 |
Net cash generated from (used in) investing activities | (129,000) | 2,785,000 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Payment of lease liabilities | (14,963,700) | (14,605,000) |
Insurance of share capital for equity financing | 29,976,000 | 8,089,000 |
Warrants exercised | 10,394,000 | |
Advance from related parties | 0 | 7,780,000 |
Net cash generated from (used in) financing activities | 25,406,000 | 1,264,000 |
NET INCREASE (DECREASE) IN CASH & EQUIVALENTS | 21,591,000 | 5,361,000 |
CASH & EQUIVALENTS, BEGINNING OF YEAR | 12,344,000 | 8,212,000 |
EFFECT OF FOREIGN EXCHANGE RATE DIFFERENCES | 94,000 | (91,000) |
CASH & EQUIVALENTS, END OF YEAR | ¥ 34,029,000 | ¥ 13,482,000 |
GENERAL INFORMATION
GENERAL INFORMATION | 6 Months Ended |
Jun. 30, 2021 | |
GENERAL INFORMATION | |
GENERAL INFORMATION | FOR THE SIX MONTHS ENDED JUNE 30, 2021 (UNAUDITED) 1. GENERAL INFORMATION Antelope Enterprise Holdings Limited (“Antelope Enterprise” or the “Company”), formerly known as China Ceramics Co., Ltd (“CCCL”), is a British Virgin Islands company operating under the BVI Business Companies Act (2004) with its shares listed on the NASDAQ (“symbol: AEHL”). Its predecessor company, China Holdings Acquisition Corp. (“CHAC”), was incorporated in Delaware on June 22, 2007, and was organized as a blank check company for the purpose of acquiring, through a stock exchange, asset acquisition or other similar business combination, or controlling, through contractual arrangements, an operating business, that has its principal operations in Asia. The Company has no operations and has no assets or liabilities of consequence outside its investments in its operating subsidiaries. The head office of the Company is located at Junbing Industrial Zone, Jinjiang City, Fujian Province, the People’s Republic of China (“PRC”). Antelope Enterprise and its subsidiaries’ corporate structure as of June 30, 2021 is as follows: |
BASIS OF PREPARATION AND SUMMAR
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2021 | |
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
CHANGES IN ACCOUNTING POLICIES
CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES | 6 Months Ended |
Jun. 30, 2021 | |
CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES | |
CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES | 3. CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES At the date of authorization of these financial statements, the IASB has issued a number of amendments, new standards and interpretations which are not yet effective for the six months ended June 30, 2021 and which have not been adopted in these financial statements. These include the following which may be relevant to the Group: Amendments to IFRS 3 Reference to the Conceptual Framework (1) Amendments to IAS 16 Property, Plant and Equipment—Proceeds before Intended Use (1) Amendments to IAS 37 Onerous Contracts—Cost of Fulfilling a Contract (1) Amendments to IAS 1 Classification of Liabilities as Current or Non-current (2) Amendments to IFRS 4 Extension of the Temporary Exemption from Applying IFRS 9 (2) Annual Improvements to IFRS Standards 2018-2020 Cycle Amendments to IFRS 1 First-time Adoption of International Financial Reporting Standards, IFRS 9 Financial Instruments, IFRS 16 Leases, and IAS 41 Agriculture (1) 1. Effective for annual periods beginning on or after January 1, 2022 2. Effective for annual periods beginning on or after January 1, 2023 3. The effective date of the amendments has yet to be set by the IASB; however, earlier application of the amendments is permitted The management of the Company anticipate that the application of all the new and amendments to IFRSs will have no material impact on the consolidated financial statements in the foreseeable future. |
CRITICAL ACCOUNTING ESTIMATES A
CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS | 6 Months Ended |
Jun. 30, 2021 | |
CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS | |
CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS | 4. The preparation of interim financial statements in conformity with IAS 34 requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses on a year to date basis. Actual results may differ from these estimates. |
REVENUE AND OTHER INCOME
REVENUE AND OTHER INCOME | 6 Months Ended |
Jun. 30, 2021 | |
REVENUE AND OTHER INCOME | |
REVENUE AND OTHER INCOME | 5. a) An analysis of the Company’s revenue and other income is as follows: For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Revenue Sale of goods 42,186 39,787 Sale of software use rights 7,921 — Other income Interest income 7 37 Other income 5 — Consulting and management income — 2,438 Exchange gain — 149 Rental income 7,142 7,143 b) Segment reporting The Company identifies operating segments and prepares segment information based on the regular internal financial information reported to the Chief Executive Officer and executive directors, who are the Company’s chief operating decision makers for their decisions about the allocation of resources to the Company’s business components and for their review of the performance of those components. All of the Company’s operations are considered by the chief operating decision makers to be aggregated into two reportable operating segments: 1) the manufacture and sale of standard to high-end ceramic tiles, 2) the provision of business management and information system technology consulting services including the sales of software use rights for digital data deposit platforms and asset management systems. Operating segments are defined as components of an enterprise for which separate financial information is available and evaluated regularly by the Company’s chief operating decision makers in deciding how to allocate resources and in assessing performance. The business of the Company is engaged entirely in the PRC. The Chief Executive Officer and executive directors regularly review the Company’s business as one geographical segment. The following table shows the Company’s operations by business segment for the six months ended June 30, 2021 and 2020. For the Six Months Ended June 30, 2021 2020 RMB’000 RMB’000 Revenues Sale of tile products ¥ 42,186 ¥ 39,787 Sale of software use right 7,921 — Total revenues 50,107 39,787 Cost of revenues Sale of tile products 53,790 38,848 Sale of software use right 2,820 — Total cost of revenues 56,610 38,848 Operating costs and expenses Sale of tile products 50,709 112,362 Sale of software use right 1,977 — Others 11,573 — Total operating costs and expenses 64,259 112,362 Loss (income) from operations Sale of tile products 68,094 111,508 Sale of software use right (3,115) — Others 5,790 — Loss from operations 70,769 111,508 As of June 30, 2021 As of December 31, 2020 Segment assets Sale of tile products 134,010 225,386 Sale of software use right 17,956 — Others 27,493 — Total assets 179,459 225,386 |
LOSS BEFORE TAXATION
LOSS BEFORE TAXATION | 6 Months Ended |
Jun. 30, 2021 | |
LOSS BEFORE TAXATION | |
LOSS BEFORE TAXATION | 6 . For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Finance costs Interest expense on lease liability 1,094 410 Bank service charge — 8 Cost of inventories recognized as an expense (including depreciation charge of right-of-use assets for leases) 56,610 38,848 Depreciation of fixed assets 19 6 Depreciation charge of right-of-use assets for leases (included in the administrative expenses) 635 134 Research and development costs 1,017 429 Staff costs (including key management personnel remuneration) 6,627 9,310 For the six months ended June 30, 2021, the cost of inventories recognized as expense included staff costs of RMB 2.4 million (for the six months ended June 30, 2020, this figure was RMB 5.5 million), depreciation and amortization expense (including a depreciation charge of right-of-use assets) of RMB 6.40 million (for the six months ended June 30, 2020, this figure was RMB 6.14 million). |
INCOME TAX
INCOME TAX | 6 Months Ended |
Jun. 30, 2021 | |
INCOME TAX | |
INCOME TAX | 7. For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Current Tax: PRC Income Tax Expense 7 85 Deferred tax expense — — 7 85 British Virgin Islands Profits Tax The Company has not been subject to any taxation in this jurisdiction for the six months ended June 30, 2021 and 2020. Hong Kong Profits Tax The subsidiaries in Hong Kong are subject to tax charged on Hong Kong sourced income with a statutory tax rate of 16.5% for the six months ended June 30, 2021 and 2020. No Hong Kong profits tax has been provided as the Company has no assessable profit arising in Hong Kong for the six months ended June 30, 2021 and 2020. PRC Income Tax Most subsidiaries of the Company in the PRC are subject to the enterprise income tax in accordance with “PRC Enterprise Income Tax Law” (“EIT Law”), and the applicable income tax rate for the six months ended June 30, 2021 and 2020 is 25 %. Both Antelope Holdings (Chengdu) Co., Ltd (“Antelope Chengdu”) and Chengdu Future Talented Management and Consulting Co, Ltd (“Chengdu Future”) are subject to 2.5% and 5% income tax rates, respectively, for the six months ended June 30, 2021 and 2020, respectively. |
LOSS PER SHARE
LOSS PER SHARE | 6 Months Ended |
Jun. 30, 2021 | |
LOSS PER SHARE | |
LOSS PER SHARE | 8. For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Loss attributable to holders of ordinary shares (RMB’000): (70,769) (111,508) Weighted average number of ordinary shares outstanding used in computing basic and diluted earnings per share* 4,357,598 2,731,374 Loss per share - basic (RMB) (16.24) (40.82) Loss per share - diluted (RMB) (16.24) (40.82) * 1) The weighted average number of ordinary shares effected the 3:1 reverse stock split effective on September 3, 2020 2) Warrants to purchase common stock are not included in the diluted loss per share calculations when their effect is antidilutive. For the six months ended June 30, 2021 and 2020, 1,353,157 shares and 635,261 shares, respectively, on a weighted average basis of potential common stock related to outstanding stock warrants were excluded from the calculation of diluted net loss per share as such shares are antidilutive when there is a loss. |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2021 | |
INVENTORIES | |
INVENTORIES | 9 . As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Raw materials 4,919 6,281 Work in progress 1,040 1,040 Finished goods 128,155 151,630 134,114 158,951 Less: Inventory impairment provision (106,750) (106,750) Total 27,364 52,201 The analysis of the amount of inventories recognized as an expense and included in profit or loss is as follows: For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Carrying amount of inventories sold 16,625 43,108 Write down of inventories (included in cost of sales) — — 16,625 43,108 |
TRADE RECEIVABLES
TRADE RECEIVABLES | 6 Months Ended |
Jun. 30, 2021 | |
TRADE RECEIVABLES | |
TRADE RECEIVABLES | 10. TRADE RECEIVABLES As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Trade receivables 754,386 747,247 Less: provision for impairment (695,604) (645,777) 58,782 101,470 The Company’s trade receivables are denominated in Renminbi and are non-interest bearing. An aging analysis of the Company’s trade receivables, based on the invoice date, is as follows: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Within 90 days 18,982 34,309 Between 3 and 6 months 4,935 52,477 More than 6 months 34,865 14,684 58,782 101,470 As of June 30, 2021, the Company is exposed to certain credit risks as 15% and 46% of the total gross trade receivables were due from the Company’s largest and five largest customers, respectively. As of December 31, 2020, the Company is exposed to certain credit risks as 15% and 45% of the total gross trade receivables were due from the Company’s largest and the five largest customers, respectively. |
TRADE PAYABLES
TRADE PAYABLES | 6 Months Ended |
Jun. 30, 2021 | |
TRADE PAYABLES | |
TRADE PAYABLES | 11. As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Trade payables 5,494 6,750 Trade payables are denominated in Renminbi, non-interest bearing and generally settled within 120 |
ACCRUED LIABILITIES AND OTHER P
ACCRUED LIABILITIES AND OTHER PAYABLES | 6 Months Ended |
Jun. 30, 2021 | |
ACCRUED LIABILITIES AND OTHER PAYABLES | |
ACCRUED LIABILITIES AND OTHER PAYABLES | 12. As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Deposits received from distributors 16,200 16,200 Accrued salary 976 871 Accrued rent, electricity and water 1,455 1,352 Accrued other taxes 945 1,042 Others 3,351 3,381 22,927 22,846 The Company usually requests a deposit from RMB 400,000 to RMB 1,000,000 from new distributors upon signing a distributorship agreement as security for the performance of their obligations under the distributorship agreement. Accrued liabilities consist mainly of accrued rental, wages and utility expenses. The carrying value of accrued liabilities and other payables is considered to be a reasonable approximation of fair value. |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2021 | |
LEASES | |
LEASES | 13. (a) Amounts recognized in the consolidated statement of financial position The carrying amounts of right-of-use assets for lease, and lease liabilities are as below: Right-of-use assets RMB’000 Net book amount at January 1, 2021 58,458 Net book amount at June 30, 2021 51,326 Lease liabilities RMB’000 Net book amount at January 1, 2021 (current of 13,431 and non-current of 46,728) 60,159 Net book amount at June 30, 2021 (current of 15,423 and non-current of 30,789) 46,212 (b) Amounts recognized in the consolidated income statement The consolidated income statement shows the following amounts relating to leases: Six months ended June 30 2021 2020 RMB’000 RMB’000 Depreciation charge of right-of-use assets 7,035 6,279 Interest expense 1,094 410 The total cash outflow in financing activities for leases during the six months ended June 30, 2021 and 2020 was RMB 14,963,700 and 14,605,000, respectively. |
SHARE CAPITAL
SHARE CAPITAL | 6 Months Ended |
Jun. 30, 2021 | |
SHARE CAPITAL | |
SHARE CAPITAL | 14 . As of June 30, 2021 December 31, 2020 Number US$ Number US$ of shares ‘000 of shares ‘000 Authorized: Ordinary shares of US$ 0.024 each 50,000,000 1,200 50,000,000 1,200 June 30, 2021 Number RMB of shares ‘000 Outstanding and fully paid: Ordinary shares of US$ 0.024 each At January 1, 2021 3,674,370 591 Issuance of new shares for equity financing 1,502,110 233 Warrants exercised 700,516 106 Issuance of new shares – share-based compensation to CEO and CFO 47,706 7 At June 30, 2021 5,909,525 937 On February 12, 2021, the Company entered into a Securities Purchase Agreement with certain institutional investors for the sale of 588,235 common shares, at a purchase price of $3.57 per share. Concurrently with the sale of the Common Shares, pursuant to the Purchase Agreement the Company also sold warrants to purchase 588,235 common shares. The Company sold the Common Shares and Warrants for aggregate gross proceeds of approximately US$2.1 million, before commissions and expenses. The five-year Warrants will be immediately exercisable at an exercise price equal to $3.57 per share, and will terminate on the five-year anniversary of the initial exercise date of the Warrants. The net proceeds from the transactions will be approximately US$1.86 million, after deducting certain fees due to the placement agent and the Company’s estimated transaction expenses, and will be used for working capital and general corporate purposes. In addition, the Placement Agent of this offering also received five-year warrants (the “Compensation Warrants”) to purchase up to a number of common shares equal to 5% of the aggregate number of shares sold in the Offering, including the warrant shares issuable upon exercise of the Warrants, which such Compensation Warrants have substantially the same terms as the Warrants sold in the Offering, except that such Compensation Warrants have an exercise price of $4.46 per share and will be exercisable six months from the effective date of this offering and will terminate on the five year anniversary of the effective date of this offering. Grant date (investors and placement agent, respectively) February 17, 2021 Share price at date of grant (investors and placement agent, respectively) US$ 4.45 Exercise price at date of grant (investors and placement agent, respectively) US$ 3.57 & 4.46 Volatility 237 % Warrant life 5 years Dividend yield 0 % Risk-free interest rate 0.57 % Average fair value at grant date US$ 3.52 On June 10, 2021, the Company commenced a registered direct offering of securities, and executed a Securities Purchase Agreement (“SPA”) with three institutional accredited investors pursuant to which it sold 913,875 of the Company’s common shares at the per share price of $3.48 (which was priced in excess of the average of the five day closing price for the Company’s common shares preceding execution of the SPA, which was $3.42). In a concurrent private placement, the Company sold to such investors warrants to purchase 913,875 common shares (the “Investor Warrants”). The Investor Warrants have an exercise price per share of $3.42, subject to adjustment, and have a term of five years. The transactions yielded gross proceeds to the Company of $3,180,285, before the payment of commissions and expenses. In addition, the Company issued warrants (the “Placement Agent Warrants”) to the Placement Agent to purchase a number of common shares equal to 5.0% of the aggregate number of shares sold to the investors in this offering, as well as the warrant shares issuable upon exercise of the Warrants issued in the concurrent private placement, as additional placement agency compensation. The Placement Agent Warrants have substantially the same terms as the Investor Warrants, except that the Placement Agent Warrants will have an exercise price of $4.35. Grant date (investors and placement agent, respectively) June 14, 2021 Share price at date of grant (investors and placement agent, respectively) US$ 3.15 Exercise price at date of grant (investors and placement agent, respectively) US$ 3.42 & 4.35 Volatility 256 % Warrant life 5 years Dividend yield 0 % Risk-free interest rate 0.80 % Average fair value at grant date US$ 2.50 Following is a summary of the warrant activity for the six months ended June 30, 2021: Weighted Average Remaining Average Contractual Number of Exercise Term in Warrants Price Years Outstanding at December 31, 2020 980,894 $ 1.21 3.85 Exercisable at December 31, 2020 980,894 1.21 3.85 Issued 1,652,322 3.56 5.00 Exercised 700,516 2.43 — Expired 64,286 18.72 — Outstanding at June 30, 2021 1,868,414 4.00 4.49 Exercisable at June 30, 2021 1,809,590 $ 3.99 4.48 During the six months ended June 30, 2021, a total of 700,516 shares of warrants were exercised into 685,339 shares of the Company’s common stock (of which, 32,677 shares of warrants were exercised cashless into 17,500 common shares) for total proceeds of RMB 10,394,000. From January 1 to June 30, 2021, the Company issued an aggregate of 15,507 shares to its Chief Financial Officer as stock compensation expense. The fair value of 15,507 shares was RMB 288,144. From January 1 to June 30, 2021, the Company issued aggregate of 32,199 shares to its Chief Executive Officer as stock compensation expense. The fair value of 32,199 shares was RMB 537,364. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2021 | |
RELATED PARTY TRANSACTIONS | |
RELATED PARTY TRANSACTIONS | 1 5. Apart from those discussed elsewhere in these condensed consolidated financial statements, the following are significant related party transactions entered into between the Company and its related parties at agreed rates: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Amounts owed to related parties 36,348 36,348 Mr. Huang Jia Dong, the Founder and Chairman of Hengda and the former Chief Executive Officer and one of the directors of the Company, and Mr. Wong Kung Tok, formerly one of the Company’s significant shareholders, provide working capital loans to the Company from time to time during the normal course of its business. These loans amounted to RMB 35,057,000 and RMB 35,057,000 as of June 30, 2021 and December 31, 2020, respectively. These loans are interest free, unsecured and repayable on demand. Mr. Huang and Mr. Wong are brothers-in-law. As of June 30, 2021 and December 31, 2020, the Company had a loan of US$ 167,000 (equivalent to RMB 1,160,000) and US$ 167,000 (equivalent to RMB 1,160,000), respectively, payable to Sound Treasure Limited, an affiliate of Mr. Huang Jia Dong and a shareholder of the Company. This loan is interest free, unsecured and repayable on demand. As of June 30, 2021, and December 31, 2020, the Company had a loan of US $20,000 (equivalent to RMB 131,000) and of US $20,000 (equivalent to RMB 131,000), respectively, payable to Mr. Alex Ng, who is the executive director of the Company. This loan is interest free, unsecured and repayable on demand. |
COMMITMENTS
COMMITMENTS | 6 Months Ended |
Jun. 30, 2021 | |
COMMITMENTS | |
COMMITMENTS | 16 . (a) The Company had several operating leases as of June 30, 2021, including 1) a series of five-year leases of production factories, warehouses and an employees’ hostel in Jingjiang City, Fujian Province, from unrelated parties under non-cancellable operating lease arrangements, 2) a four-year office lease in Chengdu City, Sichuan Province, 3) a 13.5-months lease in Chengdu, Sichuan Province, and 4) a two-year office lease in Hong Kong. These leases have various terms and the total future minimum lease payments of the Company under these non-cancellable operating leases are payable as follows: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Within one year 15,423 13,431 After one year and within five years 30,789 46,728 46,212 60,159 (b) The Company’s capital expenditures consist of expenditures on property, plant and equipment and capital contributions. Capital expenditures contracted for at the balance sheet date but not recognized in the financial statements are as follows: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Contracted for capital commitment with respect to capital contributions to its wholly foreign owned subsidiary in the PRC: Chengdu Future 30,000 30,000 Antelope Chengdu 65,250 65,250 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2021 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | 17. The Company has evaluated all events that have occurred subsequent to June 30, 2021 through the date that the consolidated financial statements were issued. Management has concluded that no subsequent events required disclosure in these financial statements. |
BASIS OF PREPARATION AND SUMM_2
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis of preparation | The accompanying unaudited condensed consolidated interim financial statements have been prepared in accordance with International Accounting Standard (“IAS”) 34 Interim Financial Reporting, as issued by the International Accounting Standards Board (“IASB”). They do not include all of the information required in annual financial statements in accordance with International Financial Reporting Standards (“IFRS”), and should be read in conjunction with the audited consolidated financial statements and related footnotes on Form 20-F for the year ended December 31, 2020 as filed with the Securities and Exchange Commission. The accompanying unaudited condensed consolidated interim financial statements reflect all normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the results for the interim periods presented. Results for the six months ended June 30, 2021 are not necessarily indicative of the results expected for the full fiscal year or for any future period. These interim financial statements are presented in RMB, unless otherwise stated. They were approved for issue by the Audit Committee of the Board of Directors and the Board of Directors on September 30, 2021. These interim financial statements have been prepared in accordance with the same accounting policies adopted in the 2020 annual financial statements, except for the accounting policy changes that are expected to be reflected in the 2021 annual financial statements. Details of any changes in accounting policies are set out in note 3. These interim financial statements contain condensed consolidated financial statements and selected explanatory notes. The notes include an explanation of events and transactions that are significant to an understanding of the changes in financial position and performance of the Group since the 2020 annual financial statements. |
REVENUE AND OTHER INCOME (Table
REVENUE AND OTHER INCOME (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
REVENUE AND OTHER INCOME | |
Schedule of analysis about company's revenue and other income | For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Revenue Sale of goods 42,186 39,787 Sale of software use rights 7,921 — Other income Interest income 7 37 Other income 5 — Consulting and management income — 2,438 Exchange gain — 149 Rental income 7,142 7,143 |
Schedule of operations by business segment | The following table shows the Company’s operations by business segment for the six months ended June 30, 2021 and 2020. For the Six Months Ended June 30, 2021 2020 RMB’000 RMB’000 Revenues Sale of tile products ¥ 42,186 ¥ 39,787 Sale of software use right 7,921 — Total revenues 50,107 39,787 Cost of revenues Sale of tile products 53,790 38,848 Sale of software use right 2,820 — Total cost of revenues 56,610 38,848 Operating costs and expenses Sale of tile products 50,709 112,362 Sale of software use right 1,977 — Others 11,573 — Total operating costs and expenses 64,259 112,362 Loss (income) from operations Sale of tile products 68,094 111,508 Sale of software use right (3,115) — Others 5,790 — Loss from operations 70,769 111,508 As of June 30, 2021 As of December 31, 2020 Segment assets Sale of tile products 134,010 225,386 Sale of software use right 17,956 — Others 27,493 — Total assets 179,459 225,386 |
LOSS BEFORE TAXATION (Tables)
LOSS BEFORE TAXATION (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
LOSS BEFORE TAXATION | |
Schedule of loss before taxation | For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Finance costs Interest expense on lease liability 1,094 410 Bank service charge — 8 Cost of inventories recognized as an expense (including depreciation charge of right-of-use assets for leases) 56,610 38,848 Depreciation of fixed assets 19 6 Depreciation charge of right-of-use assets for leases (included in the administrative expenses) 635 134 Research and development costs 1,017 429 Staff costs (including key management personnel remuneration) 6,627 9,310 |
INCOME TAX (Tables)
INCOME TAX (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
INCOME TAX | |
Schedule of information about income tax expense/(credit) | For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Current Tax: PRC Income Tax Expense 7 85 Deferred tax expense — — 7 85 |
LOSS PER SHARE (Tables)
LOSS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
LOSS PER SHARE | |
Schedule of loss per share | For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Loss attributable to holders of ordinary shares (RMB’000): (70,769) (111,508) Weighted average number of ordinary shares outstanding used in computing basic and diluted earnings per share* 4,357,598 2,731,374 Loss per share - basic (RMB) (16.24) (40.82) Loss per share - diluted (RMB) (16.24) (40.82) * 1) The weighted average number of ordinary shares effected the 3:1 reverse stock split effective on September 3, 2020 2) Warrants to purchase common stock are not included in the diluted loss per share calculations when their effect is antidilutive. For the six months ended June 30, 2021 and 2020, 1,353,157 shares and 635,261 shares, respectively, on a weighted average basis of potential common stock related to outstanding stock warrants were excluded from the calculation of diluted net loss per share as such shares are antidilutive when there is a loss. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
INVENTORIES | |
Schedule of information about inventories | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Raw materials 4,919 6,281 Work in progress 1,040 1,040 Finished goods 128,155 151,630 134,114 158,951 Less: Inventory impairment provision (106,750) (106,750) Total 27,364 52,201 |
Schedule of analysis of the amount of inventories recognized as an expense and included in profit or loss | The analysis of the amount of inventories recognized as an expense and included in profit or loss is as follows: For the six months ended June 30, 2021 2020 RMB’000 RMB’000 Carrying amount of inventories sold 16,625 43,108 Write down of inventories (included in cost of sales) — — 16,625 43,108 |
TRADE RECEIVABLES (Tables)
TRADE RECEIVABLES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
TRADE RECEIVABLES | |
Schedule of information about trade receivables | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Trade receivables 754,386 747,247 Less: provision for impairment (695,604) (645,777) 58,782 101,470 |
Schedule of aging analysis of the Company's trade receivables, based on the invoice date | An aging analysis of the Company’s trade receivables, based on the invoice date, is as follows: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Within 90 days 18,982 34,309 Between 3 and 6 months 4,935 52,477 More than 6 months 34,865 14,684 58,782 101,470 |
TRADE PAYABLES (Tables)
TRADE PAYABLES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
TRADE PAYABLES | |
Schedule of information about trade payables | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Trade payables 5,494 6,750 |
ACCRUED LIABILITIES AND OTHER_2
ACCRUED LIABILITIES AND OTHER PAYABLES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
ACCRUED LIABILITIES AND OTHER PAYABLES | |
Schedule of information about accrued liabilities and other payables | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Deposits received from distributors 16,200 16,200 Accrued salary 976 871 Accrued rent, electricity and water 1,455 1,352 Accrued other taxes 945 1,042 Others 3,351 3,381 22,927 22,846 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
LEASES | |
Summary of carrying amounts of right-of-use assets for lease, and lease liabilities | Right-of-use assets RMB’000 Net book amount at January 1, 2021 58,458 Net book amount at June 30, 2021 51,326 Lease liabilities RMB’000 Net book amount at January 1, 2021 (current of 13,431 and non-current of 46,728) 60,159 Net book amount at June 30, 2021 (current of 15,423 and non-current of 30,789) 46,212 |
Summary of consolidated income statement showing amounts relating to leases | Six months ended June 30 2021 2020 RMB’000 RMB’000 Depreciation charge of right-of-use assets 7,035 6,279 Interest expense 1,094 410 |
SHARE CAPITAL (Tables)
SHARE CAPITAL (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
SHARE CAPITAL | |
Schedule of information about classes of share capital | As of June 30, 2021 December 31, 2020 Number US$ Number US$ of shares ‘000 of shares ‘000 Authorized: Ordinary shares of US$ 0.024 each 50,000,000 1,200 50,000,000 1,200 June 30, 2021 Number RMB of shares ‘000 Outstanding and fully paid: Ordinary shares of US$ 0.024 each At January 1, 2021 3,674,370 591 Issuance of new shares for equity financing 1,502,110 233 Warrants exercised 700,516 106 Issuance of new shares – share-based compensation to CEO and CFO 47,706 7 At June 30, 2021 5,909,525 937 |
Schedule of fair value of other than equity instrument explanatory | Grant date (investors and placement agent, respectively) February 17, 2021 Share price at date of grant (investors and placement agent, respectively) US$ 4.45 Exercise price at date of grant (investors and placement agent, respectively) US$ 3.57 & 4.46 Volatility 237 % Warrant life 5 years Dividend yield 0 % Risk-free interest rate 0.57 % Average fair value at grant date US$ 3.52 Grant date (investors and placement agent, respectively) June 14, 2021 Share price at date of grant (investors and placement agent, respectively) US$ 3.15 Exercise price at date of grant (investors and placement agent, respectively) US$ 3.42 & 4.35 Volatility 256 % Warrant life 5 years Dividend yield 0 % Risk-free interest rate 0.80 % Average fair value at grant date US$ 2.50 |
Schedule of summary of the warrant activity | Weighted Average Remaining Average Contractual Number of Exercise Term in Warrants Price Years Outstanding at December 31, 2020 980,894 $ 1.21 3.85 Exercisable at December 31, 2020 980,894 1.21 3.85 Issued 1,652,322 3.56 5.00 Exercised 700,516 2.43 — Expired 64,286 18.72 — Outstanding at June 30, 2021 1,868,414 4.00 4.49 Exercisable at June 30, 2021 1,809,590 $ 3.99 4.48 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
RELATED PARTY TRANSACTIONS | |
Schedule of significant related party transactions | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Amounts owed to related parties 36,348 36,348 |
COMMITMENTS (Tables)
COMMITMENTS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
COMMITMENTS | |
Schedule of total future minimum lease payments | The Company had several operating leases as of June 30, 2021, including 1) a series of five-year leases of production factories, warehouses and an employees’ hostel in Jingjiang City, Fujian Province, from unrelated parties under non-cancellable operating lease arrangements, 2) a four-year office lease in Chengdu City, Sichuan Province, 3) a 13.5-months lease in Chengdu, Sichuan Province, and 4) a two-year office lease in Hong Kong. These leases have various terms and the total future minimum lease payments of the Company under these non-cancellable operating leases are payable as follows: As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Within one year 15,423 13,431 After one year and within five years 30,789 46,728 46,212 60,159 |
Schedule of capital expenditures contracted for at the balance sheet date but not recognized | As of June 30, 2021 December 31, 2020 RMB’000 RMB’000 Contracted for capital commitment with respect to capital contributions to its wholly foreign owned subsidiary in the PRC: Chengdu Future 30,000 30,000 Antelope Chengdu 65,250 65,250 |
REVENUE AND OTHER INCOME (Detai
REVENUE AND OTHER INCOME (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue | ||
Sale of goods | ¥ 42,186 | ¥ 39,787 |
Sale of software use rights | 7,921 | 0 |
Other income | ||
Interest income | 7 | 37 |
Other income | 5 | 0 |
Consulting and management income | 0 | 2,438 |
Exchange gain | 0 | 149 |
Rental income | ¥ 7,142 | ¥ 7,143 |
REVENUE AND OTHER INCOME - Oper
REVENUE AND OTHER INCOME - Operations by business segment (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Disclosure Of Operating Segments (Line Items) | |||
Total revenues | ¥ 50,107 | ¥ 39,787 | |
Total cost of revenues | 56,610 | 38,848 | |
Operating segments | Revenues | |||
Disclosure Of Operating Segments (Line Items) | |||
Total revenues | 50,107 | 39,787 | |
Operating segments | Revenues | Sale of tile products | |||
Disclosure Of Operating Segments (Line Items) | |||
Total revenues | 42,186 | 39,787 | |
Operating segments | Revenues | Sale of software use right | |||
Disclosure Of Operating Segments (Line Items) | |||
Total revenues | 7,921 | ||
Operating segments | Cost of revenues | |||
Disclosure Of Operating Segments (Line Items) | |||
Total cost of revenues | 56,610 | 38,848 | |
Operating segments | Cost of revenues | Sale of tile products | |||
Disclosure Of Operating Segments (Line Items) | |||
Total cost of revenues | 53,790 | 38,848 | |
Operating segments | Cost of revenues | Sale of software use right | |||
Disclosure Of Operating Segments (Line Items) | |||
Total cost of revenues | 2,820 | ||
Operating segments | Operating costs and expenses | |||
Disclosure Of Operating Segments (Line Items) | |||
Total operating costs and expenses | 64,259 | 112,362 | |
Operating segments | Operating costs and expenses | Sale of tile products | |||
Disclosure Of Operating Segments (Line Items) | |||
Total operating costs and expenses | 50,709 | 112,362 | |
Operating segments | Operating costs and expenses | Sale of software use right | |||
Disclosure Of Operating Segments (Line Items) | |||
Total operating costs and expenses | 1,977 | ||
Operating segments | Operating costs and expenses | Other | |||
Disclosure Of Operating Segments (Line Items) | |||
Total operating costs and expenses | 11,573 | ||
Operating segments | Loss (income) from operations | |||
Disclosure Of Operating Segments (Line Items) | |||
Loss (income) from operations | 70,769 | 111,508 | |
Operating segments | Loss (income) from operations | Sale of tile products | |||
Disclosure Of Operating Segments (Line Items) | |||
Loss (income) from operations | 68,094 | ¥ 111,508 | |
Operating segments | Loss (income) from operations | Sale of software use right | |||
Disclosure Of Operating Segments (Line Items) | |||
Loss (income) from operations | (3,115) | ||
Operating segments | Loss (income) from operations | Other | |||
Disclosure Of Operating Segments (Line Items) | |||
Loss (income) from operations | 5,790 | ||
Operating segments | Segment assets | |||
Disclosure Of Operating Segments (Line Items) | |||
Total assets | 179,459 | ¥ 225,386 | |
Operating segments | Segment assets | Sale of tile products | |||
Disclosure Of Operating Segments (Line Items) | |||
Total assets | 134,010 | ¥ 225,386 | |
Operating segments | Segment assets | Sale of software use right | |||
Disclosure Of Operating Segments (Line Items) | |||
Total assets | 17,956 | ||
Operating segments | Segment assets | Other | |||
Disclosure Of Operating Segments (Line Items) | |||
Total assets | ¥ 27,493 |
LOSS BEFORE TAXATION (Details)
LOSS BEFORE TAXATION (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
LOSS BEFORE TAXATION | ||
Bank service charge | ¥ 0 | ¥ 8 |
Cost of inventories recognized as an expense (including depreciation charge of right-of-use assets for leases) | 56,610 | 38,848 |
Depreciation of fixed assets | 19 | 6 |
Depreciation charge of right-of-use assets for leases (included in the administrative expenses) | 635 | 134 |
Research and development costs | 1,017 | 429 |
Staff costs (including key management personnel remuneration) | 6,627 | 9,310 |
Income Statement Locations | ||
LOSS BEFORE TAXATION | ||
Interest expense on lease liability | 1,094 | 410 |
Depreciation charge of right-of-use assets for leases (included in the administrative expenses) | ¥ 7,035 | ¥ 6,279 |
LOSS BEFORE TAXATION - Addition
LOSS BEFORE TAXATION - Additional Information - (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
LOSS BEFORE TAXATION | ||
Inventory impairment provision | ¥ 2,400 | ¥ 5,500 |
Depreciation and amortisation expense | ¥ 6,400 | ¥ 6,140 |
INCOME TAX (Details)
INCOME TAX (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Current Tax: | ||
PRC Income Tax Expense | ¥ 7 | ¥ 85 |
Deferred tax expense | 0 | |
Tax expense (income), continuing operations | ¥ 7 | ¥ 85 |
INCOME TAX - Additional Informa
INCOME TAX - Additional Information (Details) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Hong Kong | ||
Disclosure Of Income Tax Expense Credit [Line Items] | ||
Applicable tax rate | 16.50% | 16.50% |
PRC | ||
Disclosure Of Income Tax Expense Credit [Line Items] | ||
Applicable tax rate | 25.00% | 25.00% |
PRC | Antelope Holdings (Chengdu) Co., Ltd | ||
Disclosure Of Income Tax Expense Credit [Line Items] | ||
Applicable tax rate | 2.50% | |
PRC | Chengdu Future Talented Management and Consulting Co, Ltd | ||
Disclosure Of Income Tax Expense Credit [Line Items] | ||
Applicable tax rate | 5.00% |
LOSS PER SHARE (Details)
LOSS PER SHARE (Details) - ¥ / shares | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
LOSS PER SHARE | ||
Loss attributable to holders of ordinary shares | (70,769,000) | (111,508,000) |
Weighted average number of ordinary shares outstanding used in computing basic and diluted earnings per share | 4,357,598 | 2,731,374 |
Loss per share - basic (RMB) | ¥ (16.24) | ¥ (40.82) |
Loss per share - diluted (RMB) | ¥ (16.24) | ¥ (40.82) |
LOSS PER SHARE - Additional inf
LOSS PER SHARE - Additional information (Details) | Sep. 03, 2020 | Jun. 30, 2021shares | Jun. 30, 2020shares |
Earnings per share [line items] | |||
Reverse stock split | 3 | ||
Purchase common stock | |||
Earnings per share [line items] | |||
Shares excluded from the calculation of diluted net loss per share as such shares are antidilutive | 1,353,157 | 635,261 |
INVENTORIES (Details)
INVENTORIES (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Disclosure Of INVENTORIES [Line Items] | ||
Raw materials | ¥ 4,919 | ¥ 6,281 |
Work in progress | 1,040 | 1,040 |
Finished goods | 128,155 | 151,630 |
Inventories | 27,364 | 52,201 |
Inventory gross | ||
Disclosure Of INVENTORIES [Line Items] | ||
Inventories | 134,114 | 158,951 |
Impairment provision | ||
Disclosure Of INVENTORIES [Line Items] | ||
Inventories | ¥ (106,750) | ¥ (106,750) |
INVENTORIES - Amount of invento
INVENTORIES - Amount of inventories recognized as an expense and included in profit or loss (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
INVENTORIES | ||
Carrying amount of inventories sold | ¥ 16,625 | ¥ 43,108 |
Write down of inventories (included in cost of sales) | 0 | |
Costs Of Sales | ¥ 16,625 | ¥ 43,108 |
TRADE RECEIVABLES (Details)
TRADE RECEIVABLES (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
TRADE RECEIVABLES | |||
Trade receivables | ¥ 754,386 | ¥ 747,247 | |
Less: provision for impairment | ¥ (695,604) | (645,777) | |
Current trade receivables | ¥ 58,782 | ¥ 101,470 |
TRADE RECEIVABLES - An aging an
TRADE RECEIVABLES - An aging analysis of the Company's trade receivables (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Current trade receivables | ¥ 58,782 | ¥ 101,470 |
Within 90 days | ||
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Current trade receivables | 18,982 | 34,309 |
Between 3 and 6 months | ||
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Current trade receivables | 4,935 | 52,477 |
More than 6 months | ||
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Current trade receivables | ¥ 34,865 | ¥ 14,684 |
TRADE RECEIVABLES - Additional
TRADE RECEIVABLES - Additional Information (Details) | Jun. 30, 2021 | Dec. 31, 2020 |
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Expected credit loss rate | 15.00% | 15.00% |
Five Largest Customers [Member] | ||
Disclosure Of TRADE RECEIVABLES [Line Items] | ||
Expected credit loss rate | 46.00% | 45.00% |
TRADE PAYABLES (Details)
TRADE PAYABLES (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
TRADE PAYABLES | ||
Trade payables | ¥ 5,494 | ¥ 6,750 |
Term for Settlement of Trade Payables | 120 days |
ACCRUED LIABILITIES AND OTHER_3
ACCRUED LIABILITIES AND OTHER PAYABLES (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
ACCRUED LIABILITIES AND OTHER PAYABLES | ||
Deposits received from distributors | ¥ 16,200 | ¥ 16,200 |
Accrued salary | 976 | 871 |
Accrued rent, electricity and water | 1,455 | 1,352 |
Accrued other taxes | 945 | 1,042 |
Others | 3,351 | 3,381 |
Current accrued expenses and other current liabilities | ¥ 22,927 | ¥ 22,846 |
ACCRUED LIABILITIES AND OTHER_4
ACCRUED LIABILITIES AND OTHER PAYABLES - Additional Information (Details) - CNY (¥) | Jun. 30, 2021 | Dec. 31, 2020 |
Disclosure Of ACCRUED LIABILITIES AND OTHER PAYABLES [Line Items] | ||
Deposits received from distributors | ¥ 16,200,000 | ¥ 16,200,000 |
Minimum | ||
Disclosure Of ACCRUED LIABILITIES AND OTHER PAYABLES [Line Items] | ||
Deposits received from distributors | 400,000 | |
Maximum | ||
Disclosure Of ACCRUED LIABILITIES AND OTHER PAYABLES [Line Items] | ||
Deposits received from distributors | ¥ 1,000,000 |
LEASES (Details)
LEASES (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
LEASES | ||
Right-of-use assets | ¥ 51,326 | ¥ 58,458 |
Lease liabilities | 46,212 | 60,159 |
Lease liabilities - current | 15,423 | 13,431 |
Lease liabilities ? noncurrent | ¥ 30,789 | ¥ 46,728 |
LEASES - Consolidated income st
LEASES - Consolidated income statement (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Depreciation charge of right-of-use assets | ¥ 635 | ¥ 134 |
Income Statement Locations | ||
Depreciation charge of right-of-use assets | 7,035 | 6,279 |
Interest expense | ¥ 1,094 | ¥ 410 |
LEASES - Additional information
LEASES - Additional information (Details) - CNY (¥) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
LEASES | ||
Payments of lease liabilities, classified as financing activities | ¥ 14,963,700 | ¥ 14,605,000 |
SHARE CAPITAL- Classes of Share
SHARE CAPITAL- Classes of Share Capital (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021CNY (¥)shares | Jun. 30, 2021USD ($)$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | |
Disclosure Of SHARE CAPITAL [Line Items] | |||
Number of shares authorised | 50,000,000 | 50,000,000 | |
Value of Shares authorised | $ | $ 1,200 | $ 1,200 | |
Par value per share | $ / shares | $ 0.024 | $ 0.024 | |
Issued capital | ¥ | ¥ 591 | ||
Issuance of new shares | ¥ | 233 | ||
Warrants exercised | ¥ | 10,393 | ||
Equity compensation | ¥ | 7 | ||
Issued capital | ¥ | ¥ 937 | ||
Balance | 3,674,370 | ||
Issuance of new shares (in shares) | 1,502,110 | ||
Warrants exercised (in shares) | 685,339 | ||
Issuance of new shares ? share-based compensation to CEO and CFO (in shares) | 47,706 | ||
Ending Balance (in shares) | 5,909,525 | ||
Share capital [member] | |||
Disclosure Of SHARE CAPITAL [Line Items] | |||
Warrants exercised | ¥ | ¥ 106 | ||
Warrants exercised (in shares) | 700,516 |
SHARE CAPITAL- Principal assump
SHARE CAPITAL- Principal assumptions used in the valuation (Details) | Jun. 14, 2021CNY (¥)$ / shares | Feb. 17, 2021CNY (¥)$ / shares | Feb. 12, 2021 | Jun. 30, 2021CNY (¥) |
Disclosure Of SHARE CAPITAL [Line Items] | ||||
Grant date | Jun. 14, 2021 | Feb. 17, 2021 | ||
Share price at date of grant | 3.15 | 4.45 | 1,652,322 | |
Volatility | 256.00% | 237.00% | ||
Warrant life | 5 years | 5 years | 5 years | |
Dividend yield | 0.00% | 0.00% | ||
Risk-free interest rate | 0.80% | 0.57% | ||
Fair value at grant date | ¥ | ¥ 2.50 | ¥ 3.52 | ||
Minimum | ||||
Disclosure Of SHARE CAPITAL [Line Items] | ||||
Exercise price at date of grant | ¥ 3.42 | ¥ 3.57 | ||
Maximum | ||||
Disclosure Of SHARE CAPITAL [Line Items] | ||||
Exercise price at date of grant | ¥ 4.35 | ¥ 4.46 |
SHARE CAPITAL- Summary of warra
SHARE CAPITAL- Summary of warrant activity (Details) | Jun. 14, 2021$ / shares | Feb. 17, 2021 | Jun. 30, 2021CNY (¥)$ / shares | Dec. 31, 2020CNY (¥)$ / shares |
SHARE CAPITAL | ||||
Outstanding at the beginning | ¥ | 980,894 | |||
Exercisable at the beginning | ¥ | 980,894 | |||
Granted | 3.15 | 4.45 | 1,652,322 | |
Exercised | ¥ | 700,516 | |||
Expired | ¥ | 64,286 | |||
Outstanding at the end | ¥ | 1,868,414 | 980,894 | ||
Exercisable at the end | ¥ | 1,809,590 | 980,894 | ||
Weighted average exercise price of other equity instruments outstanding at beginning of period | $ 1.21 | |||
Weighted average exercise price of other equity instruments exercisable at beginning of period | 1.21 | |||
Weighted average exercise price, Granted | 3.56 | |||
Weighted average exercise price, Exercised | 2.43 | |||
Weighted average exercise price, Expired | 18.72 | |||
Weighted average exercise price of other equity instruments outstanding at end of period | 4 | $ 1.21 | ||
Weighted average exercise price of other equity instruments exercisable at end of period | $ 3.99 | $ 1.21 | ||
Weighted average remaining contractual term, exercisable at the end (in years) | 4 years 5 months 23 days | 3 years 10 months 6 days | ||
Weighted average remaining contractual term, Granted | 5 years | |||
Weighted average remaining contractual term, outstanding at the end (in years) | 4 years 5 months 26 days | 3 years 10 months 6 days |
SHARE CAPITAL- Additional infor
SHARE CAPITAL- Additional information (Details) | Jun. 14, 2021 | Jun. 10, 2021USD ($)$ / sharesshares | Feb. 17, 2021 | Feb. 12, 2021USD ($)$ / sharesshares | Jun. 30, 2021CNY (¥)shares |
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Aggregate the number of share sale | 588,235 | ||||
Purchase price of per share | $ / shares | $ 3.57 | ||||
Warrants to purchase shares of common stock | 588,235 | ||||
Gross Proceeds from pricing of public offering | $ | $ 2,100,000 | ||||
Warrant life | 5 years | 5 years | 5 years | ||
Proceeds from offering | $ | $ 1,860,000 | ||||
Percentage of aggregate number of shares sold in offering | 5.00% | ||||
Warrants exercise price per share | $ / shares | $ 4.46 | ||||
Warrants exercised | 700,516 | ||||
Warrants exercised (in shares) | 685,339 | ||||
Number of Warrants Exercised Cashless | 32,677 | ||||
Shares issued upon cashless exercise of warrants | 17,500 | ||||
Proceeds From Exercise Of Warrants | ¥ | ¥ 10,394,000 | ||||
Chief Executive Officer | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Aggregate of warrants | 32,199 | ||||
Fair value of shares issued | ¥ | ¥ 537,364 | ||||
Chief Financial Officer | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Aggregate of warrants | 15,507 | ||||
Fair value of shares issued | ¥ | ¥ 288,144 | ||||
Investor Warrants | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Warrants to purchase shares of common stock | 913,875 | ||||
Warrant life | 5 years | ||||
Proceeds from offering | $ | $ 3,180,285 | ||||
Warrants exercise price per share | $ / shares | $ 3.42 | ||||
Placement Agent Warrants | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Percentage of aggregate number of shares sold in offering | 5.00% | ||||
Warrants exercise price per share | $ / shares | $ 4.35 | ||||
Securities Purchase Agreement | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Purchase price of per share | $ / shares | $ 3.48 | ||||
Number Of Institutional Accredited Investors | 3 | ||||
Number of shares issued | 913,875 | ||||
Securities Purchase Agreement | Investor Warrants | |||||
Disclosure Of SHARE CAPITAL [Line Items] | |||||
Closing Price For Common Shares Preceding Execution Of SPA | $ / shares | $ 3.42 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
RELATED PARTY TRANSACTIONS | ||
Amounts owed to related parties | ¥ 36,348 | ¥ 36,348 |
RELATED PARTY TRANSACTIONS - Ad
RELATED PARTY TRANSACTIONS - Additional Information (Details) | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021CNY (¥) | Dec. 31, 2020CNY (¥) | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Wong Kung Tok [Member] | ||||
Disclosure Of SIGNIFICANT RELATED PARTY TRANSACTIONS [Line Items] | ||||
Proceeds from borrowings, classified as financing activities | ¥ 35,057,000 | ¥ 35,057,000 | ||
Sound Treasure Limited [Member] | ||||
Disclosure Of SIGNIFICANT RELATED PARTY TRANSACTIONS [Line Items] | ||||
Borrowings | 1,160,000 | 1,160,000 | $ 167,000 | $ 167,000 |
Alex Ng [Member] | ||||
Disclosure Of SIGNIFICANT RELATED PARTY TRANSACTIONS [Line Items] | ||||
Borrowings | ¥ 131,000,000 | ¥ 131,000,000 | $ 20,000,000 | $ 20,000,000 |
COMMITMENTS - Operating lease c
COMMITMENTS - Operating lease commitments (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Disclosure of commitments [Line Items] | ||
Operating lease commitments | ¥ 46,212 | ¥ 60,159 |
Not later than one month [member] | ||
Disclosure of commitments [Line Items] | ||
Operating lease commitments | 15,423 | 13,431 |
After one year and within five years | ||
Disclosure of commitments [Line Items] | ||
Operating lease commitments | ¥ 30,789 | ¥ 46,728 |
COMMITMENTS - Capital commitmen
COMMITMENTS - Capital commitments expenditures contracted (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Chengdu Future Talented Management and Consulting Co, Ltd | ||
Disclosure of commitments [Line Items] | ||
Contractual capital commitments | ¥ 30,000 | ¥ 30,000 |
Antelope Holdings (Chengdu) Co., Ltd | ||
Disclosure of commitments [Line Items] | ||
Lease liabilities | ¥ 65,250 | ¥ 65,250 |
COMMITMENTS - Additional Inform
COMMITMENTS - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2021 | |
Chengdu [Member] | |
Disclosure of commitments [Line Items] | |
Operating leases, term | 13 months 15 days |
Production factories, warehouses and employees hostel | Jingjiang City [Member] | |
Disclosure of commitments [Line Items] | |
Operating leases, term | 5 years |
Office Equipment [Member] | Chengdu [Member] | |
Disclosure of commitments [Line Items] | |
Operating leases, term | 4 years |
Office Equipment [Member] | Hong Kong | |
Disclosure of commitments [Line Items] | |
Operating leases, term | 2 years |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands | Jun. 14, 2021 | Feb. 17, 2021 | Feb. 12, 2021USD ($)$ / sharesshares | Jun. 30, 2021CNY (¥) | Jun. 30, 2020CNY (¥) |
SUBSEQUENT EVENTS | |||||
Value of shares to be issued | ¥ | ¥ 29,977 | ¥ 8,088 | |||
Aggregate the number of share sale | shares | 588,235 | ||||
Warrants to purchase shares of common stock | shares | 588,235 | ||||
Gross Proceeds from pricing of public offering | $ | $ 2,100 | ||||
Warrants term | 5 years | 5 years | 5 years | ||
Warrants exercise price per share | $ / shares | $ 4.46 | ||||
Net proceeds for sale of common shares and warrants after deducting certain fees due to the placement agent and the Company's estimated transaction expenses | $ | $ 1,860 | ||||
Percentage of aggregate number of shares sold in offering | 5.00% |