Main points of investment:
Event: on September 2, 2022, the company announced that shareholders Anshan Iron and Steel and Angang Group signed a "non-public share transfer Agreement" on the same day. Anshan Iron and Steel transferred its 928 million shares of V-Ti unlimited tradable shares in Panzhihua Iron and Steel Group by non-public agreement transfer, accounting for 10.8% of the total V-Ti share capital of Panzhihua Iron and Steel Co., with a transfer price of RMB 5.59 per share and a transfer amount of 5.193 billion yuan.
After the completion of this transfer, Angang Group will directly hold the equity of the company, and the ownership structure will be clearer. Anshan Iron and Steel is a wholly-owned subsidiary of Anshan Iron and Steel Group, this agreement transfer belongs to the internal transfer of different subjects under the same control, and does not belong to the act of increasing or reducing holdings. After completion, Anshan Iron and Steel Group will still be the actual controller of the listed company, and will hold 10.8% of the company directly and 52.61% of the company through indirect shareholding.
The group pays more attention to the vanadium and titanium industry and aims to make the vanadium and titanium industry the third pole of the group. According to the official website of Angang Group, in July 2022, Tan Chengxu, party committee secretary and chairman of Angang Group, conducted a survey in Panzhihua Iron and Steel Group and stressed the need to speed up the construction of the group's "double core + third pole" industrial development pattern. We will unswervingly cultivate the vanadium and titanium industry into the third pole for future development.
Under the strategic planning of the third pole of the vanadium and titanium industry, the company, as the only listed target of the group in the vanadium and titanium industry, is expected to get greater support from the group in the future, and further speed up the integration of internal resources and the layout of the upstream and downstream of the vanadium and titanium industry chain.
Policy catalysis vanadium battery industry scale acceleration, multi-layout vanadium battery energy storage field, the industry development ushered in historical opportunities, emotion is expected to continue to ferment. At the end of June 22, the National Energy Administration issued a policy focusing on the safety of electric energy storage, which is beneficial to the technology path of all-vanadium flow battery with the highest safety. The development of vanadium battery has been accelerated under the catalysis of policy. Since August, many companies have been speeding up the layout. For example, Jianlong Steel plans to cooperate with China Vanadium Union to build a 600MW vanadium battery production line project. The project is expected to start construction in the second half of the year, with a total investment of 2.88 billion yuan and annual energy storage scale of 2.5GWh. Yongtai Energy plans to cooperate with Hyde to set up a subsidiary to invest in the construction of 30MW/30MWh vanadium battery energy storage and frequency modulation project while acquiring 25 million tons of vanadium ore resources. A number of companies in the field of vanadium battery layout, and the actual promotion of the project, the vanadium battery industry is expected to usher in a period of rapid development, the mood is expected to continue to ferment.
Investment analysis opinion: when the group completes the equity transfer, it is expected to increase the support to the vanadium and titanium industry and the company; at the same time, as the leader of vanadium and titanium resources, the company not only mastered the technology of self-developed vanadium battery electrolyte, but also has deep cooperation with Dalian Rongke, the leader of vanadium battery, under the background of accelerated scale of vanadium battery industry, it is expected to fully benefit from both resources and electrolyte links. We keep the company's original profit forecast unchanged, the EPS for 22-24 is 0.28,0.31 and 0.33 respectively, and the current stock price corresponds to 20,18 and 17 times the PE for 22-24. Maintain a "buy" rating.
Risk hint: the scale progress of vanadium battery industry is not as expected; other energy storage technologies develop faster than expected, affecting the permeability of vanadium battery in the field of energy storage.
