Incident: A “Letter of Intent for Equity Investment” was signed with Yue Yifeng, Chen Houjun, Yue Xiaoling, Yue Peng, and Liu Rui to acquire 40% of the 100% shares of Chengdu Yihui Network Technology Co., Ltd. held by five people, and the company will become the largest shareholder of Yihui Network. Comment: 1) The licensing network that Wanfang Development plans to participate in is based on the Internet pharmaceutical side. Early participation in the licensing network, preliminary layout in the Internet medical field, and construction of a pharmaceutical side. The license is mainly engaged in Internet solutions and supporting operations in the pharmaceutical retail industry, Internet drug trading platform construction (B2C model), medical and health system portal construction, supporting software development, etc.; the operation includes Sinopharm Health Network (B2C platform), pharmacy network (Internet drug information service platform integrating pharmaceuticals, online pharmacists, nearby physical pharmacies, pharmacy information display), and pharmacy membership apps, covering about 15% of retail pharmacy terminals nationwide. 2) As a third-party service provider, Yihui Network uses WeChat WiFi and micropayment platforms and China Telecom's ITV media platform to seize patient traffic, and has initially entered the WeChat WIFI and public account construction of West China No. 2 Hospital (that is, West China Maternal and Child Hospital in Sichuan Province, ranked first in the “China Best Hospital Ranking” for 3 consecutive years), bundling the hospital's core business and mobile medical applications to develop doctors' resources through information-based software. In the future, it will enable micropayment (the company receives commissions from it), and online medical doctor-patient interaction. Build a complete online medical terminal. The current business module of Yihui Network is divided into two categories: 1. Using WeChat WIFI diversion to build a hospital WeChat public account, it will launch services such as registration, medical guidance, and electronic medical records in the future. At the same time, it has gradually entered the hospital payment system with the MicroPay platform. 2. Joining hands with the Sichuan Telecom ITV media platform, it is expected that a home telemedicine system will be built in the future. In the first phase, existing medical teaching images in hospitals will be launched, and it is expected that registration, caregiver appointments, and online doctor follow-up medical treatment will be realized in the future. Through a mobile Internet medical platform based on a three-layer software and hardware architecture, smart TVs, PCs, PADs, phones, and intelligent medical devices can be embedded in normal medical services, and a new medical concept of “self-management of health, online questioning of minor illnesses, and personalization of doctors” is realized. The core team of Yihui Network consists of a senior Internet practitioner team, senior hardware technical experts, and senior medical experts. It has both Internet, hardware technology, and medical capabilities, which is conducive to the development of the Internet medical business. 3) Wanfang's strategic acquisition of Yihuan Network complements the advantages of Yixiang Network and builds a complete Internet medical platform. It is expected that it will continue to enter the medical field in the future. The core value of Yihui Network is to import patient traffic and introduce online resources for hospitals and doctors. On this basis, the company is expected to open up the core Internet medical model of “control end - diversion - monetization” by integrating the pharmaceutical resources of the early shareholding license network. In the future, it is expected that the pharmaceutical e-commerce (B2C model) business field and the Internet medical service (B2C, O20 model) will collaborate and gradually improve the Internet health industry chain. Valuation Rating: A typical example of the company's transformation from real estate to pharmaceuticals, breaking through industry development bottlenecks, opening up room for growth, and enjoying high premiums. EPS is expected to be 0.01 yuan, 0.02 yuan, and 0.03 yuan respectively in 15-17, giving an increase in holdings ratings. Risk warning: I-FAN product promotion progress falls short of expectations