The company initiated targeted additional distribution, raised capital to invest in six projects, including the subsidiary's mining project general contract and mine ecological restoration project, blasting engineering integration project, and intelligent production line construction project, to further improve the company's integrated industrial chain of production, distribution and blasting engineering services, raise the company's intelligent manufacturing level, help the company transform and upgrade, and resume rapid development. For the first time, it gave it a “Prudent Recommendation - A” rating. Start targeted additional distribution and increase the main business. The company plans to issue no more than 120 million shares on a non-public basis, with no more than 1.05 billion yuan in net capital raised. It mainly invests in Anhui Jiangnan Blasting Engineering Co., Ltd. mining engineering general contracting and mine ecological restoration projects, integrated blasting engineering projects, smart explosion factory projects, intelligent production line construction projects, and digital civil bombing industry chain projects, and plans to raise 200 million yuan to supplement the company's working capital. The pricing reference date is the first day of the issuance period for this non-public offering. After the company has obtained approval from the China Securities Regulatory Commission, the final issue price will be determined by the company and the sponsoring agency through negotiations between the company and the sponsoring agency based on the subscription status of institutional investors, in accordance with the principle of price priority. Trading of the company's shares will resume on August 31. Strengthening blasting services and integration capabilities is in line with the general development trend of the industry. The state encourages explosives enterprises to develop a business model that integrates the production, distribution, and blasting of explosives products. Large foreign explosives enterprises, such as Orica, have achieved long-term rapid development through integration. Comparatively speaking, the market capacity of civilian explosives products is only 30 billion yuan, and the market size of bombing services is as high as hundreds of billion yuan, so the market space is huge. The company has an annual production capacity of 266,500 tons of industrial explosives, 140 million meters of detonation tubes, and 36 million detonators, ranking among the highest in the country, while the share of blasting service revenue in the first half of 2015 was only 15%, a small proportion. The company raised capital to invest in the subsidiary's mining engineering general contracting and mine ecological restoration projects and blasting engineering integration projects, which will expand the scale of the company's mining engineering general contracting business, improve service capabilities, rapidly expand development space, give full play to the company's integrated advantages in products, production technology, and blasting engineering technology, and achieve rapid business expansion. Raising the level of intelligent manufacturing is conducive to deepening industrial upgrading. On May 9, 2015, the State Council officially released “Made in China 2025”. The strategic plan focuses on integrating various aspects such as next-generation information technology, manufacturing technology, and intelligent equipment to comprehensively improve the level of intelligence in manufacturing. The capital raised this time will be invested in smart factories, intelligent production lines, and digital civilian explosion industry chain projects, which will speed up the implementation process of the company's “intelligent manufacturing, informatization of management, and digitization of safety” development strategy, which is conducive to improving the company's management efficiency and continuous operation capabilities, and greatly improving the company's overall competitiveness. For the first time, the company was given a “Prudent Recommendation-A” rating: The company is a leader in the domestic commercial bombing industry. Through targeted additional distribution, it enhances blasting services and integration capabilities, builds intelligent chemical plants, promotes rapid transformation and upgrading of the company, and achieves leapfrog development. The 2015-2017 EPS is expected to be 0.17 yuan, 0.20 yuan, and 0.23 yuan, respectively. Risk warning: risk of market downturn; risk of safety incidents; policy risk.