PHC pipe pile industry leader: The company is one of the important manufacturers of PHC pipe piles with the most complete variety and the strongest comprehensive strength in the domestic prestressed concrete pipe pile industry, and is also one of the most important production bases in the domestic field of large-diameter PHC pipe piles. The company's main target market is the Yangtze River Delta region. The region's revenue in the first half of 2009 accounted for 73% of the company's total revenue. The market prospects for large diameter PHC pipe piles are broad: PHC pipe piles have become the most important variety of pipe piles due to their comprehensive advantages, accounting for more than 80% of all concrete pipe pile production. (1) Small-diameter PHC pipe piles are fiercely competitive and profit margins are low. (2) Benefiting from the development of ports, terminals and shipbuilding industries, the annual demand for large-diameter pipe piles is over 7 million meters, and the application field has been expanded to land transportation projects. Currently, there are only 7 companies with production capacity for large-diameter PHC pipe piles, with an annual production capacity of 3.2 million meters; moreover, due to technical barriers and transportation conditions, it is difficult to increase supply capacity on a large scale in the short term. Due to insufficient supply capacity, some port projects still use steel pipe piles or on-site injection piles. As a result, the supply of large diameter PHC pipe piles will continue to be in short supply, and profit margins will remain at a relatively high level. The fund-raising project solved the production capacity bottleneck: Currently, the company has an annual production capacity of 800,000 meters of large-diameter PHC pipe piles, which are already operating at full capacity, and the transportation capacity is insufficient. The implementation of this fund-raising project will effectively solve the bottleneck in production and transportation capacity. The capital raised was mainly invested in the large-diameter PHC pipe pile technology transformation project, adding about 800,000 meters of large-diameter PHC pipe pile production capacity (production capacity doubled), 500,000 meters of pipe pile dock loading and unloading capacity, and 800,000 meter pipe pile water transportation capacity. Risks: Risk of fluctuations in raw material prices and increased industry competition. Reasonable valuation range: EPS is estimated to be 0.40 yuan, 0.61 yuan, and 0.85 yuan respectively, with an issue price of 19.9 yuan, compared to 32.6 times the price-earnings ratio issued in 2010, which basically reflects the company's reasonable value.