Events:
1. The company announced that it intends to acquire 100% equity of Youde Medical and win Medical Tong by issuing shares and paying cash. Its 100% stake in Zhongyou German Medical Co., Ltd. is valued at 2 billion, while Yitong's 100% stake is valued at 3.5 billion. At the same time, the company will raise no more than 5.5 billion yuan in matching funds, with an issue price of 20.55 yuan per share. After the completion of this transaction, Jiang Hongwen and Zhao Cheng will control 34.99% of the shares in the listed company, which will be the actual controllers of the listed company.
2. Youde Medical has promised that the deduction non-net profit from 2016 to 2021 will not be less than 145 million yuan, 189 million yuan, 246 million yuan, 295 million yuan, 354 million yuan and 425 million yuan respectively; the non-net profit from 2016 to 2021 promised to be not less than 255 million yuan, 331 million yuan, 430 million yuan, 516 million yuan, 619 million yuan and 743 million yuan, respectively.
Comments:
Youde Medical and win Medical expert are the pioneers of domestic network hospitals. Youde Medical is the first network hospital platform provider approved by the Health and Family Planning Commission in Guangdong Province. as the first network hospital approved by the health and family planning department in the country, it has created a precedent for B2C telemedicine. Patients can visit online medical sites such as community medical centers or chain drugstores through wearable remote diagnosis and treatment equipment, video and other tools to access the network hospital platform provided by Youde Medical, and consult online experts of cooperative hospitals. Using cooperative drugstores, the platform can complete one-stop service from diagnosis to drug purchase. As an important part of the network hospital, Wengyi Tong is mainly responsible for offline health management, inspection and inspection. In the future, it will also provide unified drug purchase and other services for village health stations and other grass-roots medical institutions.
Network hospital is in line with the policy direction of medical reform, and it is the development trend of Internet medical treatment. After Youde Medical completed the debut of the network hospital at the end of 2014, the network hospital industry ushered in the best part of the development in 2015, such as Micro Medical Group, Alibaba Health Information Technology and other industry giants have tested the water, which proves the development prospect of the network hospital business model from the industry side. We believe that the cooperation model between the company and hospitals and pharmacies provides patients with one-stop service from diagnosis to drug purchase; at the same time, it realizes the effective allocation and drainage of resources for hospitals and pharmacies to meet the needs of all parties in the industry. at the same time, it is also in line with the policy direction of national graded diagnosis and treatment and separation of medicine, which will be the development direction of Internet medical treatment in the future.
The profit model is diversified and the performance commitment is guaranteed. The profit model of the company's network hospital is very diverse, including telemedicine diagnosis service charges and drug purchase share in drugstores. Through the superimposed health management, inspection and inspection services and other value-added services, the company's layout in the industrial chain is more perfect, and the profit space in the future is more open. According to the company announcement, at present, the promotion of network hospitals in B-end cooperative pharmacies and grass-roots medical institutions is progressing smoothly, with 10, 000 offline service points (village doctors) of network hospitals expected to be completed in the first quarter of 2016; on the C side, by the end of 2015, it has more than 1 million members and is progressing smoothly. We believe that with the support of diversified profit models and effective market development, the performance of Youde Medical and win Medical Link will be strongly guaranteed.
Investment suggestion: the company plans to acquire Youde Medical and win Medical Link, and enter the Internet Medical Service. Youde Medical and win Medical Link, as the pioneers of the network hospital, its model can effectively alleviate the difficulties for patients to see a doctor, allocate medical resources reasonably for the hospital, help drugstores to achieve drainage, successfully open the gap of medicine separation, and explore the direction of graded diagnosis and treatment. in line with the interests of the industrial chain and the direction of medical reform policy. We are very optimistic about the company's business model, the executive ability of management and the development prospect of Internet medicine. It is estimated that the diluted EPS of 2016-2017 will be 0.65 yuan and 0.92 yuan, covering for the first time, with a "buy-A" rating and a 6-month target price of 45 yuan.
Risk hint: integration risk; acquisition plan will be uncertain.