The cash merger and acquisition of Dejing Electronics was finally approved, and the first stock in the secure encryption mobile phone industry was born. The company completed the exchange's inquiry on the restructuring bill and resumed trading. At the same time, the shareholders' meeting deliberated on the current cash merger and acquisition bill and received a high vote. This means that the merger, acquisition and restructuring matter has finally come to an end. It is expected that before the end of the year, listed companies will divest traditional home appliance assets, thereby completely solving the problem of competition in the industry, and the company's fundamentals will completely reverse. Dejing Electronics focuses on the field of secure encrypted mobile phones, and we believe that Sanlian Trading Company is the first stock in the secure encrypted mobile phone industry. The secure and encrypted mobile phone industry will quickly gain momentum. We judge that the market space required for secure and encrypted mobile phones in the special industry alone is over 30 billion dollars. If the commercial market is taken into account, the market space is likely to double. There are three reasons why industry-related companies and products have not been able to rapidly expand the market: national demand has not been implemented, there are no national production of secure encryption products, and no effective industry alliances have been found to promote them. But we judge that these three factors have now matured, and that the secure and encrypted mobile phone industry will quickly gain momentum. An encrypted mobile phone industry alliance has been formed with top companies in the industry, and Dejing's future performance is flexible. Dejing has formed strategic alliances with Zhanxun, Zhongke Hongba, and Yuanxin Technology. At the same time, as Spreadcom's sole partner in the field of secure mobile phones, Dejing is responsible for project development and process design as a core member. The company has now received some orders from aerospace science and industry, and the current layout of the 1.4G private network mobile terminal project, the popular smartphone project in cooperation with Defender Connect, and the public security system project are all expected to start rapidly in the future. Since the profit margin of secure encrypted phones is much higher than that of ordinary mobile phones, we believe that Dejing's performance will be very flexible in the future. We are optimistic about the company's subsequent development and have upgraded it to a “Highly Recommended - A” rating. Regardless of mergers and acquisitions, we expect Sanlian's net profit for 16-18 to be 2364.25/2387.29/24917,400 yuan, corresponding to 16-18 EPS of 0.09/0.09/0.10 yuan. Considering the merger and acquisition of Dejing Electronics, we expect net profit to be 94 million, 124 million, and 205 million yuan respectively, corresponding to EPS of 0.37 yuan, 0.49 yuan, and 0.81 yuan, and the current stock price of 15.13 yuan, corresponding to 16-18 PE, 41 times, 31 times, and 19 times, which is raised to the “Highly Recommended - A” rating. Risk warning: Securely encrypted mobile phones are not progressing as expected; market systemic risk.