Set up industrial merger and acquisition funds to invest in the field of integrated circuits
The company plans to set up an industrial M & A fund "Hefei Guangtao Semiconductor Industry Investment Center" through the company or an enterprise controlled by the company, together with Jianguang assets and Zhongyi Fund. The latter two act as fund managers, and the scope of business includes equity investment and related consulting services, industrial investment, enterprise investment, etc. Cross-border mergers and acquisitions of potential high-quality projects in the upstream and downstream of the integrated circuit industry chain will be the main investment direction. Integrated circuit industry is a strategic, basic and leading industry to support economic and social development and ensure national security. The development of integrated circuit industry in China has entered an important strategic opportunity period and a critical period. The establishment of the fund is expected to help the company seize the current good opportunity of restructuring and integration of the global semiconductor industry, enter the integrated circuit industry, broaden its business scope and profit channels, and usher in more development opportunities.
Steadily increase the introduction of CITIC Industrial Fund to promote high-quality equity investment
After the completion of the fixed increase, CITIC Industrial Fund will become the second largest shareholder of the company. before that, the two sides have cooperated to invest in projects such as "singing bar" and "ele.me". At the same time, it brings synergy to the main business of the company's shopping mall. In the future, the company is expected to carry out high-quality equity investment for the purpose of financial investment and strategic cooperation, relying on the strong resource advantages of CITIC Industrial Fund.
Actively promote the strategy of light assets and continuously improve operational efficiency
The company actively pursued the strategy of light assets, transferring the shares of its three holding subsidiaries to Wanrongrui (effectively controlled by CITIC Industrial Fund) in 2016, and was entrusted with managing the shopping malls of the three companies to achieve capital recycling. Prior to this, the company has issued REITs in Singapore, selling its original stake in five shopping malls to REITs, effectively improving cash flow. In the future, the company is expected to continue to improve asset liquidity and enjoy property appreciation and operational management benefits through this kind of capital operation.
Profit forecast and investment suggestion
The company actively implements the strategy of light assets, and is expected to take advantage of its project resources to carry out high-quality equity investment after the introduction of CITIC Industrial Fund. We believe that investment in the integrated circuit industry is expected to bring new profit growth points for the company. It is estimated that the EPS for 2016-2018 will be 0.08 + 0.16 + 0.23 yuan, corresponding to a multiple of PE in 56-28-20, maintaining a "highly recommended" rating.