Event: the company announced on the evening of February 6th that it plans to issue no more than 60 million shares to invest in medical products (350 million) and medical services (250 million), and the company will resume trading on February 7th.
The comments are as follows:
It is proposed to raise no more than 600 million to accelerate the realization of pre-R & D performance. The competition in the medical products industry is driven by the research and development of new devices, and the management of the company continues to increase investment in research and development and the development of new products to enhance the core competitiveness of their medical products, following the company's strategic positioning and goals. this non-public offering will focus on creating a number of industrialization projects, such as liquid biopsy specimen collection tube, thromboelastogram detection system, disposable intravenous indwelling needle and so on. Accelerate the transformation of pre-R & D expenditure into operating income and profitability, combined with ovulation testing, thrombus elasticity, colonoscopy, tumor testing, etc. clinical trials or registration have been completed, and some products such as indwelling needles will be launched in 2017 to bring performance contributions.
Devote efforts to medical services and create a "Yangpu PPP model" for the coordination of medical products and medical services. The company is constantly moving towards the direction of a large medical group of "medical products + medical services", in which the field of medical services will be incorporated into the core strategy in the next three years. On the one hand, it will provide a broader market space for the promotion and use of the company's medical products. On the other hand, the large health data generated by the medical service network (the acquisition of Guangzhou Huiqiao, a medical information company) and the demand for medical products can provide support for the company's research and development, promotion and innovation of medical products, and provide more stable and reliable clinical data.
Actively create "Yangpu PPP model": through this non-public offering, the company will devote itself to building the overall relocation (PPP) project of Yizhang County traditional Chinese Medicine Hospital, around Yizhang County traditional Chinese Medicine Hospital, participating in the construction of medical grading diagnosis and treatment system in Yizhang area, and participating in the operation and management of the hospital. At the same time, we started the automatic production project of liquid biopsy specimen collection tube, the automatic production project of thromboelastogram detection system and the construction project of disposable venous indwelling needle, so as to realize the integration of "medical products and medical services". In the follow-up, the output of hospital management and the combination of grass-roots medical demand and high-quality medical resource supply O2O can be realized through the hospital graded diagnosis and treatment mode.
Relying on experts and overseas resources, the demand for extension mergers and acquisitions is the first opportunity. The period from 2016 to 2018 has been identified as an important period for the company's reform. around the five major business platforms, the company has actively carried out extension mergers and acquisitions at home and abroad in the areas of medical services, such as big diagnosis, big medical care, and great health. according to the relevant announcement, the company has set up a 600 million yuan M & A fund with Tiande Ronghui, Yanghe Biology as early as 15 years to prepare for extension mergers and acquisitions. At present, the 16-year semi-annual report announced that the company has established a professional M & An expert group and overseas team, and the relevant M & A projects are under negotiation according to the announcement.
The management team has rich experience and resources, and the actual controller shows confidence: the company's management team comes from well-known enterprises and universities such as Johnson & Johnson and Procter & Gamble Co, and is rich in medical resources. it provides strong help to the company's medical service operation and extension M & An expansion. in addition, Deng Guanhua, the actual controller of the company, is the founding shareholder of the company, which adopted the asset management plan in July 2016 with an average price of 15.97 (current price 12.58 +). With a certain margin of safety) increase 2.03% of the shares in the company, 27.43% of the share of the asset management plan is the employee incentive policy, and the subsequent introduction of talents, high-performing employees and agents will be encouraged.
Profit forecast: in the medium and long term, based on the rich experience of the company's management, the clear strategic coordination layout of "medical information + medical services", and the gradual development of the internal and external actions of the revolution in the next three years, and taking into account the market capitalization of more than 4 billion yuan of the company, we predict that the revenue of the company will be 6.12 and 697 million respectively, an increase of 15.60% and 13.89% respectively over the same period last year. The net profit belonging to the parent company was 5300 and 71.74 million respectively, an increase of 50.93% and 35.35% respectively over the same period last year. The company was given a PE of 90x for 17 years, corresponding to a target price of 15.45 yuan, maintaining a "buy" rating.