Investment highlights: The company announced “On the signing of the “Hangzhou Asian Olympic Sports Development Fund” settlement cooperation agreement with the Qianjiang Century City Management Committee in Xiaoshan District”, “On the signing of the “Rhythm Puyang” characteristic sports town cooperation agreement with the People's Government of Puyang Town, Xiaoshan District, Hangzhou” and “On the signing of an investment cooperation framework agreement with the Xiaoshan Economic and Technological Development Zone Management Committee”. Haofeng leaned its strength to set up the Olympic Fund for Asia. The company signed an agreement with the Qianjiang Century City Management Committee of Xiaoshan District, promising to register the Olympic Asia in the Qianjiang Century City area of Xiaoshan and complete the industrial and commercial registration procedures by June 30, 2017; the size of the Olympic Fund for Asia will reach 20 to 40 billion yuan within five years; the total tax revenue of the Asia Olympic Fund and related projects will reach 1-2 billion yuan from 2017 to 2022. Meanwhile, the Qianjiang Century City Management Committee in Xiaoshan District provided financial support and policy concessions such as land, subsidies, and office space for the settlement and development of the fund. A sports town is one more city, and the model is closer to Huaxia Happiness. The company signed an agreement with the government of Puyang Town, Xiaoshan District, to cooperate in the construction and operation of a special sports town project with the theme of “Rhythm Puyang”, to create a first-class domestic and internationally renowned comprehensive sports and leisure platform with the theme of sports culture, integrating events, fitness, tourism, leisure, culture and creativity, while also jointly promoting the town's declaration as a national characteristic town. Xiao Shang returned and participated deeply in the construction of Xiaoshan. The company announced the signing of an agreement with the Xiaoshan Economic and Technological Development Zone Management Committee. The two sides plan to conduct in-depth cooperation in several major sectors, such as the relocation of Rhine Sports (headquarters), the Zhejiang Sports Industry Venture Park, and the Zhejiang Sports Industry Fund, for mutual benefit and win-win situation. Team acquisitions are continuing, and there is still a possibility that they will be injected into listed companies. Up to now, the target company of this restructuring under Gao Jisheng, the actual controller and controlling shareholder of the company, has signed a formal share acquisition agreement with Katharina Liebherr, an overseas natural person. The acquisition has been approved by the UK Financial Conduct Authority and is still being approved by the Premier League. A meeting between buyers and sellers will be held in the near future for communication. Investment advice: No ratings yet. Based on the current share capital calculation, the company's earnings per share in 2017 and 2018 are expected to be 0.03 and 0.05 yuan respectively. The company's closing price on April 21, 2017 is 10.96 yuan per share, corresponding to PE 365.33 times in 2017 and 219.20 times PE in 2018. The company's strategic layout is becoming more and more clear. It closely revolves around the three major IPs (soccer, basketball, ice and snow) +sports towns, and lays out the upstream and downstream of the industrial chain to achieve the implementation of sports IP. We are optimistic about the company's medium- to long-term development trends and the company's leading position in the sports industry. Since the acquisition of the Southampton team is critical to the company's soccer IP and the soccer town project developed around the soccer IP, and has a significant effect on improving the company's profits; considering that the team acquisition in the original plan is still ongoing, if the acquisition is successfully completed, there is still a possibility that the company will restart implementation of major asset restructuring involving this team in the future, so there is no rating yet. Risk warning: The team acquisition is uncertain; the sports town's progress falls short of expectations.