Main points of investment:
Landscaping company with the integration of "design-construction-maintenance"
The company's main business is landscape engineering construction, landscape design and garden maintenance, with the "design-construction-maintenance" industry chain integrated management capacity. The company has the qualifications of the first class of urban landscaping, the first class of municipal public works construction general contract, the first class of professional contracting of ancient building engineering, the first class of landscape engineering design, the first class of water pollution control, the first class of environmental ecology and so on. is a domestic landscape industry qualified enterprises. The landscape engineering project that the company has implemented has won a number of national and provincial and municipal gold awards.
Fund-raising projects to improve the company's profitability
The funds raised will be invested in the establishment of East China Landscape Engineering Regional Management Center project, the establishment of North China Landscape Engineering Regional Management Center project, the expansion of design institute and the establishment of design branch. Through the implementation of the fund-raising investment project, enhance the strength of landscape design, which is conducive to the overall scheduling and coordinated command of the project, and at the same time better reflect the overall style of the company. promote the synchronous improvement of landscape design and construction technology, ensure the efficient and high-quality implementation of the project plan, so as to bring more business to the company and improve the company's profitability.
Profit forecast
According to the construction progress of the fund-raising project, we estimate that the net profits attributed to the parent company in 2017 and 2018 will be 76 million yuan and 88 million yuan respectively, with year-on-year growth rates of 24.91% and 16.63% respectively, and corresponding diluted earnings per share of 0.37 yuan and 0.43 yuan.
Pricing conclusion
Before this issue, the total share capital of the company is 152.46 million shares, and this time it is proposed to issue 50.82 million shares, accounting for 25.00% of the total share capital of the company after the issue. The issuing price of the company is 6.82 yuan per share. Considering the valuation and growth of comparable companies in the same industry, we think that the reasonable valuation price for the company is 14.92-18.64 yuan, corresponding to the price-to-earnings ratio of 40-50 times earnings per share in 2017.