A summary of the collection
Jiji is a mechanical engineering company, founded in 1987. Collect the supply, installation and protection of the main machinery and machinery, air and air system, low fuel supply system, fire protection system and water supply and sewerage system. When the mechanical and electrical transportation and air transportation system is the core business of the collection, it accounts for more than 95% of the total revenue in the three years ended March 31, 2016.
The main functions of the mechanical communication air system are to control the inflow and outflow of air in the building, as well as to control and maintain the air in the building. A low-voltage system refers to a power source system that provides power to other systems. Other mechanical systems include fire protection systems, water supply and sewerage systems.
Industry summary
According to the Ipsos report, the total output value of Hong Kong's mechanical engineering services industry increased from HK $17.7 billion in 2011 to HK $32 billion in 2015, with a compound annual growth rate of 16.0%. According to Ipsos, the total output value of Hong Kong's mechanical engineering and service industry will reach 41.8 billion Hong Kong dollars in 2020, with an annual growth rate of 4.6 percent from 2016 to 2020. Despite the expected growth, the report also points out that as the Hong Kong Government regulates the property industry and further provides residential housing, residential construction in the private and public sectors will benefit from further housing policies and land supply.
Cymbals
Most of the projects in the collection are completed by the sub-contractors appointed by them, but there is no guarantee that the works completed by the sub-contractors are up to their standards. If the sub-contractor fails to carry out his works in accordance with the requirements and standards of the fair, there may be delays in the completion of the project. In addition, there is no long-term service agreement between the cluster and the sub-contractor. If the cluster fails to find an alternative sub-contractor to meet the requirements of the new project, the performance and service of the cluster will be adversely affected.
Valuation
According to the IPO documents, assuming that the global development sale was completed on June 30, 2016, according to the expected issuance of 40 shares after the sale of long-term shares, shares should account for HK $155 million to HK $174 million, equivalent to HK $0.39 to HK $0.44 per share.