Participate in Tailing Pharmaceutical to break through the barriers to entry into the pharmaceutical industry. According to the announcement on the evening of January 4, the company and Onli International Investment, a wholly-owned subsidiary of the company, intend to make comprehensive use of secondary market purchase and agreement transfer to purchase no more than 29.99% of the shares of Tai Ling Pharmaceutical at a price of not more than 2.50 Hong Kong dollars per share before October 2, 16, of which 9.40 percent of the shares are to be purchased through agreement transfer at a transfer price of 2.50 Hong Kong dollars per share. So far, the company has held 7.52% of the underlying company through secondary market purchase (QDII), with a purchase price range of HK $1.86 per share to HK $2.40 per share.
Tailing Pharmaceutical: drug distribution + drug production, the core competitive advantage is outstanding. Tailing Pharmaceutical was founded in 1995 and is a listed company on the main board of the Hong Kong Stock Exchange. after nearly 20 years of development, the company gradually withdrew from the vaccine business, reorganized its business and cut into the tumor field, and established a complete system of drug distribution and drug production. to achieve a substantial improvement in profitability, the core competitiveness is mainly reflected in the channel advantage, technical advantage and brand advantage.
Demand pull + policy dividend, the pharmaceutical industry has broad prospects. First, the pharmaceutical industry is growing steadily and has a broad space for development. On the one hand, in 2014, enterprises above the scale of the pharmaceutical industry achieved 2.455316 trillion of their main business income, an increase of 13.05% over the same period last year, and the overall growth rate slowed down somewhat, which is a good time for industry structure adjustment and optimization and industrial capital entry. On the other hand, the gradual deepening of the degree of aging and the improvement of people's living standards will bring greater demand for drugs. Second, policies support the creation of a good industrial environment. In recent years, with the intensive introduction of relevant policies, government health expenditure has increased significantly.
Strategic transformation large health industry investment integration platform. This transaction is an important step for the company to build a large health industry platform. On the basis of tamping the main business, it may open up new profitability, improve sustainable profitability, achieve synergy through mergers and acquisitions, and strategically enter the pharmaceutical industry.
Build online sales channels, consolidate the main business operation, promote project mergers and acquisitions, and accelerate the healthy transformation. The company focuses on the sales of health products, through the introduction of Mr. GE Jianqiu, who was born in medicine, to promote the great health transformation of the company and build a large health resources integration platform: on the one hand, set up Anli e-commerce company to improve the sales channels of health products. On the other hand, the establishment of Onli International Investment Company, the Great Health Integration platform is about to emerge.
Raise earnings forecast and maintain buy-A rating. The company focuses on the sales of health products, sets up Onli e-commerce, sets up online sales channels; GE Jianqiu joins Jiaotong University, sets up Anli International Investment, and strategically invests in Tailing Pharmaceutical Transformation Great Health Investment platform; as an important listing platform of Jiaotong University, there are expectations of value revaluation in the school-enterprise reform. Raise the profit forecast, 15-17 EPS is expected to be 0.38,0.46,0.49 yuan respectively, the current stock price corresponding to PE is 56 times, 47 times, 43 times, maintaining the "buy-A" rating.
Risk hint: the launch of new drugs in the target company has been postponed in 2016, and the effect of business cooperation and integration is not good.
