The incident company received the China Securities Regulatory Commission's “Approval on Approving the Non-Public Offering of Shares by Wuhan Celis Medical Technology Co., Ltd.”, which approved the company's non-public offering of no more than 14 million new shares, which is valid for 6 months. Commenting on the active expansion of leading regional companies after listing to strengthen platform value: The company is an excellent leading inspection intensive service enterprise in central and eastern China, and has a deep understanding and rich operating experience in the IVD channel business. Since its listing, the company has actively established subsidiaries and expanded its business area with various partners. The layout has gradually expanded rapidly from the advantageous Lianghu region to the southeast coast, west and northeast, and has successively obtained contracts in Shandong, Jiangxi, etc.; at the same time, it has carried out mergers and acquisitions in many places to enrich the company's supply brand resources and expand business types, and the company's development ushered in a new phase and pattern. Obtain development and expansion capital to accelerate performance improvement: The company's fixed increase has been approved. If carried out smoothly, according to the company's current stock price, it is estimated that it is expected to raise nearly 700 million yuan, exceeding the IPO fund-raising scale. Among them, the actual controller and employee stock ownership plan promised to subscribe in cash, not less than 100 million yuan and no more than 120 million yuan respectively, indicating that management is confident in the company's development prospects for restructuring. Intensive testing consumes significant capital during the business development period, and the company's talent and resource reserves also need to be increased accordingly. After capital is strengthened, we believe that the pace of progress of the company's strategy is expected to accelerate, and the number of intensive contracts implemented is expected to increase, so performance is expected to reach an inflection point. Transfer of part of the share ban was lifted to ease the pressure on stock prices: Transanhua Holding Group Co., Ltd., the shareholder of the company, signed a share transfer agreement with Deng Yuehui on December 13, 2017 to transfer 5.89% of the company's shares at a price of 39.47 yuan/share, with a transfer amount of 166 million yuan. At the same time, Deng Yuehui is optimistic about the company's future development. He plans to continue to increase his holdings of Celis shares through centralized bidding on the Shanghai Stock Exchange within three months from December 15, 2017. The total number of additional shares held is 100,000 shares, and the maximum increase is 1 million shares. We believe that the smooth transaction of some of the company's unbanned shares through an agreement will reduce the pressure on stock prices in the secondary market by lifting the ban on shares, and also shows investors' confidence in the company's future development. Profit forecasts and investment suggestions do not take into account the company's future non-public funding drive on the company's operations and the improvement of financial expenses. We expect the company's EPS in 2017-2019 to be 1.13, 1.56, and 1.99 yuan, respectively, up 16.5%, 38.1%, and 28.1% year-on-year. If the company's non-public offering is successfully completed and the company's intensive business development is further promoted, the performance may exceed expectations. Maintain an “Overweight” rating. Risk warning: The lifting of the company's restricted stock ban puts pressure on stock prices, the implementation of intensive contracts for newly established subsidiaries in various regions falls short of expectations, inspection policies, the risk of price reduction squeezes channel profits, and insufficient talent reserves affect the rate of expansion after the scale of intensive services rises