Main date:

Public release closing date: 12: 00 noon on January 31, 2018

Announcement application results: February 7, 2018

Listing date: February 8, 2018

The family guarantor:

Dejian Rongji Co., Ltd.

Summary of statistics:

Number of shares sold: 300000000 shares

Proportion of shares sold publicly: 10.0%

Sales: HK $0.30 to HK $0.40

Estimated collection of funds: HK $9000 to HK $120 million

Income per hand: HK $4040.31

A summary of the collection

It is the subcontractor of foundation services in Hong Kong and the customer is the total contractor in Hong Kong. The collection mainly undertakes excavation and hoisting works, handling of excavating materials and supporting services (including removal of trench support, floor formation, reinforcement and floor cleaning). The demand for collection services mainly comes from the construction of commercial and residential buildings.

Collect public and private projects; the most popular items are those of the government, statutory bodies or statutory bodies, while private items include all other types of delegated items. In the six months to the end of September 2017, more than 75% of the collection's revenue came from private projects.

Industry summary

According to the Ipsos report, the income of Hong Kong's foundation contracting industry rose from HK $13 billion in 2011 to HK $20.3 billion in 2016, with a compound annual growth rate of 9.3%. It is expected that the income will increase from HK $23.1 billion in 2017 to HK $26.3 billion in 2021, with an estimated annual growth rate of 3.3%.

In terms of the cost of the foundation industry, according to the Ipsos report, the average daily wage of foundation workers in Hong Kong rose from HK $842 in 2011 to HK $1379 in 2016, with a compound annual growth rate of 10.4%, while that in Hong Kong fell from 6454 yuan per unit in 2011 to about 3673 yuan per month in 2016.

Cymbals

The collection is highly dependent on a small number of customer assistance projects, especially the Hong Kong International Construction Investment (687.HK). In addition, the revenue of the collection mainly comes from non-routine items; the collection mainly comes from direct reporting or invitation for new services, and the collection may not be able to provide reports or participate in the recruitment procedures for project invitations. moreover, the reports and headers submitted by the collection may not be included in the customer review, so the number and scale of items in the collection, as well as the revenue obtained from it may be uncertain.

Valuation

According to the IPO document, as of September 30, 2017, shares should account for HK $0.19 to HK $0.21 per share of tangible assets calculated on the basis of the 12.00 shares expected to be issued after the completion of the sale of long-term shares.