Environmental protection has become stricter, supply and demand in the thiol compounds industry have improved, and prices have remained high, and the company's leading advantages have been reflected. The company's photoinitiators and thiol compound production have a synergistic effect, forming an integrated industrial chain. The fund-raising project expands the scale of thiol compounds, increases the variety of photoinitiators, and enhances core competitiveness. The company's PE in '18 and '19 was 18.7 times and 14.9 times, lower than the industry average, and gave it a “Highly Recommended - A” investment rating. The company is mainly engaged in R&D, production and sales of new fine chemical materials such as photoinitiators, thiol compounds and derivatives. Current products include thiol compounds (production capacity of 2000 tons per year) and photoinitiators (production capacity of 2000 tons per year), among which the specifications and varieties of thiol compound products are very complete, ranking among the peers; 907 products among photoinitiators, the company accounts for 66% of the national market and is the absolute leader in this segment; it can be said that the company has achieved a leading position in the industry in the field where it has always been intensively cultivated. The “29,000 tons/year photoinitiators and pharmaceutical intermediates” project invested after listing included the expansion of production capacity of traditional superior mercapto-based compounds, as well as the release of production capacity for new photoinitiators such as TPO, 184, and 1173. The application field of the product rapidly expanded, continuously enhancing the company's competitiveness in the field of photoinitiators. Photoinitiators are mainly used in UV curing technology in the radiation curing industry. UV curing technology is an efficient, environmentally friendly, and energy-saving excellent material surface treatment technology and processing technology, and is known as a new green industry technology in the 21st century. According to the Marketsand Markets research report, applications in new fields such as environmental pressure, inkjet printing, and 3D printing will support the continued rapid development of the global UV curing coating market. The growth rate in plastic surfaces, food packaging, electronic components, nail art, etc. is 7%-8%; while the 3D printing sector will maintain a growth rate of at least 20% until 2020. Photoinitiators are one of the important components of UV curing materials. Their properties complement the development of light-curing technology, and their market space also depends on the continuous growth of the light-curing industry in the future. China is the region with the fastest growth in the photoinitiator terminal application market, and is also the world's largest producer and exporter of photoinitiators. At present, the industry concentration is very high. With the help of capital raised, the company is rapidly expanding the production capacity scale of mainstream photoinitiators. At the same time, it relies on Inner Mongolia's unique regional advantages to vigorously develop an integrated business strategy from raw materials to downstream. In the future, the competitive advantage of products is very obvious in terms of cost and scale. According to our assumptions, the company is expected to achieve earnings of 1.11 yuan, 1.39 yuan, and 1.55 yuan per share in 2018-2020, corresponding PE of 18.7 times, 14.9 times, and 13.4 times, giving it an investment rating of “Highly Recommended - A” for the first time. Risk warning: The pace of new investment projects falls far short of expectations; the market for new production capacity absorbs risks.