Incident: The company issued an announcement. Nanjing Tailong Jinmao, a subsidiary of the participating industrial merger and acquisition fund, and Yang Jianliang, a natural person, signed a framework agreement on the equity cooperation of Wuxi Hebang Biotechnology Co., Ltd. According to the agreement, the participating subsidiary is expected to transfer the shares of the target company in stages, and invest about 150 million yuan to hold more than 30% of the shares of the target company by the end of 15 years. Comment: An innovative biopharmaceutical development company founded by Wuxi Hebang for returning students studying abroad. According to company announcements and public information, Wuxi Hebang was founded in 2006 and is one of the 2006 “530” projects introduced by the Wuxi Municipal Government. It is a biotechnological pharmaceutical company based on research and development of new drugs. The main executives all have overseas study backgrounds. The company is positioned as an innovative drug research and development company, mainly with genetically-engineered protein drugs and peptide drugs as research and development direction. Existing products are mainly used for diseases such as diabetes and osteoporosis, such as the national class 1 biopharmaceutical injection to stimulate insulin secretion peptide fusion protein, etc., but it has not yet been produced or sold. The core members are national “Thousand Talents Program” experts with deep professional backgrounds. According to public information, the chairman and actual controller of Wuxi Hebang is Dr. Yang Jianliang, an expert on the national “Thousand Talents Program”. Dr. Yang has been involved in research and development of virus control and tumor treatment products at Harvard University in the US and Biogen, a famous biopharmaceutical company. The biological products for hepatitis treatment that he participated in have been approved for marketing by the US FDA. After returning to China, he was the technical director of the US American Union Group Corporation (New York) China Biochemical Pharmaceutical Department and China Livzon Group Xinbao Pharmaceutical Company. The genetically engineered interferon and allergic asthma desensitization treatment drugs developed have successively obtained new drug certificates and production approvals from SFDA, achieving good social and economic benefits. Profit forecasts and ratings. On the endogenous side, the benefits are a significant increase in profitability brought about by marketing reforms, asset handling, and business sector adjustments. In terms of extension, around the development strategy of “one core, two wings, multiple platforms,” the company uses industrial fund platforms, and it is expected that epitaxial mergers and acquisitions will continue. EPS is expected to be 0.20, 0.25, and 0.31 yuan from 2015 to 2017, and the corresponding PE is 85, 67, and 54 times, maintaining the buying rating.