Deeply cultivate Henan, build a new lifestyle service platform, the company is deeply involved in Henan Province, and will lay out the six provinces of central China in the future. As of June 30, 2020, the total contract area was 144 million square meters, and the total managed area was about 70 million square meters. Based on the accumulation of Jianye Group in the province, the company actively collaborates with external resources to create a new lifestyle service platform. Business segment: Property management+asset management dual drive 1) Housing-centered property management and value-added services. In 2017-2019, the business line had revenue of 4.2, 6.2, and 1.34 billion yuan respectively, accounting for 91.5%, 89.4%, and 76.4% of total revenue, with a three-year compound growth rate of 78.4%. In the first half of 2020, the line's revenue was +59.3% to $840 million. 2) Lifestyle services centered on online shopping, travel, and catering, mainly including Jianye+ platform, travel services, and Jianye Grand Cafeteria. In 2017-2019, the business line had revenue of 0.2, 0.6, and 310 million yuan respectively, accounting for 5.2%, 9.0%, and 17.6% of total revenue, with a three-year compound growth rate of 259%. In the first half of 2020, the line's revenue was +51.6% to $173 million. 3) Commercial asset management and consulting services centered on accommodation, shopping and entertainment, mainly including the management of hotels, commercial assets and cultural tourism complexes. In 2019, commercial asset management and cultural tourism complex management contributed revenue for the first time. In the first half of 2020, the line's revenue was +22.2% to $45 million. Business strategy: Deeply cultivate the province and build a service system to benefit from Jianye Group's provincial development strategy. The company's property management and value-added services have covered 18 prefecture-level cities in Henan Province (including 94 of 104 county-level cities). With the parent company's project delivery, as well as mergers and acquisitions and outreach around existing projects, the company's project density in Henan Province will further increase. In the future, it is expected to enter the six central Chinese provinces through asset-light projects, external development, and mergers and acquisitions. As an asset-light operating platform under Jianye Group, the company has gathered the group's internal resources and external resources such as a series of e-commerce platforms, well-known enterprises, and brands. As of mid-2020, there were over 2.8 million registered users. Jianye+ achieved GMV of 430 million yuan in 2019 and GMV of 300 million yuan in the first half of 2020. The investment proposal company is deeply involved in Henan, has the advantage of regional and project density, and has now established a relatively complete local lifestyle service system. We estimate that the company's 20-22 EPS will be 0.32/0.49/0.74 yuan, corresponding 20-22 PE will be 24/16/11 times. Taken together, we believe that the company's reasonable valuation in 2021 was 30 times, giving the company a target price of HK$16.34, which covered the “buy” rating for the first time. Risk warning: risk of rapid rise in labor costs; risk of uncertainty in expanding value-added services; risk of dependency of related parties; risk of outsourcing quality.