This report is read as follows:
Bohui shares are expected to be postponed for three weeks, and the IPO offering price is 16.26 yuan.
Summary:
According to the letter of intent for the IPO of Bohui shares, the company's IPO expects to raise 382.0974 million yuan, offering underwriting and other expenses totaling 40.6626 million yuan, totaling 422.76 million yuan. In the audited 2019 annual report, the net profit attributable to the owner of the parent company is 73.5638 million yuan after deducting non-recurring profits and losses, and the diluted EPS is 0.71 yuan. It plans to issue 26 million shares, which is calculated at a price of 16.26 yuan per share based on the total amount of capital raised, and the corresponding PE is 22.99 times.
Corresponding to the static PE of China Securities Exchange Industry (C25) in the past month is 14.17 times, the reverse fund-raising price of Bohui shares corresponding to PE is higher than that of industry PE. It is expected that the issuance of Bohui shares will be postponed by three weeks, and the IPO offering price is 16.26 yuan.
Bohui Co., Ltd. is a leading fuel oil deep processing enterprise in China. the company adopts self-developed intermittent processing technology, continuous production process and molecular distillation and sedimentation technology to comprehensively reuse the catalytic slurry as the fuel of industrial boiler. production of heavy aromatics products such as asphalt auxiliaries, rubber auxiliaries and lubricating oil auxiliaries as chemical raw materials and purer light fuel oil The company's products are in the leading position in the industry in terms of viscosity, freezing point, flash point and aromatics content ratio, and the process technology is outstanding in chromaticity and oil yield. The downstream of the company includes the highway and waterproof membrane industry, among which the new highway construction is growing steadily, and the demand for road asphalt will continue to increase with the concentrated release of overhauls and medium repairs; with the improvement of the degree of urbanization construction, the demand for residential renovation increases, and the demand for downstream waterproof coiled materials of the company is expected to grow.
Considering the disclosure of the prospectus and the above analysis, we choose 300121.SZ, 300641.SZ and 603003.SH as comparable companies with a price-to-earnings ratio of 11.75. According to the amount of capital raised announced in the letter of intent, the issue price of Bohui shares is 16.26 yuan, corresponding to 22.99 times the net profit PE in the 2019 annual report. The valuation of Bohui shares is higher than that of industry PE and comparable company PE, and the offering is expected to be postponed by three weeks. It is estimated that the total share capital after the issue will not exceed 104 million shares, and the market value after the issue is estimated to be 1.691 billion yuan.
Risk hints: (1) the release rhythm of IPO is delayed by force majeure, and (2) the risk of crude oil price fluctuation.
