Investment highlights On April 17, the company announced the signing of three cooperation agreements: signing a Hangzhou Olympic Sports Development Fund Settlement Cooperation Agreement with the Qianjiang Century City Management Committee of Xiaoshan District; signing a cooperation agreement with the People's Government of Puyang Town, Xiaoshan District, Hangzhou; and signing an investment cooperation framework agreement with the Xiaoshan District Economic and Technological Development Zone Management Committee. According to the agreement, Rhine Sports was authorized by the Asian Olympic Council to establish the “Hangzhou Asian Olympic Sports Development Fund” to promote the Asian Games and build the Hangzhou International Tournament Capital; cooperate with the Puyang Town Government to build and operate a sports town project with the theme of “Rhythm Puyang” and “Rhythm Experience - Sports Industry Intelligent Manufacturing Park” and “Rhythm Experience - Special Sports Experience Zone”; and the Xiaoshan District Economic and Technological Development Zone Management Committee to fully cooperate in the three areas of Rhine Sports (headquarters), Zhejiang Sports Industry Venture Park, and Zhejiang Sports Industry Fund. The company leverages the geographical advantages of the Hangzhou Asian Games and the Yangtze River Delta to embark on a unique operating model in terms of the operation and implementation of sports IP. The town of Puyang has made clear breakthroughs from scale to model, and the significance of benchmarking is remarkable. The company has a comprehensive sports core content supply system such as soccer, basketball, ice and snow, outdoor, and fitness. Using this as a starting point, it has established two major business lines of IP operation and sports commercial real estate development, which have both independent value and mutual collaboration. It is expected to create a unique sports IP implementation model in the future. Profit forecast and rating: The company's 2017-2019 EPS is expected to be 0.08/0.12/0.16 respectively, maintaining the “increase in holdings” rating. Risk warning: Club acquisition progress falls short of expectations, sports town business development falls short of expectations