Shanghai Haohai Biological Technology Co.Ltd(688366) (688366)
Event: in December 1, 2021, the company announced that the development of the whole family ho Hai development will be 51% yuan in Xiamen South Peng Optical Co., Ltd. at 70 million yuan, and will be the exclusive distributor of Heng Tai Phenix Optical Company Limited OK products, such as “Heng Tai Hiline” and “hard contact lens” (RGP), in the Chinese mainland (valid until January 2026).
Self research + agent overall layout OK mirror, and the products will be expanded to 4 models. In March 2021, we obtained the exclusive selling rights of the two generation OK mirror products, “Mai Erkang myOK” and “myopia”, which are managed and controlled by Chinese mainland. Through independent R & D and M & A integration, the company will realize the most comprehensive layout of the oxygen permeability of OK mirror product line, among which the oxygen permeability of “MaiErKang myok” and “Hengtai hiline” exclusively distributed are 141 and 85; The oxygen permeability of the first generation OK mirror independently developed is 125 (the clinical enrollment has been completed in Q3, 2020); the second generation OK mirror adopts the material with oxygen permeability of 180 (the product research and development based on this material has been started).
With the help of NANPENG optical sales channel, the marketing network is upgraded again. Nan Peng optics focuses on the field of OK optics and other optical treatment. It has mature product marketing ability and complete sales channel network. According to the company announcement, its Taiwan Hengtai OK mirror products, which is responsible for promoting and selling, has a market share of 15% in Chinese mainland in 2018. After the completion of this transaction, the company will fully integrate Hengtai optical brand, market resources and sales channels, give full play to the combination advantages, and further promote the sales of existing products of Hengtai optics. In the future, it is also expected to help the company’s self-developed optometry products landing and commercial promotion, and help the company quickly improve its products and sales layout in the field of myopia prevention and control.
The demand for myopia prevention and control continues to strengthen, and the target company is expected to bring steady performance contribution. NANPENG optical’s revenue mainly comes from the agent distribution of “Hengtai hiline” OK mirror. In 2019 / 2020 / 2021h1, its operating revenue was 109 million yuan, 118 million yuan and 68.64 million yuan respectively, and its net profit was 6.6 million yuan, 11.01 million yuan and 5.29 million yuan respectively. Based on the operating income and net profit in 2020, the market sales ratio and P / E ratio corresponding to the valuation of this transaction are about 1.17 times and 12.47 times respectively. According to the calculation of the company, the unaudited net profit of the complete agency and distribution business of Hengtai optical subject products of NANPENG optical group in 2020 is about 21 million yuan, corresponding to the estimated P / E ratio of this transaction of about 6.54 times. The national awareness of myopia prevention and control is strengthened, and the demand for OK mirror will continue to rise. The company expects NANPENG optics to maintain stable growth in its future business performance, and we expect to bring steady performance contribution.
Profit forecast and investment rating: as the delivery has not been completed, the impact of this transaction will not be considered temporarily. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be RMB 456 / 607 / 776 million, EPS will be RMB 2.59/3.45/4.42 respectively, and the PE corresponding to the current stock price will be 51x / 38x / 30x respectively. Maintain the “buy” rating.
Risk warning: the risk that the transaction terms cannot be reached or the transaction is terminated; New product marketing or lower than expected; R & D progress or less than expected; Policy changes in the pharmaceutical industry, etc.
