\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 522 Jiangsu Zhongtian Technology Co.Ltd(600522) )
Event: the company announced that it plans to acquire 100% equity of Zhongtian Xinxing materials and Zhongtian Electric Technology held by Jiangsu Zhongtian Technology Co.Ltd(600522) group with its own capital of 381 million yuan, of which the equity transfer price of Zhongtian Xinxing materials and Zhongtian Electric Technology is 202 million yuan and 179 million yuan.
Our comments are as follows:
1. Underlying asset Zhongtian Xinxing materials:
① in terms of business, it is mainly engaged in battery cathode materials, which are used for lithium batteries, such as high-performance lithium iron phosphate (LFP), high nickel ternary materials (NCM, NCA), silicon carbon cathode and other high-quality electrode materials for new energy vehicles.
② financially, the revenue in 2021 was 108.56 million yuan, a year-on-year increase of 97.7%, and the net profit was 5.9126 million yuan, turning losses into profits (the data in 2021 were not audited).
③ in terms of production capacity, the company currently has an annual production capacity of 4000 tons of lithium iron phosphate, 2000 tons of Sanyuan and 200 tons of silicon carbon cathode materials, and the products have passed iatf16949 quality system certification. The total planned investment is 500 million yuan. After completion, it will form an annual output of 20000 tons of high-performance lithium-ion battery electrode material series products.
2. Subject asset Zhongtian Electric Technology Co., Ltd.:
① in terms of business, it is mainly engaged in the R & D, manufacturing and sales of high and low voltage switchgear and complete sets of equipment.
② financially, the revenue in 2021 was 241 million yuan, with a year-on-year increase of 4.0%, and the net profit was 3.2857 million yuan, which was significantly higher than that in 2020 and achieved positive income. (2021 data not audited).
③ in terms of customer resources, the company's customers include companies in various fields such as state grid, China Southern Power Grid, major power generation groups, government engineering, industrial and mining enterprises, new energy, communication industry and so on.
④ in terms of R & D, the company relies on research platforms such as the group's postdoctoral workstation and the national recognized enterprise technology center, actively carries out industry university research cooperation, continuously enhances R & D capacity, and has obtained more than 40 authorized patents.
3. Acquisition purpose and impact:
1) mainly to enrich and improve the industrial chain layout, master the main material links and improve the cost control. The target itself forms a good synergy with the company's main new energy and power business. Specifically, in the new energy industrial chain, Jiangsu Zhongtian Technology Co.Ltd(600522) will extend to the upstream materials required for the production of high-performance lithium ion lithium battery; In the power industry chain, ztmns energy-saving switchgear of Zhongtian Electric Technology will help the company improve the layout of the industry chain.
2) looking forward to the future, the company will focus on high-quality growth and continuously improve its comprehensive competitiveness around the booming industry direction of new energy / new infrastructure / smart grid.
Profit forecast and investment suggestions:
On the whole, (1) the optical fiber and cable industry is expected to show a sustained upward trend, and the performance elasticity of price rise can be expected. (2) Under the trend of 30.60 and parity Internet access, the offshore wind power industry has broad growth space in the future. As the leader of China submarine cable & Marine Engineering, the company is expected to fully benefit. We emphasize that the space and prosperity of sea breeze must be viewed from the perspective of the next 5-10 years. The overall market prospect is very considerable. At the same time, we need to pay attention to the company's global layout and global market. (3) The company's new energy (photovoltaic, energy storage and copper foil) business is still poorly expected. This business will usher in unprecedented development opportunities. The strong growth and competitiveness of the company's new energy business can not be ignored. (4) The power business is highly competitive and is expected to fully benefit from the construction of new power system and the growth of power grid investment in the future, which is expected to show a stable and rapid growth trend. It is estimated that the net profit of the company in 21-23 years will be 120 million yuan, 3.85 billion yuan and 4.7 billion yuan, corresponding to 1.6 billion yuan in 22 years 8x, maintain the "buy" rating.
Risk warning: the operation of the underlying assets is less than expected, the upstream raw materials continue to maintain high price risk, the production expansion progress is less than expected, and the bidding rhythm and scale of the industry are less than expected
