Wanhua Chemical Group Co.Ltd(600309) (600309)
event
On December 29, according to company E, Wanhua Chemical Group Co.Ltd(600309) invested 50 million yuan to establish Wanhua Chemical Group Co.Ltd(600309) (Yantai) Fine Chemical Co., Ltd. in addition to traditional projects such as basic chemical raw material manufacturing and special chemical product manufacturing, it also covers the sales of new catalytic materials and additives, food additives, feed additives, bio based materials, etc.
analysis
Wanhua continues to enrich its layout in the field of fine chemicals. According to the company’s official website, the company has gradually built more and more comprehensive organizational frameworks. In addition to the original polyurethane business unit, petrochemical company and new materials business unit, the company has further extended the emerging technology business unit, functional chemicals business unit, high-performance polymers business unit and material solutions business unit, and the products have gradually changed from traditional polyurethane products Petrochemical and basic extension materials extend to the fields of catalytic additives, spices, engineering plastics, degradable plastics, fully biodegradable materials and cathode battery materials, constantly expand new product lines, and focus on accumulating relevant technologies and processes with development prospects. At present, at the stage of existing volume, the company has a very strong industrial foundation and financial strength, and can carry out simultaneous layout and product R & D in many fields. In addition, the company has its own strong cost control and engineering ability. It is expected that the probability of continuous breakthrough of fine chemical products may be a matter of time.
The establishment of Fine Chemical subsidiary indicates that the company has accumulated technology and layout in relevant fields, and is expected to gradually carry out the engineering volume of relevant products through the company entity. For the fine chemical products, the company focuses on the manufacturing and sales of bio based materials, which is consistent with the degradable PLA products under research in the early stage of the company. According to the company’s layout, the company is already building a PBAT project, and the PLA project is in the pilot stage. It is expected that the company will gradually expand its layout in the field of bio based material manufacturing with PLA as the entry point. At the same time, compared with the company’s traditional fossil resource route, the layout of bio based materials is expected to enrich the company’s process selection and play a promoting role in subdivided fields.
Investment advice
Yantai base has completed MDI technical transformation and expansion, BC has increased production capacity, Fujian project is still advancing, and polyurethane business is still increasing; The petrochemical field will also promote the layout of Fujian base. At the same time, it is expected that fine chemical projects will gradually enter the fast lane of development in the next 1-2 years. It is predicted that the company will maintain the “buy” rating of 24.612 billion yuan, 26.914 billion yuan and 29.829 billion yuan in 2021-2023.
Risk statement
Downside risk of product price and large fluctuation risk of raw material price; The progress of the new project does not meet expectations; New material R & D is less than expected risk.
