Event: on December 28, China Shipbuilding Industry Group Power Co.Ltd(600482) (600482. SH) and China Cssc Holdings Limited(600150) (600150. SH), listed companies of China Cssc Holdings Limited(600150) group, announced that they and China Cssc Holdings Limited(600150) Industrial Group Co., Ltd. planned to jointly invest and establish a joint venture to carry out diesel engine business. Cssc Science & Technology Co.Ltd(600072) (600072. SH) announced that it plans to issue shares to purchase all or part of the equity of CSSC, haizhuang and other companies in the group and raise supporting funds.
The asset restructuring of China Cssc Holdings Limited(600150) group began: China Cssc Holdings Limited(600150) group was jointly restructured and established by the original China Cssc Holdings Limited(600150) Industrial Group Co., Ltd. and the original China Cssc Holdings Limited(600150) Heavy Industry Group Co., Ltd. on October 14, 2019. In August this year, the domestic and foreign antitrust review of the two ship restructuring was fully completed, and all work of the two ship restructuring entered the substantive operation stage. In order to solve the problem of horizontal competition of listed companies, respond to the three-year action plan for the reform of state-owned enterprises and further improve the operation quality of their affiliated enterprises, the three listed companies announced that they planned to carry out asset restructuring, or marked the beginning of China Cssc Holdings Limited(600150) group’s asset restructuring.
Diesel engine business integration to build a leading enterprise of marine diesel engine in China: according to the announcement, China Shipbuilding Industry Group Power Co.Ltd(600482) , China shipbuilding industry group, China Cssc Holdings Limited(600150) jointly invested and established a joint venture to carry out diesel engine business with the equity of China Shipbuilding Power Group, China Shipbuilding diesel, hechai heavy industry and Shaanxi diesel heavy industry held by all parties as the subject assets of capital contribution. By combing the underlying assets, the joint venture basically covers the diesel engine related assets of China Cssc Holdings Limited(600150) group; After the completion of the transaction, China Shipbuilding Industry Group Power Co.Ltd(600482) will hold the controlling stake in the joint venture, China Cssc Holdings Limited(600150) as a shareholder, which effectively solves the horizontal competition of diesel engine business among listed companies. At the same time, it defines China Shipbuilding Industry Group Power Co.Ltd(600482) as a listed company of marine power business within the group, and consolidates its leading position in the field of marine diesel engine in China.
Integration and injection of wind power assets and construction of CSSC wind power business platform: according to the announcement, Cssc Science & Technology Co.Ltd(600072) plans to issue shares to purchase all or part of the equity of CSSC haizhuang, CSSC wind power development, Xinjiang Haiwei, Luoyang Shuangrui, lingjiu electric and other companies. The target company’s business involves R & D and production of wind turbine units and parts, investment, development, construction, operation and management of power, The development, construction and operation of wind farm and photovoltaic farm, the R & D and production of wind power blades, as well as the design and manufacturing of automation control, Mechatronics Engineering and equipment, basically cover the main businesses of the wind power industry chain. From the perspective of integrating business, pooling resources and solving horizontal competition, we believe that the underlying assets are the relevant assets of wind power business in China Cssc Holdings Limited(600150) group. After the transaction is completed, Cssc Science & Technology Co.Ltd(600072) is expected to become the wind power business platform of China Cssc Holdings Limited(600150) group.
The integration plan of military and civilian ship assembly business has not been clarified: China Cssc Holdings Limited(600150) , China Shipbuilding Industry Company Limited(601989) , Cssc Offshore & Marine Engineering (Group) Company Limited(600685) of the listed companies of China Cssc Holdings Limited(600150) group are involved in military and civilian ship assembly business. In order to solve the problem of horizontal competition, the corresponding asset integration plan has not been clarified, and it is expected that China Cssc Holdings Limited(600150) group will further promote the solution in the future.
Investment suggestions: recommend China Cssc Holdings Limited(600150) leasing of China Cssc Holdings Limited(600150) ship assembly target of China Cssc Holdings Limited(600150) group and China Cssc Holdings Limited(600150) financial leasing platform; It is recommended to pay attention to China Shipbuilding Industry Company Limited(601989) , Cssc Offshore & Marine Engineering (Group) Company Limited(600685) , Cssc Science & Technology Co.Ltd(600072) , China Marine Information Electronics Company Limited(600764) , China Shipbuilding Industry Group Power Co.Ltd(600482) , China Harzone Industry Corp.Ltd(300527) , Hubei Jiuzhiyang Infrared System Co.Ltd(300516) , Hg Technologies Co.Ltd(300847) and other listed companies belonging to China Cssc Holdings Limited(600150) group.
Risk analysis: the risk of asset restructuring with uncertainty; The risk that the profitability of civil shipping business is lower than expected.
（ Everbright Securities Company Limited(601788) ）
