Qingyan Environmental Technology Co., Ltd
Initial public offering and listing on GEM
Special announcement on investment risk
Sponsor (lead underwriter): China Securities Co.Ltd(601066)
According to the industry classification guidelines of listed companies (revised in 2012) issued by China Securities Regulatory Commission (hereinafter referred to as "CSRC"), the industry of Qingyan environment is special equipment manufacturing (C35). On April 6, 2022 (T-4), the average static P / E ratio of special equipment manufacturing industry (C35) released by China Securities Index Co., Ltd. in the latest month was 35.03 times. The diluted P / E ratio of the net profit attributable to the shareholders of the parent company after deducting non recurring profits and losses in 2020 corresponding to the issuance price of 19.09 yuan / share is 33.49 times, which is lower than the average static P / E ratio of the issuer's industry in the latest month issued by China Securities Index Co., Ltd; It is 18.64 times higher than the average static P / E ratio of the net profit attributable to the shareholders of the parent company after deducting non recurring profits and losses of comparable companies in the same industry in 2020, with an excess range of 79.67%.
The issuer and the recommendation institution (lead underwriter) remind investors to pay full attention to the risk factors contained in the pricing marketization, know that the stock may fall below the issue price after listing, effectively improve the risk awareness, strengthen the value investment concept, avoid blind speculation, carefully study and judge the rationality of the issue pricing, and make rational investment decisions.
The application of Qingyan Environment Technology Co., Ltd. (hereinafter referred to as "Qingyan environment", "issuer" or "company") for the initial public offering of 27.01 million RMB common shares (A shares) (hereinafter referred to as "this offering") has been examined and approved by the members of the GEM Listing Committee of Shenzhen Stock Exchange (hereinafter referred to as "Shenzhen Stock Exchange"), It has been approved to register by the China Securities Regulatory Commission (hereinafter referred to as "CSRC") (zjxk [2022] No. 543).
After negotiation between the issuer and the sponsor (lead underwriter) China Securities Co.Ltd(601066) (hereinafter referred to as " China Securities Co.Ltd(601066) securities", "sponsor (lead underwriter)" or "lead underwriter"), the number of shares issued this time is 27.01 million, accounting for 25.01% of the total share capital after issuance. All new shares are issued to the public, and the issuer's shareholders do not transfer old shares. The shares issued this time are planned to be listed on the gem of Shenzhen Stock Exchange. The issuer and the recommendation institution (lead underwriter) specially draw the attention of investors to the following contents:
1. This offering is conducted by a combination of directional placement to strategic investors (hereinafter referred to as "strategic placement"), offline inquiry placement to qualified offline investors (hereinafter referred to as "offline issuance") and online pricing issuance to social public investors holding non restricted A-share shares and non restricted depositary receipts market value in Shenzhen market (hereinafter referred to as "online issuance").
The strategic placement of this offering shall be organized and implemented by the sponsor (lead underwriter); The preliminary inquiry and offline issuance shall be organized and implemented by the sponsor (lead underwriter) through the offline issuance electronic platform of Shenzhen Stock Exchange; Online issuance is carried out through the trading system of Shenzhen Stock Exchange.
2. After the preliminary inquiry, the issuer and the sponsor (lead underwriter) agreed to apply for the purchase price of 27.60 yuan / share after excluding the preliminary inquiry results that do not meet the requirements of investors' quotation according to the exclusion rules specified in the announcement on preliminary inquiry and promotion of initial public offering of shares by Qingyan Environmental Technology Co., Ltd. and listing on GEM (hereinafter referred to as the "announcement on preliminary inquiry and promotion"), And all placing objects whose subscription amount is less than 8 million shares (excluding 8 million shares) are eliminated; The proposed subscription price is 27.60 yuan / share, the number of subscription is equal to 8 million shares, and the subscription time is 14:48:14:363 on April 6, 2022. According to the order of placement objects automatically generated by the offline issuance electronic platform of Shenzhen Stock Exchange, 69 placement objects are removed from the back to the front. A total of 76 placing objects were excluded in the above process, and the total number of shares to be purchased was 591.4 million, accounting for 1.0064% of the total number of 587594 million shares to be purchased after excluding invalid quotations in this preliminary inquiry. The excluded part shall not participate in offline and online subscription.
3. According to the preliminary inquiry results, the issuer and the recommendation institution (lead underwriter) comprehensively consider the effective subscription multiple, the fundamentals of the issuer, the number of shares in this public offering, the industry and market conditions of the issuer, the valuation level of Listed Companies in the same industry, the demand for raised funds and underwriting risks, and negotiate to determine that the price of this issuance is 19.09 yuan / share, and the offline issuance will not conduct cumulative bidding inquiry.
Investors are requested to make online and offline subscription at this price on April 12, 2022 (t day), and there is no need to pay the subscription fund at the time of subscription. The offline issuance and Subscription Date and online subscription date are the same as April 12, 2022 (t day), in which the offline subscription time is 9:30-15:00, and the online subscription time is 9:15-11:30 and 13:00-15:00.
4. The issue price determined through negotiation between the issuer and the recommendation institution (lead underwriter) is 19.09 yuan / share. The issue price of this issue shall not exceed the median and weighted average of the quotation of offline investors after excluding the highest quotation, as well as the Securities Investment Fund (hereinafter referred to as "public fund") and the National Social Security Fund (hereinafter referred to as "social security fund") established through public offering after excluding the highest quotation Basic endowment insurance fund (hereinafter referred to as "pension"), enterprise annuity fund established in accordance with the measures for the administration of enterprise annuity fund (hereinafter referred to as "enterprise annuity fund") and insurance funds (hereinafter referred to as "insurance funds") in accordance with the measures for the administration of the use of insurance funds, whichever is lower, so the relevant subsidiaries of the sponsor need not participate in follow-up investment.
The strategic placement object of this issuance is the special asset management plan for the issuer's senior managers and core employees. According to the final price, the final strategic placement shares of the special asset management plan for senior managers and core employees of the issuer are 2195180 shares, accounting for about 8.13% of the shares issued this time. The initial strategic placement quantity of this issuance is 4051500 shares, accounting for about 15.00% of this issuance quantity. The number of final strategic placement is 2195180 shares, accounting for about 8.13% of the number of this issuance. The difference between the initial strategic placement and the final strategic placement is 1856320 shares, which will be transferred back to offline issuance.
5. The issue price is 19.09 yuan / share, and the corresponding P / E ratio is:
(1) 25.12 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before the issuance);
(2) 23.57 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before this issuance);
(3) 33.49 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after this issuance);
(4) 31.43 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after this issuance).
6. The issue price is 19.09 yuan / share. Investors are requested to judge the rationality of the issue price according to the following conditions.
(1) According to the guidelines for Industry Classification of listed companies (revised in 2012) issued by the CSRC, the industry of Qingyan environment is special equipment manufacturing (C35). On April 6, 2022 (T-4), the average static P / E ratio of the industry in the latest month released by China Securities Index Co., Ltd. was 35.03 times.
As of April 6, 2022 (T-4), the valuation levels of comparable listed companies are as follows:
T-4 day shares 2020 minus 2020 minus 2020 static 2020 static securities code securities abbreviation closing price non front EPS EPS P / E ratio (minus (yuan / share) (yuan / share) (after minus) (non front))
Jiangxi Jdl Environmental Protection Co.Ltd(688057) .SH Jiangxi Jdl Environmental Protection Co.Ltd(688057) 18.45 1.4010 1.3456 13.17 13.71
Suntar Environmental Technology Co.Ltd(688101) .SH Suntar Environmental Technology Co.Ltd(688101) 15.84 0.6643 0.5514 23.84 28.73
Wuxi Delinhai Environmental Technology Co.Ltd(688069) .SH Wuxi Delinhai Environmental Technology Co.Ltd(688069) 41.32 3.2416 3.0656 12.75 13.48
Average 16.59 18.64
Data source: wind information, data as of April 6, 2022.
Note 1: if there is mantissa difference in the calculation of P / E ratio, it is caused by rounding;
Note 2: EPS before / after deduction of non recurring profit and loss in 2020 = net profit attributable to the parent before / after deduction of non recurring profit and loss in 2020 / total share capital on T-4 day;
The issue price of 19.09 yuan / share corresponds to the year 2020 after deducting non recurring profits and losses, which belongs to the parent company
The diluted P / E ratio of shareholders' net profit was 33.49 times, which was lower than that of the issuer issued by China Securities Index Co., Ltd
The average static P / E ratio of the industry in the latest month is 35.03 times; Higher than that of comparable companies in the same industry in 2020
After non recurring profit and loss, the average static P / E ratio of net profit attributable to shareholders of the parent company is 18.64 times, exceeding the range
It is 79.67%, and there is a risk that the decline of the issuer's share price will bring losses to investors in the future.
The pricing rationality of this offering is explained as follows:
First, technical advantages: rpir technology is the core team of the company, which has been developed and established in the company for many years
Since then, it has continuously improved iteratively in the practice of industrialization, relying on "low investment, less land occupation, low operation cost and management"
It has strong advantages in the field of water treatment;
Second, industrial application advantages: the company has an in-depth understanding of the needs of downstream customers and can focus on the needs of customers
The starting point is to carry out technical research and development and process design, and provide customers with rpir workers with strong pertinence and practicability
Technology package to effectively solve the sewage treatment problems under various complex conditions; Core equipment rpir module and rpir
The integrated machine is highly standardized and equipped, and can flexibly adapt to various types of sewage treatment projects. Company innovation
The industrialization of technology and innovative equipment has obvious advantages, and the application scale continues to expand, especially in high technical barriers and projects
In the field of large-scale municipal sewage, the company continues to establish successful projects;
Third, the advantages of continuous R & D and Innovation: the company has carried out continuous innovation and development in many years of industrialization practice
Various process packages such as s-rpir, a / rpir, A2 / rpir and vertical flow a / rpir have been produced to effectively solve the problems of customers
Various problems in sewage treatment projects meet the diversified and personalized needs of customers. As of 2021
On June 30, 2003, the company had 47 patents, including 7 invention patents. The company actively undertakes the industry division
Research task, independently undertaken "rpir rapid biochemical sewage treatment technology and equipment" and jointly undertaken "low
"Application demonstration of cost rapid biochemical technology in slaughterhouse wastewater treatment and reuse" and other topics won the title of "Shenzhen Science and Technology Co., Ltd
The Innovation Committee has passed the acceptance;
Fourth, the advantages of R & D team: the company always takes talents as the core driving force of enterprise development. It has a core team in the R & D field of water treatment technology for many years, actively introduces and trains senior expert talents, stimulates employees' innovation consciousness through performance incentive, employee stock ownership plan and other methods, so as to keep the talent team stable and develop together with the company. Ms. Liu Shujie and Mr. Chen fuming, the core technicians of the company, have been working in the field of water treatment for many years, have rich research achievements, have published many papers in important academic journals at home and abroad, and have won many honorary awards issued by the Ministry of environmental protection, Guangdong Provincial People's government, Shenzhen Municipal People's government and other competent departments; Fifth, brand advantage: since its establishment, the company has deeply cultivated the South China regional market centered on Shenzhen, and gradually formed a brand coverage covering the whole country from point to area. Its customers include state-owned enterprises or listed companies and their subsidiaries such as Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) ( Jiangsu Jiangnan Water Co.Ltd(601199) . SH), Tianjian water environment, Cscec Scimee Sci.&Tech.Co.Ltd(300425) ( Cscec Scimee Sci.&Tech.Co.Ltd(300425) . SZ), as well as local water enterprises such as deepwater consulting and guanghuiyuan environmental water. The company is committed to improving the applicability of technology and products to sewage treatment projects, obtaining market recognition with stable and efficient good operation effect, and gradually establishing brand effect.
The issuer and the recommendation institution (lead underwriter) remind investors to pay attention to investment risks, carefully study and judge the rationality of issuance pricing, and make investment decisions rationally.
(2) After the price of this offering is determined, 239 investors have submitted valid quotations for this offline offering, and the number of placement objects managed is 5137, accounting for 66.93% of the total number of all placement objects after excluding invalid quotations; The total number of effective proposed subscriptions is 386403 million shares, accounting for 65.76% of the total number of subscriptions after excluding invalid quotations, which is 215539 times of the initial offline issuance scale after strategic placement callback and before online and offline callback.
(3) Draw investors' attention to the relationship between the issue price and offline investors' quotation
