\u3000\u3 Guocheng Mining Co.Ltd(000688) 363 Bloomage Biotechnology Corporation Limited(688363) )
Company website: on April 15, Bloomage Biotechnology Corporation Limited(688363) and China Coal Geology Group Co., Ltd. officially signed the “property right transaction contract” to acquire 51% equity of Beijing Yierkang Bioengineering Co., Ltd. with RMB 233 million, officially entering the collagen industry.
The target company cultivates collagen deeply, and the purchase price is reasonable. According to the company’s official account, the company is located in the Daxing District new national media base of Beijing. It has 17 registered patents and 78 Employees. The company has been deeply engaged in collagen medical end products for many years. Its main products are collagen sponge and artificial bone. The whole chain layout of Yierkang biology from R & D, production to sales. The target company achieved revenue of 872525 million yuan, 792855 million yuan and 756798 million yuan in 2019, 2020 and January November 2021 respectively; The net profit was 248065 million yuan, 109706 million yuan and 130914 million yuan. As of November 30, 2021, the total assets of the subject company are 113 million yuan Bloomage Biotechnology Corporation Limited(688363) based on the 51% equity of 233 million acquisition target, the acquisition of Pb is 4.56x.
Collagen will become Bloomage Biotechnology Corporation Limited(688363) another core substance and enrich the company’s bioactive product pipeline. ① China’s collagen market has developed steadily, with a growth rate higher than the global average. According to the data released by Grandview reaserch, the global collagen market reached US $15.356 billion in 2019 and is expected to reach US $22.622 billion in 2027 (CAGR will reach 5.42%). The size of China’s collagen market is expected to be 6.54% CAGR from 2016 to 2027 and reach US $1.576 billion in 2027. ② Medical beauty care has become the main driving force for the growth of China’s collagen industry market. In 2019, medical and health care (which can be used as hemostatic materials, drug carriers, wound dressings, etc.) accounted for 47.81% of the total market scale. At the same time, the injection of medical collagen into sunken skin defects can not only play the role of support and filling, but also induce the recipient’s own tissue reconstruction, which can be used in the direction of facial aging; The market scale of food and beverage industry is 315 million US dollars, accounting for 32.06%; The market scale of skin care products (human collagen protein for eye mask, facial mask, spray, etc.) is 133 million US dollars, accounting for 13.57%. The acquisition of collagen business targets will strongly support the sustainable development of the company’s future business. The hospital admission products such as collagen sponge and artificial bone mainly produced by Yierkang biology can further enrich Bloomage Biotechnology Corporation Limited(688363) existing medical terminal product pipeline and expand its medical terminal product matrix.
Investment suggestion: buy – a investment rating. The company holds the technical advantages of core raw materials, establishes the whole industry chain business system by relying on the two technical platforms of microbial fermentation and cross-linking and six R & D platforms, and gains market reputation by relying on excellent product strength, so the core competitiveness is difficult to copy and surpass. In the future, it is planned to build aseptic HA production line, soft tissue filler products and Runzhi series to jointly create a matrix of medical and beauty products, develop collagen terminal products, layout new Shuiguang products, and continue to deepen the differentiated positioning of the four major brands of functional skin care products. It is estimated that the performance growth rate from 2022 to 2024 will be 32.7% / 38.6% / 38.7%. Continue to focus on recommendation!
Risk tip: covid-19 epidemic continues to deteriorate, industry competition intensifies, and the effect of new products on the market is less than expected.
