*St Beineng (000803): Purchase New Town Heat Supply To Enter Capital Heating Market

On September 14, * ST beineng (000803) announced that in order to promote the company's business development, the company and related parties intend to acquire 93% of the equity of Beijing Xincheng Thermal Power Co., Ltd.

Beijing new town heating is mainly engaged in the urban heating business of Beijing Sub Center (formerly TongZhou new town). The net profit of Xincheng thermal power in 2018 is 55.6264 million yuan, that in 2019 is 58.8591 million yuan, and that from January to June 2020 is 42.4341 million yuan, which shows a steady growth trend.

In this transaction, the transaction value of 100% equity of Xincheng thermal is tentatively set at 680.8 million yuan, and the transaction price of 93% equity is tentatively set at 633.444 million yuan. After excluding 150.2128 million yuan of internal debt, the actual transaction consideration is about 490 million yuan. Based on the total net profit of Xincheng heating in 2018 and 2019 of 55.6264 million yuan and 58.8591 million yuan, the P / E ratio is about 9.53 times and 9.01 times, and the dynamic P / E ratio is about 6.25 times when the net profit from January to June 2020 is 42.4341 million yuan.

In this regard, some industry insiders have analyzed that from the profit situation of Xincheng thermal power and the acquisition valuation, the price is fair, which not only promotes the business development of listed companies, but also effectively protects the interests of all shareholders of listed companies. "The heat of the new city occupies the scarce resources in the core area of Tongzhou new city in Beijing. With the construction of the sub center of Beijing, the company's business is expected to continue to grow. After the completion of the transaction, the net profit and cash flow of the listed companies will be significantly improved, and an energy oriented business layout for people's livelihood and environmental services will be initially formed. ". (end)