Hangyang (002430) incident comment： Industrial gas business officially entered the integrated circuit industry in an attempt to break the size limit of the traditional cycle industry

Hangyang (002430) incident comment: Industrial gas business officially entered the integrated circuit industry in an attempt to break the size limit of the traditional cycle industry

The event company issued the “Announcement on the Investment and Establishment of Qingdao Hangyang Electronic Gas Co., Ltd. and the Construction of a New 20,000m3 / h Pure Nitrogen Air Separation Unit Project”.

　　The review company and Xinen (Qingdao) Integrated Circuit Co., Ltd. signed the “Industrial Gas Supply Contract”. The contract stipulated that Qingdao Xinen would cooperate with the company. The company would invest, construct and operate a 20,000 m3 / h pure nitrogen air separation unitProvide high-purity nitrogen, general nitrogen, high-purity oxygen, high-purity argon, high-purity air, high-purity helium, high-pressure compressed dry air, compression dryingAir, instrument air and other gas products.

　　Xinen (Qingdao) Integrated Circuit Co., Ltd. is China’s first collaborative integrated circuit manufacturing (CIDM) project founded by founder Dr. Zhang Rujing. It was established in April 2018 with a registered capital of RMB 12.

500 million, budgeted for Qingdao West Coast Economic and Technological Development Zone.

The total investment of the project is 15 billion U.S. dollars. After completion, 南京桑拿论坛 it can realize the mass production of 8-inch chips, 12-inch chips, photomasks and other integrated circuit products.

　　The company intends to invest and establish a holding subsidiary Qingdao Hangyang Electronic Gas Co., Ltd. to implement the electronic gas project. The company intends to invest and establish a holding subsidiary-Qingdao Hangyang Electronic Gas Co., Ltd. (tentative name, referred to as “Qingdao Hangyang”).Oxygen to implement the project.

Qingdao Hangyang has a registered capital of 65 million yuan, of which the company invested 45.50 million yuan, and Shanghai E-Tech Investment Management Co., Ltd. invested 19.5 million yuan.

　　The company achieved a breakthrough in the industrial gas operation project of the integrated circuit industry and officially entered the high-end gas supply business of the advanced 杭州夜网 manufacturing industry. The company’s internal gas sales business is mainly based on traditional heavy industry customers. The company will actively explore in the fields of medical gases, semiconductor special flags and hydrogen energy.

This project is the company ‘s first industrial gas supply project that directly serves the integrated circuit industry. It is a major breakthrough for the company ‘s gas business in the electronics and semiconductor sub-industries in the advanced manufacturing industry and helps the company break through the traditional industry scale barriers.

　　Earnings forecast We expect the company to achieve operating income of 92% in 2019-2021.

73, 106.

32 and 121.

40,000 yuan, a compound growth of 15% in the next three years based on 2018; net profit attributable to the parent company8.

93, 10.

54 and 12.

610,000 yuan, a compound growth of 20% in the next three years based on 2018.

Total share capital 9.

6.5 billion shares, corresponding to EPS0.

93, 1.

09 and 1.

31 yuan, corresponding to PE 13, 11, and 9 times.

　　Risk Warning: The policy implementation is less than expected, the market expansion of new products is expected, and the cost compression is higher than expected.