Ruimaotong (600180): Combine large thermal coal, coking coal and anthracite production enterprises to accelerate company development

Event: Cooperation with Jinmei Group, Shaanxi Coal, and Pingmei Group According to the company’s announcement, the company signed a Letter of Intent with Jinmei Group on March 19, 2019: The company and Jinmei Group adopted a joint venture including but not jointlyAnd other forms of cooperation.

In addition, the company disclosed on March 7 the “Intent Agreement on Establishing a Joint Venture Company” signed with Shaanxi Coal Industry, and the decoration fund established a company that mainly deals with the supply chain management of commodities, including coal, iron ore, and oil products.business.
At the same time, it was disclosed on February 21 that Shenzhen Ruimaotong acquired 49% of Henan Pingrui held by Beijing Zhongrui Ruixing for 49.57 million yuan. After the transaction was completed, Pingmei Group and the company each held 51% of Henan Pingrui., 49% equity.

Comment: Combine large-scale thermal coal, coking coal, and anthracite production enterprises to accelerate the company’s development. Jinmei Group is the largest coal chemical enterprise. The anthracite reserves in the Jindong mining area account for 65% of Shanxi Province and 26% of the country.

As of the end of 2017, the company had coal production capacity of approximately 1.

100 million tons.

Shaanxi Coal Industry is a large-scale thermal coal production enterprise with high coal quality and abundant resources, and has coal production capacity of approximately 1.

3 billion tons, while it has ample cash on hand (13 billion at the end of September 2018).

Pingmei Group is a coking coal leader in Central and South China. It has a coal production capacity of about 4,000 tons and a total coke production 杭州桑拿网 capacity of 1,520.

We expect that, in cooperation with large coal companies, Ruimaotong can provide services such as coal distribution for coal companies, improve logistics efficiency of coal companies, and expand the scale of supply chain management business.Customer relations of state-owned enterprises, capital of joint ventures, and accelerated company development.

Abstract: The company deeply cultivates coal supply chain management, develops supply chain finance, and is optimistic about the company’s long-term development space. We are optimistic about the company’s cooperation with coal companies to expand the supply chain management business scale. Alternative supply chain financial services can be attacked and defended, and the bad debt rate is low.Controllable. We expect the company’s 18-year performance growth mainly due to the tightening financing environment. The company’s supply chain finance will shrink. The company will change its cooperation with coal companies. The financing environment will improve. It is expected that the supply chain finance business will resume growth.Is 0.

56, 0.

68, 0.

82 yuan / share, corresponding to 19 years of PE14.

5 times, we think that the company has obvious competitive advantages and good growth. It gives PE 18 times in 19 years and a reasonable value of 12.

24 yuan / share, give “Buy” rating.

Risk reminder: The development of the supply chain ecological platform is less than expected; the risk of bad debts in supply chain finance; the cooperation between the company and coal companies is lower than expected.