Cangzhou Pearl: The acquisition of good assets will benefit handsomely

     Sina Tip: This article belongs to a stock comment column, only for securities consultants on the relevant stocks or plates of personal views and analysis, and informal news reports, Sina does not guarantee its authenticity and objectivity, investors operate on this basis, risk from the bear.　　For accurate information about the unit, please refer to the Bulletin of the Shanghai and Shenzhen Stock Exchange. The two Bopa film production lines proposed by CIC Securities Hohongsen are newly built, and the equipment has not been put into use for technical reasons.　　These two production lines in the capacity of more than 8,500 tons, the asset acquisition transaction Price initially agreed only about 112 million yuan, and if the company's new projects will cost about 250 million yuan. Dong-Plastic group (major shareholder) to the acquisition to give very support. The group decides that if the asset valuation is to be acquired, the valuation price is lower than the transfer price, the company evaluates the price to pay the transfer price, and the difference part will be borne by the East Plastic group.　　and decided to consider the acquisition at the General meeting of shareholders, the group pledged to vote in favour of the vote. After the acquisition, will soon create benefits for the company. Bopa Thin Film Products market prospects, is the company currently has a core competitive advantage of one of the products, the company currently has 4500 tons of production lines. Its Bopa film is currently selling well, the product in short supply, the benefits are obvious. The company has mastered the production of the core technology, technology and management advantages more obvious, acquisition once completed, can quickly bring benefits to the company.　　It is expected that the company will increase its earnings by about $0.13 per share in 09, with an increase of about $0.27 for 10. The acquisition is of historic importance to the company, and the fundamentals of the company will change substantially, and we believe the acquisition is similar to a major asset reorganization. After the completion of the acquisition, the company Bopa film production capacity will be doubled, reaching more than 12,500 tons, will be the largest and most advantageous Bopa thin film production enterprises. And in the second half of 10, the company to raise investment projects Bopa film Two will also be put into production, the company will be in Bopa film industry has the absolute right of speech.　　The core of the company's competitiveness will also be transferred from tubing to Bopa film, from a single plastic processing enterprise into a HIGH-TECH enterprise producing high-end materials. In addition, the company's gas and water pipes, brand advantages are obvious, benefiting from the country's 4 trillion infrastructure investment and west-east gas transmission, but also benefited from China's urbanization process and the national Bohai Rim Economic Circle strategy. At present, China's natural gas pipeline laying are basically the use of PE plastic pipe, water pipes are also gradually transition to PE plastic pipe, with the rapid development of national infrastructure, the gradual completion of the west-east gas transmission lines, the pace of urbanization is accelerating, as well as the country to build the Bohai Rim economic Circle to put strategic heights, Company Pipe business will be in the next few years to maintain a rapid and stable development momentum.　　PE pipe production and sales, has been faced with capacity bottlenecks, the company also has the acquisition intention. Highly recommended ratings. We expect its 09-11 EPS to be 0.9, 1.14 and 1, respectively.30 Yuan, the company will maintain rapid growth in the next few years, the enterprise profitability is very determined, the performance will continue to increase significantly, the latter may also have a merger plan, in the SME board block is still in an undervalued state, so give 10 23 times times the PE, The target price for the next 6-12 months is 26.22 yuan, with a strongly recommended rating for the first time.