Jiangsu'S Broad-Minded Mode Of Expansion Financing Development Is Firm And Steadfast.

Jiangsu broad-minded: promoting multi-mode innovative financing recommendation rating

Limited by Share Ltd recently announced that the company's subsidiary broad-minded electric power intends to use self financing 355 million 724 thousand yuan to acquire hahun photovoltaic and other shareholders held by Target Corp Xinsheng photoelectric 100% stake.

The notice also said that the company and son and sun company would like to carry out financial leasing business with the Far East International lease with assets such as equipment, plant or land.

Experts believe that Jiangsu broad-land shares to buy Hareon 100MW photovoltaic power station, to scale expansion, highlighting the executive level of management.

The acquisition of Xinsheng photoelectric in Inner Mongolia Tongliao has 100MW grid connected photovoltaic power station (actual installed 105MW).

Tongliao is a category II light resource area in China, generating 1500 hours per hour and enjoying 0.95 yuan / degree benchmark electricity price.

The purchase price of the power station is 356 million, and it has a debt of 604 million, so the total purchase price is 960 million yuan, corresponding to a single W of 9.6 yuan /W, with the benchmark interest rate up to 10%, and the project capital IRR exceeds 13%.

The acquisition of the company was further fulfilled.

"Mode" to achieve the expansion of power station expansion of the power station business strategy, but also reflects the company's steadfast attitude and strong execution.

We should carry out financial leasing to solve the demand of funds in many ways.

The company signed the lease with the Far East.

The total amount of the business agreement is not more than 600 million yuan, the financing period is 3 years, and the interest rate is 10% less than the benchmark interest rate of the bank.

As the financing lease is guaranteed by the company and its subsidiary broad-minded power, we estimate that the financing lease fund will be used for the acquisition of the power station and the development of the later power station.

The financial leasing business is a manifestation of the company's multi mode financing, which can revitalize the existing main assets and support the development of PV power stations.

We judge that on the basis of this financial leasing business, the company will continue to explore various financing modes such as asset securitization of photovoltaic power stations, and enhance the power development capability of the company.

The acquisition + self built mode is clear, the power station project reserves are abundant, and the quality private operation leader grows clearly.

The company adopts the mode of "self built + cooperative development + acquisition" to achieve scale expansion. Currently, it is connected to 150MW (the acquisition will reach 250MW). The reserve network in 2015 is close to 500MW, and the long-term plan is more than 2GW. The regional layout will gradually spread to Shanxi and Inner Mongolia from the advantageous areas such as Xinjiang and Yunnan.

Self built: follow up self built projects include the continuation of the two phase of the previous projects in Yunnan and Xinjiang; 2) cooperative development: building a power station plan with Lu'an solar energy in Shanxi, building 1GW in 2015, building 200MW in Vietnam, and building 100MW power stations in Inner Mongolia with Inner Mongolia electric machinery Co., Ltd.; 3) acquisition: the acquisition of Qinghai leno 50MW power station in 2013, the proposed acquisition

100MW power station.

The analysis shows that the internal incentive problem is straightened out, the growth path of the power station business is clear, and gradually entered the explosive growth period. It is estimated that the EPS in 2016 and 2015 will be 1.18 yuan and 1.98 yuan respectively, corresponding to PE 28 and 16 times.

The company's business is clear, and actively adopt the mode of acquisition + self built to expand the company's business. At the same time, using the mode of leasing financing to solve the problem of self financing, it can revitalize its own idle main business and solve the capital problem.

The objectives of the near future plan are clear, the company's prospects are bright, and strong recommendation is maintained.