Jianying Energy 2.8 billion to bet thermal power again

Jiantou Energy released the “Preplan for Issuing Shares Purchasing Assets and Supporting Financing and Related Party Transactions” yesterday. The company intends to issue no more than 729 million shares to purchase 100% of Xuanhua Thermal Power held by Jiantou Group and 40% of Jidong Power Generation. Equities, Sanhe Power 15% equity. It is worth noting that this is the second time that Jiantou Energy has started the injection of thermal power assets.

Some analysts have said that since the beginning of this year, coal prices have continued to fall, and the profitability of thermal power companies has clearly improved. This is indeed a good opportunity to inject thermal power assets.

28.58 billion yuan to purchase thermal power assets

According to the announcement, the company plans to provide matching financing for no more than 10 qualified non-public shares of specific objects. The total amount of matching financing does not exceed 25% of the total transaction amount. According to the issuance price of 3.92 yuan/share, the estimated value of the underlying assets is 2.858 billion yuan, with a value-added margin of approximately 79.18%.

The announcement also shows that the transaction includes the issuance of shares to purchase assets and supporting financing. Among them, the counterparty to issue shares to purchase assets is Jiantou Group; and the counterparty to matching financing is no more than 10 eligible specific objects.

Prior to the transaction, Jiantou Group held 55.01% of the company's shares and was the controlling shareholder of the company. After the transaction is completed, Jiantou Group will hold approximately 1.232 billion shares of the company. Regardless of the supporting financing of issuance of shares, after the issue of shares to purchase assets, Jiantou Group will directly hold approximately 74.98% of the company's shares.

According to the company's 2012 financial data, according to the company and the target company, after the completion of the transaction, the company's operating income and net profit attributable to owners of the parent company will increase by approximately 20.83% and 157.97%, respectively, compared to 2012. The ability will be significantly improved.

Second launch of thermal power asset injection

It is worth noting that this is Jiantu Energy's second launch of this asset injection. In June of last year, Jiantou Energy was based on a comprehensive analysis of the operating conditions of the industry, and the performance of the underlying company was difficult to achieve its expected goals. Therefore, the assets reorganization that lasted two years was terminated.

In response, energy industry analysts told the "Securities Daily" reporter that since the beginning of this year, coal prices have continued to fall, and the profitability of thermal power companies has clearly improved. This is indeed a good opportunity for injecting thermal power assets.

Jiantou Energy also said in the announcement that the company that restructured the targets is a thermal power company. The operating performance in recent years has been mainly affected by the on-grid price and the cost of burning coal.

In addition, coal prices continued to increase in 2010, leading to lower profitability of the target companies in 2010, including Xuanhua Thermal Power's 2010 annual loss. In 2011, the state raised the unit's on-grid tariff as a whole. The average on-grid tariff of the target company increased compared with 2010. Although the coal price was still at a high level in the year, the profitability of the target company in 2011 was better than that in 2010.

Yesterday evening, Jiantou Energy also announced a performance forecast notice that the company expects to achieve a net profit of approximately 247 million yuan in the first half of this year, an increase of approximately 328.83% over the same period of last year.

For the pre-increase of performance, Jiantou Energy stated that the coal market price in the first half of 2013 was further down. The fuel cost of the company's holding power generation companies decreased year-on-year, which affected the company's gross profit of thermal power main business year-on-year. Meanwhile, the company’s investment income from participating companies also increased year-on-year.