Sina tip: This is a research report column, which is only an analyst's personal views and opinions on a stock, not a formal news report. Sina does not guarantee its authenticity and objectivity. All effective information about the stock is subject to the announcement of the Shanghai and Shenzhen Stock Exchanges. Investors are respectfully advised to pay attention to the risks.

　　 Changjiang Securities

The company plans to use the over raised capital of 134896100 yuan to acquire part of the equity of Jiangxi Baozhong Investment Co., Ltd., the original shareholder of Hezhong Shengshi (Beijing) International Media Advertising Co., Ltd. to invest in Hezhong Media. After the completion of the above transaction, the company will hold 55% of the equity of Hezhong Media. The purchase price is reasonable and the technique is skilled. This acquisition will help improve the national layout of brand management business and media agency business. Complementary resources bring potential brand agency business expansion value. Assuming that this acquisition is successful and that UPC can complete the VAM agreement, UPC will contribute 0.09 yuan, 0.11 yuan and 0.13 yuan respectively from 2012 to 2014. It is estimated that the company's EPS will be 0.82 yuan, 1.09 yuan and 1.38 yuan respectively from 2012 to 2014, and the PE corresponding to the current share price will be 27 times, 20 times and 16 times respectively. Benefiting from the strong demand of China's economic transformation and the gradual awakening of corporate brand awareness, in the context of low concentration of the advertising industry, Guangdong Guangyuan As the leader of the domestic advertising industry, it is expected to continue to build a communication group through acquisition and maintain the "recommended" rating.

get into [Sina Finance and Economics] discuss