Wuhan Iron & Steel The 8 billion yuan of separately traded convertible bonds have been approved for issuance recently. Dong'e Ejiao will launch a share reform plan with warrants, and the warrant market is expected to become a hot spot in the market in the near future. Masteel CWB1 (580010) is the first warrant derived from convertible bonds with separate transactions in China's iron and steel industry. At present, it has a duration of more than 20 months, and has a double exercise period design. At present, the premium rate is only 10%, which is of great investment value and deserves investors' attention.
1、 Long duration and outstanding investment value
Ma Steel CWB1 (580010) is one of the only four remaining steel warrants. The last trading day is November 21, 2008, and the current duration is more than 20 months. It will be one of the best investment tools to share the bull market. What is more noteworthy is that Baogang warrant and Handan Steel warrant will be delisted at the end of March, and the number of steel warrants will be rapidly reduced to two, which makes Magang CWB1, one of them, more valuable.
2、 Cannot create advantages, double exercise period design
Masteel CWB1 is also the first equity warrant derived from separately traded convertible bonds in China's steel industry, that is, it will be newly issued by a listed company when it expires shares When the exercise is completed, the securities firm is not allowed to create it, so its circulation share will remain unchanged, completely avoiding the most important creation risk of warrant investment, which provides an important basis for the operation of the main capital.
In addition, the warrant also has a dual exercise period design: the holder can choose to exercise from November 15, 2007 to November 28, 2007 or from November 17, 2008 to November 28, 2008 - more effectively protecting the interests of warrant investors.
3、 Steady recovery of performance and outstanding investment value
Masteel In the third quarter of 2006, the company achieved a main business income of 9.3 billion yuan, an increase of 15.20% over the same period of the previous year; The net profit reached 607 million yuan, up 5.27% year on year, indicating that the company's performance has reached a turning point and new growth is expected. From the perspective of growth, Maanshan Iron and Steel Group will embark on a new starting point in 2008, and the new area project will bring huge profits to the company after its full and normal operation in 2007 and 2008; And with the growth of output, the company's performance will continue to grow steadily and rapidly, and the long-term investment value is very huge. In addition, the company has the first train wheel production capacity in Asia, which can share the high growth of China's railway industry more than other steel companies, and make its profitability more stable. It should enjoy a higher premium space, which will make its warrants appear a large premium.
4、 Industry restructuring and M&A bring imagination space
In recent years, there has been a trend of large-scale mergers and acquisitions in the steel industry at home and abroad. Mittal Corporation and Arcelor Corporation, the world's top two steel companies, have completed the merger. Angang Steel and Benxi Steel in China are listed as a whole after the merger. Baosteel Group, the leading domestic steel company, has also recently announced the reorganization Bayi Steel Baosteel Group is one of the top ten shareholders of Masteel, and the industry restructuring has brought new imagination.
5、 Short line adjustment is in place, and secondary blowout is imminent
After the listing of the warrant, it has gone up all the way, and the situation of main capital intervention is extremely obvious. Recently, it has been consolidated strongly in the process of market oscillation, and the secondary attack platform has been built. At the same time, Maanshan Iron and Steel Co., Ltd. has begun to stabilize around 5 yuan. The premium rate of the warrant is only about 10% at present, and the future market has strong explosive power. It is recommended that investors focus on it. (Zhu Guozheng, Huizheng Finance)
(Jinling/Prepared)
