Core Viewpoint - CICC has downgraded Weigao's net profit estimates for 2025 and 2026 by 7% to RMB 19.89 billion and RMB 21.83 billion respectively, while introducing a net profit estimate of RMB 23.48 billion for 2027, maintaining a target price of HKD 6.40 and an outperform rating, indicating a potential upside of 22.4% [1] Group 1 - Weigao announced a reasonable exchange price for the share swap transaction with Weigao Blood Products, which will result in Weigao controlling Weigao Blood Products [2] - The final valuation for Weigao Purui was confirmed at RMB 8.511 billion, with the share swap involving 272 million shares, representing 65.11% of Weigao Blood Products' current issued shares [2] - After the transaction, Weigao's stake in Weigao Blood Products will increase from 23.53% to 51.35%, making Weigao Blood Products a subsidiary of Weigao [2] Group 2 - Weigao Purui's profit commitment is set at RMB 6.39 billion, RMB 7.20 billion, and RMB 7.84 billion for 2026 to 2028, with a compound annual growth rate (CAGR) of 10.7% [3] - If the transaction is delayed until 2027, the profit commitments for Weigao Purui will be RMB 7.20 billion, RMB 7.84 billion, and RMB 8.45 billion for 2027 to 2029, with a CAGR of 8.3% [3] Group 3 - Weigao Blood Products focuses on dialysis consumables and equipment, while Weigao Purui specializes in pre-filled delivery systems and automatic safety delivery systems, creating synergies in the biopharmaceutical upstream market [4] - The upstream biopharmaceutical market in China is projected to reach RMB 21.2 billion in 2024, with an expected growth to RMB 40.6 billion by 2030, reflecting a CAGR of 11.5% and significant potential for domestic substitution [4]
中金：维持威高股份(01066)“跑赢行业”评级 目标价6.4港元