External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Equity Bottom-Up

China Three Gorges Renewables / Equity Bottom-Up

<ul><li>CTGR reported a 10.31% YoY increase in 3Q23 electricity generation, with wind and solar power showing robust growth.</li><li>Cumulatively, from 1Q23 to 3Q23, the company’s electricity generation grew by 13.36% YoY to 40.03bn kWh.</li><li>We remain optimistic about CTGR’s full-year power generation. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CTGR reported a 10.31% YoY increase in 3Q23 electricity generation, with wind and solar power showing robust growth.Cumulatively, from 1Q23 to 3Q23, the company’s electricity generation grew by 13.36% YoY to 40.03bn kWh.We remain optimistic about CTGR’s full-year power generation. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CTGR Group (600905 CH) – Robust 3Q23 Power Generation

HK/China Equity Long-Short

Osbert Tang, CFA

Equity Capital Markets

China Three Gorges Renewables / Equity Capital Markets

<a href="https://www.smartkarma.com/entities/china-three-gorges-renewables" target="_blank" data-smartkarma-citation="entities:28950:1" rel="noopener">China Three Gorges Renewables (600905 CH)</a> (CTGR) will formally kick off its IPO today at Rmb2.65 per share. Relative to its peers, we see the stock's valuations appealing given its growth outlook, sizeable scale and large market capitalisation. The 36.7x subscription rate for institutional interest during the price consultation period also indicated good demand from professional investors.The online IPO roadshow on 28 May also painted a positive picture for CTGR. The company addressed the issues on removal of subsidies, cost advantages, market expansion, business segment outlook and ROE prospects, and generally the takeaways are not disappointing. Mainland China-listed peers are sitting on an average of 21x PER and 1.5x P/B for FY21F, and this makes CTGR's proposed multiple - 13.6x (weighted average) and 1.1x P/B not too demanding.

China Three Gorges Renewables (600905 CH) (CTGR) will formally kick off its IPO today at Rmb2.65 per share. Relative to its peers, we see the stock's valuations appealing given its growth outlook, sizeable scale and large market capitalisation. The 36.7x subscription rate for institutional interest during the price consultation period also indicated good demand from professional investors.The online IPO roadshow on 28 May also painted a positive picture for CTGR. The company addressed the issues on removal of subsidies, cost advantages, market expansion, business segment outlook and ROE prospects, and generally the takeaways are not disappointing. Mainland China-listed peers are sitting on an average of 21x PER and 1.5x P/B for FY21F, and this makes CTGR's proposed multiple - 13.6x (weighted average) and 1.1x P/B not too demanding.

China Three Gorges Renewables (600905 CH) A-Share IPO: Kick-Start of IPO and Post-Roadshow Updates

<a href="https://www.smartkarma.com/entities/china-three-gorges-renewables" target="_blank" data-smartkarma-citation="entities:28950:1" rel="noopener">China Three Gorges Renewables (600905 CH)</a> (CTGR) has just published on 7-May its initial IPO price of Rmb2.65, aiming to raise net proceeds of Rmb22.5bn, giving it a gigantic market cap of Rmb75.7bn. The IPO is expected to take place by end-May with trading commences in early-Jun. After posting a 26.4% YoY net profit growth for FY20, its 1Q21 net profit will still increase by 15.1-24.6% based on its guidance. In our view, this indicated sustained quality earnings stream at CTGR. Our earnings projections suggested that CTGR will achieve a 3-year earnings growth of 22%, putting the IPO price at 13.6x (weighted average) and 15.5x (fully-diluted) for FY21. Relative to an average of 20.4x for its A-share peers, such multiples are undemanding. Moreover, its huge market cap should attract good institutional interests, as it will be the largest renewable (ex-hydro) play in China. For our views on the key positives and negatives on CTGR, please refer to <a href="https://www.smartkarma.com/insights/china-three-gorges-renewables-a-share-pre-ipo-initial-thoughts" target="_blank" data-smartkarma-citation="insights:38547" rel="noopener">China Three Gorges Renewables A-Share Pre-IPO: Initial Thoughts</a>.

China Three Gorges Renewables (600905 CH) (CTGR) has just published on 7-May its initial IPO price of Rmb2.65, aiming to raise net proceeds of Rmb22.5bn, giving it a gigantic market cap of Rmb75.7bn. The IPO is expected to take place by end-May with trading commences in early-Jun. After posting a 26.4% YoY net profit growth for FY20, its 1Q21 net profit will still increase by 15.1-24.6% based on its guidance. In our view, this indicated sustained quality earnings stream at CTGR. Our earnings projections suggested that CTGR will achieve a 3-year earnings growth of 22%, putting the IPO price at 13.6x (weighted average) and 15.5x (fully-diluted) for FY21. Relative to an average of 20.4x for its A-share peers, such multiples are undemanding. Moreover, its huge market cap should attract good institutional interests, as it will be the largest renewable (ex-hydro) play in China. For our views on the key positives and negatives on CTGR, please refer to China Three Gorges Renewables A-Share Pre-IPO: Initial Thoughts. 

China Three Gorges Renewables (600905 CH) A-Share IPO: Set for Late-May and Thoughts on Valuations

<ul><li>CTGR Group announced its 1H23 results, with in-line business operation but operating cost missing expectations.</li><li>CTGR achieved revenue of RMB13.70bn, up by 12.98% YoY. Attributable NP was RMB4.52bn, dropped by 10.10% YoY.</li><li>Although CTGR reported solid operation in electricity generation and slightly beat on-grid tariff, the increase in costs and operating expenses (under updated accounting standards) led to a drop in earnings. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CTGR Group announced its 1H23 results, with in-line business operation but operating cost missing expectations.CTGR achieved revenue of RMB13.70bn, up by 12.98% YoY. Attributable NP was RMB4.52bn, dropped by 10.10% YoY.Although CTGR reported solid operation in electricity generation and slightly beat on-grid tariff, the increase in costs and operating expenses (under updated accounting standards) led to a drop in earnings. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CTGR Group (600905 CH) – Sound Business Operation; Rising Depreciation Drags on Earnings

<ul><li>China Three Gorges Renewables (CTGR) is one of the pioneers among new energy power operators.</li><li>The Company is a subsidiary of CTG, whose actively develops wind and solar power.</li><li>CTGR plans to achieve a newly installed capacity of 5,000 MW in solar and wind power in 2023, with installation progress expected to accelerate in 2H23.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Three Gorges Renewables (CTGR) is one of the pioneers among new energy power operators.The Company is a subsidiary of CTG, whose actively develops wind and solar power.CTGR plans to achieve a newly installed capacity of 5,000 MW in solar and wind power in 2023, with installation progress expected to accelerate in 2H23.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CTGR Group (600905 CH) – Green Power Giant Forges Ahead

China

China Three Gorges Renewables (Group) Co.,Ltd. operates renewable energy generation businesses. The Company generates onshore wind power, photovoltaic power, wind power, hydropower, solar power, and other power products. China Three Gorges Renewables (Group) also operates investment businesses.

China Three Gorges Renewables (600905 CH)

China Three Gorges Renewables (600905 CH)

CTGR Group (600905 CH) – Robust 3Q23 Power Generation

Cumulatively, from 1Q23 to 3Q23, the company’s electricity generation grew by 13.36% YoY to 40.03bn kWh. We remain optimistic about CTGR’s full...

CMB International

CTGR Group (600905 CH) – Sound Business Operation; Rising Depreciation Drags on Earnings

CTGR Group announced its 1H23 results, with in-line business operation but operating cost missing expectations. CTGR achieved revenue of...

CMB International

CTGR Group (600905 CH) – Green Power Giant Forges Ahead

CTGR plans to achieve a newly installed capacity of 5,000 MW in solar and wind power in 2023, with installation progress expected to accelerate in...

CMB International

CTGR Group (600905 CH) – Robust 3Q23 Power Generation

Cumulatively, from 1Q23 to 3Q23, the company’s electricity generation grew by 13.36% YoY to 40.03bn kWh. We remain optimistic about CTGR’s full...

CMB International