External broker reports(aggregated public sources), CMB International

CMB International

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.

External broker reports(aggregated public sources)

Equity Bottom-Up

Yunnan Botanee Bio-Technology / Equity Bottom-Up

Yunnan Botanee Bio-Technology (300957 CH)

<ul><li>Botanee made a pronounced come-back year-to-date, reviving Tmall GMV from -59.8% YoY to -6.9% YoY between Jan and Oct, and accelerating its quarterly sales growth from 7% in 1Q to 26% in 3Q.</li><li>Year-to-date shares performance has gone against this trend and, in our view, the free-fall is running ahead of consensus estimates which still looked rather reserved in pricing-in the ongoing dilemma that Botanee is facing.</li><li>These are threefold: 1) when macro headwinds such as consumption trade-down (see our thematic report) and low fertility wish linger (see our Feihe downgrade report), growth outlook among AOXMED (super high-end) and Winona Baby could normalise sooner than expected, and Botanee’s single-brand risk could be exposed further given a full-fledged closequarters competition among brands; 2) herbal-/HA-based functional skincare is incrementally crowded out by the collagen-based. </li></ul><p><em>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.</em></p>

Botanee made a pronounced come-back year-to-date, reviving Tmall GMV from -59.8% YoY to -6.9% YoY between Jan and Oct, and accelerating its quarterly sales growth from 7% in 1Q to 26% in 3Q.Year-to-date shares performance has gone against this trend and, in our view, the free-fall is running ahead of consensus estimates which still looked rather reserved in pricing-in the ongoing dilemma that Botanee is facing.These are threefold: 1) when macro headwinds such as consumption trade-down (see our thematic report) and low fertility wish linger (see our Feihe downgrade report), growth outlook among AOXMED (super high-end) and Winona Baby could normalise sooner than expected, and Botanee’s single-brand risk could be exposed further given a full-fledged closequarters competition among brands; 2) herbal-/HA-based functional skincare is incrementally crowded out by the collagen-based. 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.

Botanee Biotech (300957 CH) – Headwinds Endure