According to the CITIC Securities Research Report, since the downturn in the 2021 real estate cycle, the construction industry has continued to experience the double impact of declining demand and damage to business quality; starting this year, convertible bonds in the construction industry will gradually usher in a peak in term payments, further challenging business operations and financial statements. However, in the context of continued loosening of mergers and acquisitions policies, building a second main business has become an excellent choice for enterprises to operate steadily in the medium to long term. In the short term, it can also help increase corporate valuations and overcome the difficulties of maturing convertible bonds. CITIC Securities believes that for enterprises whose debt conversion is nearing maturity and the main business is under high pressure, the transformation is relatively more necessary and urgent, and it is optimistic about their difficult situation and transformation opportunities.

According to the CITIC Securities Research Report, since the downturn in the 2021 real estate cycle, the construction industry has continued to experience the double impact of declining demand and damage to business quality; starting this year, convertible bonds in the construction industry will gradually usher in a peak in term payments, further challenging business operations and financial statements. However, in the context of continued loosening of mergers and acquisitions policies, building a second main business has become an excellent choice for enterprises to operate steadily in the medium to long term. In the short term, it can also help increase corporate valuations and overcome the difficulties of maturing convertible bonds. CITIC Securities believes that for enterprises whose debt conversion is nearing maturity and the main business is under high pressure, the transformation is relatively more necessary and urgent, and it is optimistic about their difficult situation and transformation opportunities.