subject: Yongle Sized Merger: Home Appliance Chain Pattern Changes - Hc Network Appliance Industry [print this page] Electrical Appliance Sales Co., LtdElectrical Appliance Sales Co., Ltd. President Chen Xiao in Hong Kong jointly issued a proclamation declaring April 19 the two sides had signed a cooperation agreement to implement a comprehensive strategy will be to achieve equity within a year combined. The combined company is expected to leap into the country's largest
Home Appliances
Chain enterprises, and
States United States
Su Ning Tripartite Confrontation form.
Yongle and Dazhong deep sources, as early as 2002, Beijing, Shanghai Dazhong and Yongle launched as a core unit set up in John Winton Union, members of the unit at one time nearly 20, was connected with the acquisition of China Paradise, the permanent Winton has existed in name only. The two sides in February this year in Xi'an and Qingdao, the two joint venture company formed by the region, is when the manager of Dazhong Electronics Advertisement Promotion Department, said Zhang Yong, the future will be possible to achieve a more comprehensive cooperation.
Market, according to Wing-lok, said Vice Minister Huang Jianping, although not officially announced, but the combined new company named Yongle (China) Electronics Retail Limited is almost a virtual certainty, reason is that Wing-lok, a listed company. Dazhong and Yongle in the stock exchange before the formal completion of the temporary operation of the implementation of dual-brand, Paradise in 11 stores in Beijing and Tianjin (Beijing 7, Tianjin 4) now been incorporated into the management system of large and medium, these 11 stores are still signs with Wing-lok. Paradise in northern China to open several stores will be classified as Beijing Dazhong management. And take full control of large and medium stores the above Paradise, will be in logistics, personnel, procurement, distribution and many other aspects of unified management. Wing-lok, some management staff in Beijing have also begun to enter the large and medium management system.
According to industry analysis, through the merger, medium and large curve can be listed by Wing-lok, and Paradise can be won with Morgan Stanley to "gamble agreement"?? Listing as Yongle, and Morgan Stanley Lee signed a "gamble" agreement, as its share price, profitability and other indicators can not reach agreement in a specified time standard, Paradise must vacate Morgan Stanley stake. The Paradise in a recent report published in last year's "289 million" in net profit, higher than the IPO is expected to only one million yuan. Therefore, some people believe, the jointly, Yongle, or may, by medium and large self-salvation.
However, for the completion of the merger, how to operate the two brands is still inconclusive. Zhang Yong to the "electrical" reporter confirmed that after the merger the new company's future ownership structure the allocation ratio, but also based on mutual profit condition of the other, after the merger is a two-brand operation or the operation of a single brand, will also be operating under the future decision situation. Yongle's Huang Jianping told reporters that in the future, medium and large electrical capacity only after the merger the new company a subsidiary. The Paradise store in Beijing and Tianjin area, but the new company appointed to manage branch. He stressed: "There is no need to who manages who points so clear, because the combined medium and large, and Paradise is a whole, do not see it breaking in half."
Analysis concerned that in recent years, China's home appliance chain industrial cooperation, mergers, acquisitions incident after another, but, before "" different from the conventional model, the merger is a real strong-strong joint. Comprehensive strategic partnership between the establishment of the Chinese home appliance chain industry consolidation of cooperation to a new level, both for industry suppliers and competitors, or on the market, consumers are very far-reaching implications, and could thus promote the Chinese home appliance chain industry fully integrated.
From the book's figures, last year, medium and large sales of 10 billion yuan, 15.2 billion sales in Paradise, and Suning Appliance and Gome were 400 billion and 45 billion yuan. Dazhong and Yongle after the merger is expected to jump to and Gome and Suning Appliance same size chain. Huang Jianping said that according to 2006 sales plans, medium and large, and Paradise combined sales of 300 billion to 40,000,000,000 yuan?? The scale enough to Gome, Suning the formation of rival powers trend.
However, the combined company than the "1 +1 = 2" more complex mathematical calculations, even Yongle and Dazhong that the merger with the industry also faced
Business management
, Distribution, procurement and other aspects of difference.
