subject: Trick Morgan Stanley To make appliances "Mengniu" - Yongle, Dazhong, chain - HC Network Appliance Industry [print this page] The signal into the quagmire of capital The signal into the quagmire of capital
Since late April 2006, Dazhong and Yongle "merger" after, Morgan Stanley, Citigroup and other international investment banks have published for the negative evaluation of China Paradise. Prior to the financial investors, China Paradise, listing sponsors Morgan Stanley is once again jointly staged the original story and Mengniu, could not wait to get out of cash. Double impact of China Paradise in the six trading days shares fell 40%. Although the capital markets experience, "abandoned", but long-term in the "Soviet hegemony" ( States United States And Suning Electric 0439.HK 002024.SZ) difficult to survive under the shadow of Paradise, seems to have spent the nationwide merger integration "hibernation period." The use of capital leveraged from "regional powers" to national hegemony ambitions begin demonstrated. Morgan cooperation with Mengniu, China Mengniu Dairy has been making the territory of Xiongbayifang. Morgan trick, whether the same success Wing-lok? Morgan Stanley cash As "51" during the Hong Kong stock market is not closed, Paradise crashing the stock failed to obtain relief. May 2, Wing-lok, close to 2.575 Hong Kong dollars to close at a record low share prices during the year, close to half a year ago when the IPO issue price of 2.25 Hong Kong dollars. The April 21, Wing Lok has just hit the highest price of 4.30 Hong Kong dollars during the year. As a listed company, Wing-lok, are feeling the pursuit of profit of capital market investors. But the Wing-lok, Chairman Chen Xiao said the price Change in the normal range. "Main before the merger price of 4.30 Hong Kong dollar is too high, is currently in the callback." Xiao-case interpretation. Shares rise Paradise "high dive," one of the major international investment bank's continuous negative reports. April 24, Yongle and Dazhong announced the merger of the first trading day after the Paradise sponsors listed issuers, Morgan Stanley said in a report: "As the costs rise velocity is greater than expected decline in earnings is expected to Yongle year 25% -27%" , while Paradise rating from "overweight" from "and the market simultaneously," target price reduced to 3.95 from the 4.20 HK dollar. Citigroup predicts, Paradise in the third quarter of the allotment of new shares and fund-raising to pay for acquisition of large and medium funds, therefore, reduce the Yongle Citigroup price target of 6% to 3.20 Hong Kong dollars, while Wing-lok's risk rating from "low" raised to "intermediate" to reflect the acquisition of the management of the risks involved. JP Morgan will also Yongle's rating from "overweight," reduced to "underweight," target price reduced 28% to 3.40 Hong Kong dollars. Contrast is just two months ago, Morgan Stanley also published research reports, maintain Yongle's "overweight" rating, saying that "the market for the Wing-lok, 2006, earnings projections were too conservative", to increase the Yongle annual profit forecast of 6% -7%, while the Yongle target price increase from the 3.15 yuan to 4.20 yuan, a rate of 33%. "Yongle and Dazhong announced the merger, but is the right time, to the international investment bank, cash in an appropriate reason." Yongle listing process, a participation of internal figure, Morgan Stanley as financial investors Paradise , listed in the Paradise last October when he signed in the second half of "lock-up agreement", in this period, its 20% stake held by Wing-lok, no transfer of the capital markets. However, on April 25 this year "lock in" automatic termination, the international investment bank Morgan Stanley, stock prices for Paradise "Xianyanghouyi" means cash in fact "clear enough" of. Consecutive adverse reports issued after the unit of Morgan Stanley MS Retail, CDH, TonyLey and RetailManagement such as equity participation fund, announced a price of HK 3.225 per share totaled 369 million shares sold in China Paradise shares of issued share capital 15.81%, cash of nearly 12 billion. Yongle effort Investors to "badmouth" Paradise, is becoming the capital market benchmark. Yongle and Dazhong in accordance with the "merger" plan, Yongle will pay for large and medium end of this year 150 million yuan, "deposit." How to raise this large amount of money, certainly in terms of the Paradise is a great challenge. According to the announcement, Paradise will be held on May 26 annual shareholders meeting, the agenda of the program for the implementation of the allotment. This is exactly the same prediction with the United States. Home Appliances Chain industry, "started taking" has been prevalent for many years. June 2004 Eagle GOME backdoor listing in July 2004 Suning in the A shares listed on the SME board, a listed home appliance chain financing as a tool for long-term reliable expansion. Today, medium and large accelerated acquisition of Yongle invested heavily enclosure, so that international investors felt manage risk.
Trick Morgan Stanley To make appliances "Mengniu" - Yongle, Dazhong, chain - HC Network Appliance Industry
