AOKANG International 3 Months Float 250 Million Yuan Business Concept Hype Overheating?

The industry believes that in terms of capital concept, Lanting Pavilion is more popular than AOKANG. " Cross-border electricity supplier This has become the hottest concept in the capital market this year. AOKANG Investment in Lanting Pavilion is in the context of national policies to encourage cross-border business enterprises to accelerate the layout. And the Lanting Pavilion is gathering momentum. list After the loss is more serious, the shortage of money Lanting Pavilion encountered transformation of traditional enterprises, the combination of the story is not difficult to understand.

Recently, the media reported that the first share of foreign trade business was trapped in Lanting Pavilion. Assistant to the president of Lanting Pavilion gathering center responded that "there is a lot of false content on the Internet. It will communicate with you as soon as possible, and pass some official information to dispel misunderstanding."

It is worth noting that 3 months ago, AOKANG international made the largest shareholder in the Lanting Pavilion market with a total transaction price of 77 million 340 thousand US dollars (about 480 million yuan), which accounted for 25.66% of the ordinary shares. However, as of yesterday, Lanting Pavilion's stock price closed at $2.94, less than half of AOKANG's $6.30 purchase price. Based on this calculation, AOKANG international has lost 250 million yuan in 3 months.

A securities analyst said that although the investment looks uneconomical, it can not be judged for the time being whether the investment fails. The two companies mostly depend on strategic cooperation, but they do not rule out the overheated speculation of the capital market in the first half of the year.

　　 Electricity supplier concept speculation overheated

The industry believes that in terms of capital concept, Lanting Pavilion is more popular than AOKANG. "Cross-border electricity providers have become the hottest concept in the capital market this year. AOKANG's investment in Lanting Pavilion is in the context of national policies to encourage cross-border electricity suppliers to accelerate their layout. And the Lanting Pavilion has been losing more money since its listing. The Lanting Pavilion that lacks money meets the traditional enterprises in transition. The story of combining the two is not difficult to understand.

In mid June of this year, AOKANG International announced that it was planning to grant 25.66% of Lanting Pavilion's shares by cash in the form of a subsidiary of Hongkong, and the total transaction consideration would be 77 million 344 thousand and 500 yuan (about 480 million yuan). After the completion of this transferable share, AOKANG international will become the largest shareholder in Lanting Pavilion.

According to the announcement information, the purchase price is up to 26.5% on the day of the closing price of the Lanting Pavilion closing price of 4.98 US dollars per share, and the transfer price of ADS per share is US $6.30 the day before the signing of the agreement. Orient Securities researcher analysis of the transaction, "the transferable price is quite competitive, far lower than the domestic similar investment. Corresponding to the total market capitalization of Lanting Pavilion, the total market value is 1 billion 871 million yuan. In 2014, Lanting Pavilion's potential income was about 2 billion 372 million yuan, and the market sales rate was 0.79 times, far below that of the Lanting Pavilion. Hundred round trousers industry 11.72 times the sales rate (100 round pants industry's main industry income in 2014 418 million, global easy to buy income 1 billion 416 million yuan).

For the stake in Lanting Pavilion, AOKANG international chairman Wang Zhentao said earlier that "the purpose is to take advantage of both sides in the traditional industries and Internet resources to create a traditional industry." Internet plus Strategy. At the same time, we hope to use AOKANG's cross border e-commerce platform to bring a series of excellent Chinese brands represented by AOKANG to global consumers, and use the Internet to create a global strategy for Chinese brands.

Public information shows that AOKANG group is a traditional footwear enterprise in China. It focuses on the R & D, manufacturing, distribution and retail of footwear and leather products. It was listed on the A stock board in April 2012. Its current market value is 22 billion 288 million yuan (about 3 billion 598 million US dollars), which is more than two times that of the stock market. Foreign trade B2C Lanting Pavilion was listed on the NYSE in June 2013. Its current market value is US $279 million, which has shrunk by nearly two times compared with the market value.

One is the traditional manufacturing industry which is facing the stock squeeze and the rising labor costs. The other is the cross-border electricity supplier, one of the main directions of the current electricity supplier, but the difference between the two is actually too great. "This kind of investment can not look at the book, and the two are strategic needs." The securities analysts believe that, in addition to this, we can not exclude the fact that the capital market has overheated the electricity supplier in the first half of the year. The A share listed company's investment in the US stock market has also created a topic for China's stock market to dismantle VIE and return to A shares.

In addition, according to insiders close to AOKANG international, Lanting Pavilion reached a high level of share price and revenue when two investment agreements were reached. "Cross-border electricity providers are the hottest concept in the capital market this year, and investment in US stocks also depends on their growth. There are many synergies between AOKANG and Lanting Pavilion, but Lanting Pavilion needs to reverse the current dilemma."

　　 Foreign trade business dilemma

The boom in cross-border e-commerce has spread since 2014, and capital is still competing. In addition to the traditional e-commerce platform, shopping arcade operators, department stores and even real estate developers, food companies, and apparel industries have arranged for cross-border e-commerce providers to share a slice of the pie. "Cross-border electricity providers mentioned in the past two years refer to Hai Tao, which has been imported from overseas to the type of electricity supplier in China. Before 2013, Lanting Pavilion launched its listing, cross-border electric business which exported Chinese cheap goods to overseas trade has existed for many years, and has been in a situation of heavy noise." Xu Dingxin, a cross border electricity supplier observer, said that cross border electricity providers are involved in many fields. The threshold is not low, and it will become more and more difficult to operate.

It is understood that the Lanting Pavilion set up in 2007 as the first brand of cross-border electric business in China, and was listed on the New York stock exchange in June 6, 2013. The core categories include clothing, home and accessories. The products are sold to more than 200 countries and regions, covering 27 main language services worldwide, and 98% of their revenue comes from overseas users.

To put it simply, the main business of Lanting Pavilion gathering is to sell domestic goods to the outside world, which is known as the positive foreign trade B2C. To some extent, what Lanting Pavilion has done is what foreign trade companies do. This has not changed the industrial structure of China's export and foreign trade industry mainly based on labor intensive labor costs.

Because of the high gross margin, the wedding dress is a kind of Lanting Pavilion collection, but then the local homogenization is serious, and the wedding dress business is weak. It can be seen from the earnings report that Lanting Pavilion's net loss in the two quarter of 2013 was US $1 million 400 thousand, the net loss in the three quarter increased to 2 million 400 thousand US dollars, and the fourth quarter has expanded to 5 million 600 thousand US dollars.

Analyst Zhuo Saijun pointed out that after the listing of the Lanting Pavilion, many business enterprises have launched foreign trade, and have carried out a fierce price war. The white hot competition in the foreign trade industry has brought sales pressure to Lanting Pavilion.

In addition, industry analysts believe that the biggest dilemma facing foreign trade consumers is after-sales service. Foreign consumers, especially consumers in Europe and America, have a complete set of retail sales system. "No reason to return" is their consumption habits and consumption culture. And the products purchased from cross border online shopping should not be returned without reason. Cross border logistics, customs declaration, taxation and other cross-border online shopping must go through enough process to let any consumer eliminate the idea of returning goods. Therefore, it has also become the main reason for restraining the enthusiasm of Chinese manufacturing products with low quality and low price.