Continue To Expand Metersbonwe'S Listing

Shanghai's Metersbonwe apparel Limited by Share Ltd (hereinafter referred to as "American bond") has chosen a path that many peers have gone through - the capital market.

After more than two years of listing rumors, in June 20, 2008, Smith Barney finally formally announced the listing of A shares.

In July 3rd, the US side confirmed that it had passed and was in a period of silence.

At present, the United States has been in the leading position of Chinese clothing (love stock, quotes, information).

Public information shows that its market share is 0.95%, and the total market share of the top 20 brands in the Chinese apparel industry is 5.9%, and none of them has a market share of more than 1%.

In its prospectus, Smith Barney said it would choose to issue 70 million shares in the A share market and plan to raise 1 billion 800 million yuan, with the sponsor being UBS.

However, up to now, the issue price and listing location have not yet been determined.

In fact, as early as two or three years ago, the news of the listing of the United States and the state has spread like wildfire.

However, the listed version was Hongkong market at that time.

For the landing of A shares, Smith Barney said that the potential of the domestic stock market was in mind.

And the US insiders say that leading the domestic counterparts is the first step. Consolidating the Internet is a means. After that, the United States will position the international market.

The core competitiveness of clothing retail enterprises is the marketing network and channel, which will not be the sole purpose of such enterprises listing, but it is one of the important reasons, Taka Yoshimi said.

It is understood that the domestic garment industry has not listed many enterprises, including Fujian seven wolves (love shares, quotes, information) industrial Limited by Share Ltd, and Zhejiang wedding bird (love shares, quotes, information) clothing, Limited by Share Ltd and so on.

Such enterprises will raise funds for marketing network and chain channel construction and upgrading.

The use of planned funds raised by the United States has not been out of the box.

In its prospectus, the United States said it plans to raise 1 billion 800 million yuan, of which 1 billion 600 million yuan for network construction, and 200 million yuan for information system construction.

The construction of the marketing network to raise investment includes the construction of 68 stores, including 5 direct flagship stores, 26 direct camp image stores, 3 flagship stores and 34 strategic alliance image stores.

In addition, the United States will continue to implement the national logistics network strategy based on the construction of the six focus logistics distribution center in Shanghai as the starting point for the upgrading of the entire logistics network structure.

In Tianjin, Guangzhou, Xi'an, Chengdu and other places to establish a modern regional logistics center, strengthen the distribution capacity of North China, Southern China, northwest and southwest, expand the pportation pipeline, and achieve a nationwide pportation network.

Public information shows that at present, the United States has 94 medium-sized cities not covered in the second tier market, the uncovered coverage rate is 33%, and the 1279 tier cities in the three tier market are not covered, and the coverage rate is 64%.

"The ultimate goal of the United States is the international garment retailing enterprise, and the construction of marketing network is naturally the key," the insiders said.

The person also said that in the clothing retail industry, marketing network is a direct weapon to seize consumers.

Many international apparel retailers do not even need advertisements to attract consumers through stores alone.

Up to the first quarter of this year, the United States has 2211 stores and franchises in the country, including 1927 franchisees and 284 direct outlets.

From 2001 to 2007, the annual compound growth rate of the number of stores in the United States and the United States was 30.37%, of which the annual compound growth rate of the direct stores was 33.44%, and the annual compound growth rate of the stores was 29.95%.

According to Euromonitor's statistics and forecasts, the proportion of casual wear sales through stores, supermarkets and direct sales will gradually increase, and the proportion of sales through department stores and private stores will gradually decline.

In the face of the huge market potential, the listing will solve the capital problem for the United States and the state, but its internal business situation still needs to wait and see.

In the big expansion of Smith Barney, most of the subsidiaries acquired in recent years were in a state of deficit.

According to the US bond's financial report, in 2005, the US bond company lost all its losses and accumulated a total loss of 40 million 439 thousand and 200 yuan. In 2006, apart from Shenyang and Beijing, the United States and the United States began to make profits, other subsidiaries still suffered losses and accumulated a total loss of 40 million 515 thousand and 400 yuan.

In explanation of the prospectus, Smith Barney explained that "some of its subsidiaries are not open for a long time, and the direct stores run by subsidiaries are responsible for cleaning up inventory."

Gao Fang min agrees with the views of Smith Barney. He estimates that it will take about a year or so, and Mikuni Ko's losses will improve.