Textile Enterprises Catch Up With Equity Financing Tide

In 2010, the first half of the stock market officially fell into the curtain. In the past six months, equity financing in the domestic capital market was booming. According to the latest statistics of Shanghai financial information, as of June 30th, including the first, the issuance and the rights issue, the capital market scale in the first half of 2010 was as high as 371 billion 604 million yuan, of which, the initial financing was 193 billion 149 million yuan, the issuance of financing was 143 billion 475 million yuan, and the rights issue was 34 billion 989 million yuan.

Many textile and clothing categories

The only gem is 281 million yuan.

In the first half of the year, there were 5 textile companies that raised funds through IPO.

In January 28th, the three dimensional silk board of the gem company opened the curtain of financing for textile enterprises this year, issuing 13 million shares at the price of 21.59 yuan / share and raising funds of 281 million yuan.

In February 26th, three dimensional silk was officially unveiled in Shenzhen, which is the second GEM listed textile company after the Pathfinder.

The performance of 3D silk was excellent after its listing. Its opening price was 35 yuan on the first day, and its stock price was higher to 45.5 yuan in April 26th, up 110.7% compared with the issue price.

In the first quarter, the operating income and net profit increased by 67.41% and 270.1% respectively.

Huatai joint believes that three dimensional silk benefited from the opportunity of explosive growth in the industry brought about by the improvement of the national environmental protection dust removal standards. The performance in the next 5 years will maintain a 50% growth rate. At present, PEG is less than 1 and has a high margin of safety. It is considered that PE, which is 50 times the amount of PE in the year, can reflect the reasonable value of the company and maintain the buying rating.

Wide - hair securities also believe that the future 5 years profit of three-dimensional silk composite growth rate of more than 50~60%, a year target price of 45 yuan (June 28th closing price of 36.7 yuan), to give "buy" rating.

Haitong Securities believes that the net profit attributable to the parent company's shareholders in three dimensional 2010~2012 is 60.70%, 46.64% and 27.15% respectively. The company's growth is good and its valuation is relatively high. For the first time, the investment rating of "overweight" is given.

4 small and medium-sized board companies IPO raise 3 billion 362 million yuan

In April, 3 companies successfully started in the textile and garment industry.

In April 2nd, the textile and garment family ushered in second new members this year. The joint stock company issued 27 million shares at the price of 45 yuan / share and raised 1 billion 215 million yuan. It is the largest textile stock that IPO raised this year.

In April 9th, the home textile industry has the longest history, the largest number of franchised stores and the largest number of patented technology, the dream home textile started IPO, issuing 16 million shares at the price of 51 yuan / share, and raising funds of 816 million yuan.

In April 20th, the domestic silk industry leader Jiaxin silk issued 33 million 500 thousand shares at the price of 22 yuan / share and raised 737 million yuan.

The three stocks were divided after landing in the Shenzhen small and medium-sized board: the joint stock was listed in April 23rd, the opening price was 59.1 yuan on the first day, and then it went down all the way; in April 29th, the dream home textile was held in full dress, the highest price was 61.1 yuan on that day, and it was the first high priced stock in the textile industry. The first day (May 11th) of Jiaxin silk was hit by a break, which dropped 1.91% to 21.58 yuan, which not only made the whole new product locked up, but also made the unsuccessful sellers all damaged.

In May, another new member of the textile industry based on high-end clothing brand unveiled. Kaiser shares issued 27 million shares at a price of 22 yuan / share and raised 594 million yuan.

Since its listing in June 8th, its stock price has remained stable, and its share price has risen 2% in one month.

Although the listing of new shares is not satisfactory in the two tier market, its fund-raising has played an important role in the pformation or construction of new projects by listed companies.

It is indicated that the 1 billion 215 million yuan fund-raising fund will mainly focus on the technical pformation projects of high-grade fabrics, weaving and dyeing and finishing processing, the technical pformation projects of high-grade special natural fiber yarn production lines and the technical pformation projects of high-grade special shirts and hanging water production lines. The dream home textile will invest 178 million yuan fund-raising in the annual output of 300 thousand sets of bedding decorations and 800 thousand core batched production lines, which will increase the company's net profit by 42 million 810 thousand yuan every year. The Jiaxin silk will take out 341 million yuan of this fund-raising and invest 600 tons of natural fiber knitted fabric and 900 thousand seamless silk knitted underwear. After the completion of the project, the company is expected to add a net profit of 70 million 880 thousand yuan, which can completely offset the negative impact of the annual depreciation fee of 23 million 610 thousand yuan on profit. First largest joint stock issue is clear.

Among them, the joint venture shares part of the investment projects have been implemented to support the company's performance growth, the first quarter after the listing of the main revenue and net profit increased by 46.45%, 69.89%, respectively, and 1~6 net profit in 2010 is expected to increase by 15~30% over the same period last year.

CIC believes that large producers of color woven fabrics will continue to grow in the recovery of the industry, predicting that the EPS of 2010~2012 will be 1.69 yuan, 2 yuan and 2.34 yuan.

After the first quarter of the market, the main revenue and net profit increased 32.15% and 146.22% respectively.

GF believes that as one of the regional leaders of the home textile industry, Meng Jie home textile market has a deeper market base, and its brand image has been deeply rooted in the hearts of the people. Under the impetus of the listing, the company will accelerate its progress in the coming years and give a "buy" rating.

Jiaxin silk and Kaiser shares maintained a simultaneous growth in main revenue and net profit in the first quarter. CIC believes that Jiaxin silk is the leading enterprise of the "Silk house" and has a large resource advantage. Galaxy Securities believes that the efficiency of Kaiser's own stores and single stores determines the company's performance growth. It is estimated that the compound growth rate of net profit will exceed 30% in the next three years.

2 companies raise 676 million yuan in private placement

Compared with the first round, the textile companies that only raise funds through private placement are only Xinye textile, Zhonghe and two stock companies. The total raised funds are only 676 million yuan, and the average financing amount is only 46.39% of the initial ones.

In April 30th, the Xinye textile non-public offering application was approved by the SFC, and 90 million shares were issued for specific investments. In May 31st, the private placement issue (restricted sale) was listed and the total amount raised was 494 million yuan.

According to the company, the main purpose of this project is to introduce advanced international compact spinning equipment and combed yarn production equipment, which will further improve the company's "three no one essence" level. After the implementation of this project, the market share of high-grade textile products will be raised, and the proportion of high-end products and high value-added products will be expanded to fill the blanks of the pure cotton combed compact yarn products.

Obviously, after the private placement, the company's total assets and net assets will increase, its debt paying ability will be strengthened, and the asset structure will be further improved.

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Xinye textile produced 277 million yuan from the fund-raising of the private placement, launched the Xinjiang Akesu lint processing base and the pure cotton combed yarn production line, and achieved sales revenue of 596 million 610 thousand yuan in the year after delivery, and realized a total profit of 45 million 350 thousand yuan annually.

The company's operating profit, gross profit and net profit increased by 706.53%, 377.03%, 378.22% in the first quarter compared with the same period last year, and the net profit in the first half of 2010 was expected to increase by 200%~230% over the same period last year.

Due to the short time of listing, no investment analysis has been made yet. However, with the coming of the Xinjiang regional revitalization plan, the gold rush of Xinye textile will not be lost in the background of the increasing enthusiasm of the listed companies outside Xinjiang.

Zhonghe shares were set up in June last year to issue a non-public offering plan, which is intended to be targeted to 6 specific investors. The net amount of the fund-raising is expected to be 671 million yuan. In December last year, the number of non-public offering stocks was adjusted from no more than 110 million shares to no more than 92 million shares. In March this year, the number of shares issued will be adjusted from 92 million shares to 73 million shares.

The second revised plan shows that the net amount of fundraising has been reduced to 417 million yuan. During the period, it has shrunk by 254 million yuan, of which the largest change in the amount of fund-raising used to return bank loans is a total decrease of 200 million yuan.

In May 8th, the public and private placement scheme was approved by the securities and Futures Commission. In June 23rd, 61 million 700 thousand private placement (restricted sale) pactions were conducted, and the total amount raised was 7.01 yuan, according to the issuing price of 7.01 yuan / share.

It is disclosed that the fund-raising funds will be used for the annual production of 13 million 200 thousand M liquid ammonia crosslinking finishing high-grade fabric construction project, the annual production of 22 million M high-grade printing and dyeing fabric production equipment technical pformation projects and the return of bank loan projects.

After the implementation of the fund-raising funds, the share and net assets will increase substantially, from 570 million 429 thousand and 300 yuan at the end of last year to 987 million 784 thousand and 600 yuan at the present time, an increase of 73.17%, and the asset liability ratio will also decrease significantly, from 13.29 to 49.08% at the end of last year, the asset liability ratio is 62.37%.

The implementation of private placement has injected fresh vitality into the public and shares. The company has not only tested the brand operation of water, but also extended the printing and dyeing production from upstream to downstream brand operation, and also has a new "one-stop service" mode.

Haitong Securities in June 18th's research report said that the public and shares are basically good at present, fabric orders are sufficient and have been discharged to September, 28 million meters of color woven fabrics will play 60% of the production capacity in 2010, coupled with the contribution of the daily Ni Chi, the increase of the proportion of Xiamen and China printing, and the increase of some printing and dyeing cloth customers. After the dilution, it is estimated that earnings per share are 0.32 yuan, the first time to give "overweight" rating.

CIC securities also said that although the shares and shares are currently close to a reasonable price area (reasonable price earnings ratio of 25 times), but with the revival of the textile and garment industry in 2010 and the effectiveness of the company's investment projects increased, the company's performance growth is still relatively large, stock prices still have room for growth, continue to give the "recommended" rating.