Jordan Sports Successfully Listed &Nbsp; Will Expand The Production Of Shoes Products.

In November 25th,

Moreover, four listed companies different from Fujian's "Legion" and Lining of Beijing all landed at the Hong Kong stock exchange. Jordan sports chose the domestic A share market, and it will also become the first A sporting goods listed company in China.

Jordan sports issued 112 million 500 thousand shares this time, accounting for 20% of the total share capital issued after the issue, with a face value of 1 yuan per share, and is scheduled to land on the Shanghai stock exchange.

Prospectus shows that Jordan sports in 2008 -2011 June operating income were 1 billion 158 million yuan, 2 billion 316 million yuan, 2 billion 927 million yuan and 1 billion 704 million yuan, respectively, the growth rate was 100% and 26.33% respectively.

As of June 30, 2011,

With the fierce competition in the domestic sporting goods market, with the help of capital strength, we can expand the scale rapidly, expand the terminal and enhance the brand image, so as to seek the breakthrough and promotion of the brand, and cope with the competition.

For those other two or three line sports goods brands that have not yet been listed in Jinjiang, as the limited market is gradually being partitioned by the dominant enterprises, their pressure will be bigger and bigger, and the days will be more and more difficult.

The Ding family is the biggest winner.

PEAK sports sales in recent years

In the past two years, the family's "taste" has always been an important aspect of the SFA's attention.

Despite all this, Jordan sports, which has gone through this meeting, still highlights a strong family flavor.

Jordan sports, formerly known as the two commodity factory in Jinjiang, was founded in 1984. At that time, it was a privately run collective enterprise with a total capital of 30 thousand yuan.

In 1990, the two factories of daily necessities were re registered for collective ownership, with a registered capital of 136 thousand yuan.

Enterprises affiliated to the village committee are funded by Ding Lao, Ding Guoxiong and his son, each invested 68 thousand yuan.

Prospectus shows that after Jordan sports changes, share reform and capital increase, the top six shareholders are Fujian 100 group (64.73%), Ding Jiafang (16.18%), Ding Canhui (8.09%), Ni Zhennian (6%), Xie Changzhi (3%) and Ding Shijie (2%).

Among them, Ding Guoxiong and Ding Yezhi hold 100% of Fujian's hundred group holdings. Ding Jiafang is Ding's brother, and Ding Shijie is Ding Guoxiong's nephew.

Therefore, Jordan sports actual control of Ding Guoxiong and Ding Yezhi couples.

The prospectus also shows that the legal person of Jordan sports branch is also a member of the Ding family.

For example, the legal representatives of Liaoning Baisheng trade, Dalian Baidu commerce, Hubei Baisheng commerce, Sichuan Baiying commerce, Guizhou Baishi trade, Shanghai Baxing commerce and so on are all Ding Shijie, namely Ding Guoxiong's nephew.

Of course, the family "taste" is relatively strong, which is a relatively common feature of most clothing and footwear enterprises.

If PEAK sports has listed 420 million shares, chairman Xu Jingnan holds more than 61% stake.

From the experience of members of the "Ding family", Ding Guoxiong has been engaged in shoes related business for many years, and Jordan sports has done business in Wuhan, Liaoning and other places.

Since the early 80s of last century, Ding Guoxiong set up shop in Beijing to distribute sports shoes.

Starting in 1985, Ding Guoxiong started selling shoes wholesale at the same time, and provided them to the self-employed in Beijing.

By the end of 1995, Ding Guoxiong had set up more than 10 retail outlets and wholesale stores in Beijing, and a wholesale shop in Tai Kang shoe city, which has been selling for 12 years.

At the beginning of 1985, Ding Guoxiong will sell some of his proceeds from sports shoes in Beijing to engage in shoe material trade in Jinjiang.

Since 1990, Ding Jiafang has been selling accessories for shoes and garments in Quanzhou, Fujian and surrounding areas, mainly providing accessories for Jinjiang shoe factories and Shishi garment factories.

Many years later, the "Ding family" collectively completed the "carp jump to Longmen" and became the biggest winner.

What needs to be pointed out is that with the success of listed companies becoming a public company, how to continuously improve the corporate governance structure, further improve the modern management level of enterprises, introduce more professional management teams and talents, and make more standardized management on the basis of "strong flavor" of the family will become a new topic for the company in the future.

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495 million for shoe production base extension

Jordan sports raised funds are mainly used in two aspects of production R & D and channel construction. Among them, the expansion of shoe production base will be one of the most important uses.

The total investment of the project is 495 million 370 thousand yuan, the sum of which is the first investment in the four largest investment projects.

The prospectus shows that Jordan sports established a shoe factory in 2004, and completed the construction and commissioning of the two shoe factory in 2010.

At present, the company has 16 shoe production lines, and shoe production capacity is about 16 million 500 thousand pairs / year.

After the expansion of the new shoe production base, 9 million pairs of shoes will be added each year, 4 million 800 thousand pairs of high frequency printing and embossing processing, and 15 million pairs of sole.

In fact, with the rapid development of the brand, the production capacity of Jordan's sports footwear products can not fully meet the sales needs.

This is due to the increasing sales of footwear products and the rapid growth of their demand.

The sales volume of Jordan shoes has maintained a rapid growth in recent years.

In 2008, the company sold 5 million 750 thousand pairs of shoes products, achieving sales of about 490 million yuan, an increase of about 96% over the same period last year; sales of 8 million 550 thousand pairs in 2009, sales of about 720 million yuan, an increase of about 49% compared to the same period last year; sales of 13 million 600 thousand pairs in 2010, sales of about 1 billion 180 million yuan, an increase of about 63% over the same period last year.

According to the analysis of Jordan sports's past sales and the analysis of the future sports shoes market, with the continuous expansion of market demand, the company's existing sports shoes production capacity will be increasingly unable to match sales volume increasing year by year.

Insufficient production capacity will restrict the future development of the company, which puts forward the urgent need for the expansion of the existing production base.

Second, outsourcing production has increased the cost of some shoe products and is subject to constraints.

At present, Jordan sports shoes products are mainly autonomous production, but there are still some products that need to rely on outsourcing units.

External processing increases the manufacturing cost of some products, and at the same time, processing is more dependent on the production capacity and technical level of the manufacturers.

And when the new project is completed, the new production capacity can pform some of the existing products into independent production, effectively reduce production costs and increase profitability, so that Jordan can take control of product quality initiative in the important part of shoemaking.

At the same time, it will effectively solve the problem of insufficient capacity of the company, improve the added value of the product, and provide product support for the development of the sales and profitability of the enterprise.

Prospectus shows that after the completion of the expansion of production base, the annual production capacity of Jordan shoes will increase from the current 16 million 500 thousand pairs / year to more than 20 million pairs / years.

Jordan sports pointed out that maintaining and upgrading the core competitiveness of the manufacturing sector is one of the goals of Jordan's long-term development strategy.

470 million for new 27 strategic outlets

Another important direction for Jordan sports to raise funds is to expand direct stores.

It is expected that within two years, the Jordan brand will have 27 new strategic shops in the national first tier cities (Beijing, Shanghai, Tianjin, Taiyuan, Wuhan, Zhengzhou, Changsha, Hangzhou, Ji'nan, Xi'an, Xi'an, Xi'an, and so on), and all of them will be directly operated, with a total investment of 470 million yuan.

Among them, the number of shops for purchasing property is 9, about 3000 square meters, and the number of shops rented is 18, with an area of 5400 square meters.

Prospectus shows that in 2002, fewer than 1000 Jordan sports shops, and by the end of June 2011, its stores grew to 5715, especially in recent years, the number of shops has accelerated growth, and network coverage of all levels of cities nationwide.

At the same time, the company continues to give support to different levels of outlets to enhance the brand influence of terminals.

Its national network system is divided into 4 sales areas, 32 sales areas, and 53 distributors and 7 wholly-owned subsidiaries.

However, most of its current stores are small and low grade dealer stores, the size of the shop is generally below 100 square meters, and the area of the single store is generally small.

Of the 27 newly built strategic shops, 26 are planned for 300 square meters or more, about 400-500 square meters, and are built in important commercial areas of key cities (such as Beijing Wangfujing street, Xi'an East Street, Chengdu Chunxi Road, Wuhan Jianghan Road pedestrian street, etc.).

In this regard, Jordan sports pointed out that the terminal image is the vivid carrier and fresh advertisement of the brand image, and the brand image is the spiritual concentration and value promotion of the terminal image.

Through the expansion of single store area, door decoration, store decoration and display of goods can be more fully demonstrated Jordan's brand image and cultural connotations, so as to achieve the goal of enhancing the overall image of the brand.

And through the expansion of channels, we will further strengthen the market penetration of Jordan brand, enhance market control power, and better cope with all aspects of competition.

Specifically, through the increase in the number of retail terminals, the scale of business can be expanded and the profit level has been raised.

A more important role is to help the flagship store become a fast collection and feedback Center for regional market information, and collect, collate and analyze market information more directly, and directly feed back to the company headquarters.

At the same time, we will promote the sales performance of the original stores in the region by virtue of the good design of the new quality shops and the stronger display of products.

In fact, the competition in the domestic sporting goods market is fierce now. A number of leading brands such as Nike, Adidas and other local brands such as Lining and Anta have launched a positive contest in the first tier, even the three or four tier cities.

The expansion of marketing network has become a direct driving force to promote the growth of brand revenue and scale expansion. It has also become the most direct window and way to publicize and promote brand culture and image, and to feel the change of consumer market demand.

To this end, all brands have speeded up the horse race enclosure to seize the market, especially to speed up the opening of stores, open up large stores, and implement the winning terminal strategy.

Because of the strategic significance of the layout of the channel, the main investment of the listed brands is used for the expansion of the network.

Take Lining as an example, it accelerates channel penetration after the listing of HKEx.

At the end of -2010 in 2007, the number of terminal retail outlets of Lining was 5233, 6245, 7249 and 7915, with an average annual shop growth rate of nearly 15%.

Jordan sports, who takes part in fierce competition, obviously knows this point and accelerates in this direction.

According to the prospectus, Jordan sports funding will also build R & D design center, including sports science laboratory and shoes, clothing, accessories three divisions, estimated total investment of 129 million yuan.

Jordan sports pointed out that the current sports industry competition is increasingly fierce.

Enterprises rely on speculation, low-level imitation and non-standard marketing and so on. It will be difficult to survive. Competition between enterprises has been pformed into a contest between innovation capability and technological strength. Design and development have become increasingly important competitive weapons for enterprises.

Therefore, if Jordan sports wants to form a comparative advantage with other competitors, we must strive to create our own design and research capabilities, increase the company's talent pool, and intensify product design and development.

In addition, the information construction project is also a purpose of raising funds, and the total investment is estimated to be 117 million yuan.