PEAK's Countdown To Hong Kong

Although XTEP hit the listing price on the first day of its beachhead listing in June, Xi longlong shelved its listing on the backdrop of weak Hong Kong stocks in July 2nd. But with the craving of funds, the impulse of Jinjiang sports footwear industry cluster to go to Hong Kong is still unchanged. "I can't disclose the details of the listing now. It can be said that although the capital market factors can not be controlled, there is absolutely no problem in the operation of the enterprise and the industry level." In July 8th, Xu Zhihua, director and general manager of Fujian PEAK Group Limited, said in an interview with this newspaper. Since the introduction of Sequoia Capital to 7.8% of the company's total share capital in April 2007, PEAK will not deny the ultimate blueprint for listing. "This industry has ended the war era of small enterprises in a mixed battle, and entered the spring and Autumn period when big enterprises competed." Xu Zhihua believes that with the rise of Jinjiang sports shoes and clothing industry group, the listing and financing can get rid of the pursuit of troops and achieve further development. Taking Anta as an example, its 2007 annual report shows that through the listing and financing, the debt ratio of the company dropped from 259.9% in 2006 to 11.6% in 2007, with an annual decline of 248%. Meanwhile, the current assets increased by nearly 600% from 2007 to about 4000000000 in 2006. As for XTEP, although it has fallen to 35% of its share price by July 2nd compared with June 3rd's listing price, it can still raise about HK $6 million through the listing to buy the brand. "Mergers and acquisitions must be a good way in the process of internationalization, but if we can't get support from the capital market, we can not think of any idea," Xu Zhihua said. "In addition, we also hope to intensify morale through options, but first of all, we need a flat platform." According to the information disclosed by the Fujian Footwear Association, Golden Lake, Jordan sports, 361 degree, Conway and so on have all entered the countdown listing state. He thought that a setback of a business in Xi De Long could not be regarded as a negation of the capital market to the current sports footwear industry in China. "China has less than one pair of sports shoes per capita, while the US figure is 6 pairs, and the market still has a lot of space, not necessarily to accommodate a giant like Nike or Adidas." Xu Zhihua looked more closely at the decisive factors of Jinjiang's sports shoes and clothing industry after listing. "PEAK will continue to implement the localization of specialization and internationalization." He said PEAK's market share of basketball shoes in China is nearly 10% higher than that of Nike, and PEAK will expand moderately to the running and outdoor sporting goods market, but will continue to adhere to the mid end market.