BELLE's Domineering Purchase Of Dragon World

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Less than P, Belle International Holdings Ltd (01880.HK, hereinafter referred to as "BELLE") is seeking new "prey".

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< p > following the recent acquisition of Japan's "a target=" _blank "href=" http://www.91se91.com/ "clothing" /a "retailer Barok (Baroque) 31.96% stake after HK $733 million, BELLE also acquired 100% equity interest from the third dragon shareholders Heaven and Earth Pty Ltd (hereinafter referred to as" Dragon World ") from several independent third party shareholders.

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< p > vertically and horizontally extending the product layout at the same time, the female a target= "_blank" href= "http://www.91se91.com/" > shoes < /a > giant BELLE is considered to be further strengthening the position of the shoe industry in the industry, but it is involved in some areas which are not good at itself, but also hide certain market risks.

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< p > Dragon world mainly sells footwear products, leather bags and bags in the mainland, operates Timberland (Tian Bailan), SKAP (Saint Gal) and some other brands. Among them, the self operated high-end footwear and leather goods brand SKAP has more than 600 sales outlets in the country, of which 200~300 is a direct store, mostly located in department stores, shopping centers and airports.

It is the only local brand in the four high-end leisure men's shoes brands in China's market positioning. The other three are Denmark brand ECCO, Italy brand Geox and the British brand Clark currently distributed by BELLE.

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P said BELLE will improve its existing brand portfolio so that it owns and runs its own brand in the high-end casual shoes category. After the acquisition, the two sides will be able to achieve synergy and benefit from economies of scale.

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< p > "this acquisition is somewhat surprising. After all, the position of dragon and sky in the men's shoes field is the same as that of BELLE in the field of women's shoes.

And the Dragon world is now in BELLE's pocket, indicating that BELLE's ambition will not stop in the championship of women's shoes, and is still coveting the hegemony of men's shoes.

An industry insider who contacted BELLE and dragon world said yesterday in an interview with reporters.

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< p > the industry also pointed out that because of the channel and publicity, and other reasons, SKAP brand awareness is still not high enough, and thousands of dollars of products are always limited, and the market competition is intensified. SKAP has not been doing well in recent years. It is estimated that the operators want to cash in, while BELLE is buying the stock market to enter the men's shoes market. But so far, integration has not been successful. SKAP is much higher than men's shoes in men's shoes, so it can supplement the vacancies in high-end men's shoes.

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Wei Xiaobo, director of consumer products research at P CLSA, believes that the valuation of the acquisition is less than 1 times that of SKAP in previous years.

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< p > however, some people in the industry are not optimistic about the acquisition.

In 2007, BELLE bought Jiangsu's Sunda at a total cost of 1 billion 600 million yuan. It was the first brand of men's shoes. Since 1993, it has been ranked first in the domestic market share for many years. However, the brand influence has gradually weakened due to the lack of management and other aspects.

A spokesperson for a men's shoe company told reporters that BELLE had taken over a few years. But at present, the company still has no improvement. It is obvious that although BELLE has experience in managing women's shoes, it is not very good at the men's shoes market.

Whether the future can integrate successfully is still unknown.

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< p > a href= "http://www.91se91.com/news/index_x.asp" > BELLE < /a > for many years. After last year's slowdown in sales and profit growth, net profit has negative growth this year: in the first half of the year, its sales revenue was 17 billion 800 million yuan, an increase of 11.25% compared with the same period last year, and net profit of 2 billion 167 million yuan, down 3.35% compared with the same period last year.

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