Why Did The Largest Garment Industry In History Fail?

< p > the largest domestic single a href= "http://www.91se91.com/" target= "_blank" > clothing < /a > merger and acquisition case: January 2, 2014, a href= "http://www.91se91.com/" > Semir < /a > "href=" "" "" ">" > ">" announcement "), as of December 31, 2013, the company and China zhe Mu Shang (Mei parent company) failed to agree on the specific conditions of the equity pfer agreement, and the original framework agreement was terminate after the expiration of the original agreement.

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< p > January 3rd, Semir clothing opened 2.61% lower, a clothing industry analyst in Shanghai told reporters: "it is not expected to drop a lot, because it has been down for a while.

When signing the contract, it was very high-profile, and then there was no sound. The market has already had a little anticipation. "

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< p > < strong > price difference < /strong > < /p >

< p > reporters and the aforementioned analysts took part in the signing ceremony in June 19, 2012. The Zhejiang Semir clothing Limited by Share Ltd announced that it would purchase its 71% stake in Ningbo zhe Mu sang Holdings Limited (hereinafter referred to as "zhe Mu Shang") with its own funds to Zhejiang zhe Holdings Group Co., Ltd., Yang Herong and so on. The estimated amount of the paction is 1 billion 980 million yuan to 2 billion 260 million yuan, compared with 272 million of the net assets premium of about 628% to 730%.

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< p > the largest garment industry in the history of the "a href=" http://www.91se91.com/news/index_q.asp "M & a" /a "quickly ignited market enthusiasm.

GXG is not worth the price. Zhe zunshang's total assets of unaudited pro forma combined reports in 2012 were 1 billion 327 million yuan, 1 billion 55 million yuan in total liabilities, 272 million yuan in net assets, 1 billion 398 million yuan in operating income, and 206 million yuan in net profit, an increase of 40%-50% over the same period last year.

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< p > and at that time, according to general manager Yu Yong, the company was founded in 2007, from less than 3 million sales to less than 3 billion of the terminal sales growth in 2012. In the 6 years, 2 brands of medium and high-end urban youth men's wear GXG, gxg.jeans and a children's wear brand have been developed in 6 years. The number of stores in the first two stores is around 1200, and the speed of development is amazing.

Yu Yong also acknowledged that GXG had had a IPO plan, but was forced to turn to a after being blocked by IPO.

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< p > reporter interviewed a sponsor of CITIC Securities, a person in charge said: "if a few years ago or self created brand is cost-effective, but the current situation is definitely M & A is more cost-effective than the self created brand."

China zhe Mu Shang's current shareholding structure is: China zhe group holds 12% stake, Yang Herong holds 53% stake, Yu Yong holds 19.57% stake, Zhu Zhaoguo holds 10% stake, Tu Guangjun holds 4% equity, Mao Chunhua holds 1.43% equity interest.

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< p > once the merger is successful, China zhe Mu will become a subsidiary of Semir, and the stock value of Yang Herong, Yu Yong and others will turn six or seven times to show the myth of wealth.

Of course, the money is not so good. Zhe Mu still needs to complete 265 million net profit in 2013, which means 28% of the profit growth. The next two years also need to achieve 20% annual growth rate. If it can not be completed, the pferor will complete the compensation.

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< p > according to the arrangement at that time, the due diligence and audit work will be completed in July 15th. 16 days ago, it was submitted to the board of directors for approval and submitted to the Ministry of Commerce for anti monopoly review application. By the end of August, various government approvals and related industrial and commercial registration were completed. Semir also hit the 50 million margin on the central bank in June 19th.

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< p > until December 21st, something unexpected happened. Semir announced that it would not buy more than 1 billion of the guaranteed financial products. We need to know that although there were 4 billion 100 million funds in Semir in the three quarter, 2 billion 280 million of them were IPO's over raised funds.

At the time of signing the contract with GXG, Zheng Hongwei, a constable, once said that all 2 billion of the acquisition funds came from over recruitment, and the abandonment of GXG seemed to have been reported half a month ago.

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< p > under the throes of pain, seek pformation. < /p >

< p > Why did Semir give up GXG? The main high-end high-end positioning GXG and the mass leisure brand Semir have great strategic coordination space in terms of brand and channel, but according to Zhang Jian, executive general manager of CITIC Securities, after the acquisition, Semir's apparel net profit increased by 27%, that is, the stock price rose 27%, and the profit margin increased by 6.1%.

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< p > the analysts mentioned above: "the main reason for speculation is that the price is too high.

2 billion this price may not have been high enough for Semir at the beginning.

But on the other hand, GXG agreed to buy it because IPO didn't look at it at the time. Now IPO has opened the gate, you have pressed my price, and there are many profit clauses behind it.

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< p > reporters then contacted zhe Mu Shang planning department, but no answer was received.

Mori Ma, a secret official, said: "the announcement is very clear, and there is nothing to explain too much."

The reporter asked whether the price was the cause or whether the other party wanted to own IPO. The person still expressed the announcement, whether Semir would give up the strategy of "a href=" http://www.91se91.com/news/index_s.asp "> /a" acquisition "in the future, the person pointed out that our strategy has never changed.

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< p > looking back at the whole 2012, it is unbearable for the clothing industry. From Lining's closing shop trend to the collectors' debts, all of them have highlighted the embarrassing situation from the traditional clothing enterprises and even the clothing business operators. The clothing enterprises have to face the slowdown of the industry, the pformation of the clothing retail channel, and the three heavy extrusion of the foreign giants ZARA, H&M and UNIQLO.

From the point of view of Semir itself, it has also slowed down the construction cycle of IPO marketing network construction and information construction project, and extended it to April 2015.

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< p > the aforementioned analysts pointed out that despite the failure of mergers and acquisitions, Semir's performance is good, and the three quarter can still achieve growth, and the inventory situation is also ideal. There is no bank loan and the burden is not heavy.

From the earnings report, half a year's revenue was 2 billion 720 million, an increase of 8.5%, net profit of 284 million, an increase of 14.4%, and three quarterly reports still maintained a similar pace of growth.

The three quarterly report shows that Semir's stock balance is 1 billion 80 million, which is flat with the beginning of the year.

Competitors are now moving into the O2O market in a big way. They will reload the once purchased network and try to integrate the entity store and the Internet business.

Although Semir's merger and acquisition is broken down, its actions are also continuous: in August 3, 2012, it worked with Italy's beautiful rainbow strategy. In September 13th, it established a joint venture with Sisun International Co., Ltd, and signed a general agency agreement with Germany's Marc O Polo in November 28th.

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