Vigna S Stepped Into The High-End Women'S Wear Step Forward.

Enter the high-end

Step forward.

In June 17th, the company's non-public offering programme was accepted by regulators.

According to a non-public offering plan disclosed in the evening of May 10th, Wenger would like to make a total of no more than 52 million 800 thousand shares of the non public offering stock of no more than ten specific objects, with a reserve price of 25.59 yuan / share, and the proposed fund-raising will not exceed 1 billion 351 million yuan.

Brand building and high-end customization, O2O and supply chain collaborative information platform project.

Of course, the issue of non-public offering of shares is still subject to the approval of the SFC.

Transformation

Founded in 1997, wicknus focuses on the design, production and sales of high-end women's clothing, which was launched in late 2014.

In 2015, the company's operating income was 824 million yuan, down 2.69% compared to the same period last year. Net profit was 112 million yuan, down 18.92% compared with the same period last year.

The company said that the drop in profits was mainly due to the pformation of the company to the high-end channels, resulting in the closure of a large number of shops and shops that were inconsistent with the existing brand image.

It is reported that in 2015, new stores opened 24 stores, closed 139, adjusted 31, and the number of stores decreased by 34.33%.

The annual report shows that since listing, Vigna S has seen a weak growth in performance.

In addition to 43% growth in 2013, Vigna S's profit growth in 2014 and 2015 shrank.

In 2014, the company completed its business revenue of 847 million yuan, an increase of 13.52% over the same period last year. Net profit was 138 million yuan, up 1.99% over the same period last year.

In view of this, Soochow Securities believes that the market concentration of high-end women's clothing in China is relatively low, mainly due to the limited number of secondary and high-end shopping malls and the number of high-end shopping malls in China, which restricts the number of high-end brand clothing stores.

Since 2009, the market share of high-end brand women's single brand has not exceeded 4%. When the store reaches a certain scale, it will encounter bottlenecks, resulting in a single brand market share ceilings, and multi brand operation is an inevitable trend.

"High-end brand women's clothing competition is more intense, if the company can not effectively cope with the industry competition, the market share and profitability level is facing the risk of falling."

CITIC construction investment said.

Situation and product structure, Wien Nash need to pform to reverse the trend of declining performance, and strive for sustainable growth of performance.

optimization

In July 2015, Wien Nash bought 100% stake in Nanjing brocade Research Institute.

This is praised by many investors as "the most successful step of Vigna S strategy".

It is said that over 1600 years of history, Nanjing brocade, together with Chengdu Shu brocade, Suzhou song brocade and Guangxi Zhuang brocade, is known as the "four famous Chinese brocade". Its weaving process is a living fossil of China's textile technology. It is listed as "the list of representative works of human intangible cultural heritage" by the United Nations Scientific and cultural organization.

The Nanjing brocade Institute is the only cloud brocade in China that integrates research, production, marketing, heritage and museum exhibitions.

In the international fashion stage, Nanjing cloud brocade is also showing.

The company also said that the acquisition highlights Vigna S's determination to excavate Chinese elements and steadily move towards internationalization.

The non-public offering is Vigna S's push on the acquisition of Nanjing brocade.

In the fixed increase plan, 1 billion 80 million yuan will be invested in the cloud brocade project, which will be divided into cloud brocade Institute upgrading and marketing network expansion project, Yun Jin fashion Europe research and design center and cloud brocade European flagship store project.

The company plans to set up the design center of Yun Brocade fashion design, set up a flagship store in Europe, and set up flagship stores and stores in the top stores and shopping centers in the first and second line of the core cities of China. It will improve the production, design and sales ability of the brocade in all directions, improve the fashion and brand influence of the brocade, and create the high-end brand of Yun Brocade fashion and art.

At the same time, invest 260 million yuan to build information platform.

It can be seen that through the implementation of the recruitment project, Wien Nash intends to build and promote the brand of Yun brocade on the basis of the existing main business, carry out multi brand operation, promote the further improvement of the brand level of the company and carry out international operation, so as to help the company realize the vision of creating "luxury group with Chinese cultural elements".

As for the structure of stores, the company has been actively optimizing since its listing.

"High-end women's clothing market entry threshold is high, moat is deeper, and industry gross profit rate is higher, cash flow turnover is fast, although the industry has a certain adjustment in the short term, but in the long run, there is still huge room."

The Great Wall Securities believes that "the company will enhance its brand positioning, although it may be more difficult in the short term, and its performance will be adjusted to a certain extent, but the long-term competitiveness of the brand will be improved."