What Happened To Birds And Wellbeing?

(603555, SH) issued a notice on the termination of major asset reorganization in the evening of September 5th, saying that the two sides could not reach agreement on key terms such as paction consideration and payment methods. The two sides believed that the conditions for further major asset restructuring were not mature enough. In order to protect the interests of listed companies and investors, the two sides decided to terminate this major asset reorganization.

According to the world clothing and shoe net, the termination of the major asset reorganization is a 100% stake in the acquisition of Wellcome fitness before the sale of $2 billion 700 million.

Takeover

The purchase, which took 9 months, was announced abruptly in the near future.

According to the world clothing and shoe net, a close fitness trader said that the two sides did not agree on the trading structure. They hoped to give less cash and give more shares to the company. And because of the downturn in the stock price, Wei Kang would like to get more cash in order to support the funds needed for subsequent shops.

In September 6th, a bird investor meeting on terminating major asset restructuring was held.

At the meeting, Lin Tianfu, chairman and general manager, told reporters that at present,

Under the circumstances, the two sides can not reach agreement on key terms such as paction consideration and payment methods.

For the listed companies, the two sides failed to form an optimal plan for the listed company. In order to protect the interests of the vast majority of investors, the company decided to terminate the reorganization. For the paction side (Wei Kang fitness), in addition to the paction price and payment method, the paction side thought that too conservative development strategy and excessive pursuit of profits would lose their vitality, creativity and best development opportunities, and the counterparty decided to terminate the reorganization.

Cheng Weixiong, founder of Shanghai Liang Qi Brand Management Co., Ltd., an interview with reporters, said that it was understandable that the cooperation between the birds and the wellbeing failed to reach a final conclusion.

First of all, after the announcement of the takeover announcement, the market reaction is not very good. The decline of the price of the bird reflects that investors are not optimistic about their cross-border entry into the fitness field.

It is a matter for both of them to consider whether the VIP marketing of Wei Kang gymnasium is helpful and whether the two can really integrate. Finally, in terms of paction price, the two sides may not talk about the negotiation process.

Industry: returning to the main business is more important

Based on the sluggish business, the noble bird has been trying to find new growth points from last year to this year. In addition to the layout of the sports industry chain, it also invested in insurance and Internet Co.

However, according to the 2017 semi annual report, the company's operating income during the reporting period was 1 billion 578 million yuan, an increase of 55.03% over the same period, and the net profit attributable to shareholders of listed companies was about 130 million yuan, down 17.26% compared with the same period last year.

In response to the sharp decline in revenue growth and net profit, the company responded to the reporter's response that the company began to enjoy the business income of Jay, the shoe store and BOY at the end of last year, under the implementation of the sports industry layout strategy based on the "sports apparel manufacturing and the coordinated development of various sports industries".

In the first half of 2017, due to the sharp rise in financial expenses and management costs and the steady investment in some sports industry investment layout, the net profit of shareholders belonging to the listed companies declined year by year.

The reporter noted that after buying sports clothes and shoes retailers, Jay's line, online retailers' shoe store and Spanish football economic company BOY last year, it bought Nike, Adidas, UA, Lining, CONVERSE, Puma, new brun and other brands, which contributed a lot to the company's overall revenue. However, the financial cost and management cost correspondingly increased. Now, the management fees for AND1 brand in the first half of this year are more than 100 million yuan.

Cheng Weixiong believes that for a single brand, it is a very long process to layout the whole industrial chain and the whole ecosystem. The birds themselves are not big, but they want to play a big game. Who will be the pawn? In the uncertain future, the risk of crossing the border, expanding the industry and the whole ecosystem is great.

The best choice for you now is to return to the main business, such as Metersbonwe and Pathfinder.

More interesting reports, please pay attention to the world clothing shoes and hats net.