Urban Beauty Gets HK $510 Million From Jingdong, Tencent, Vip.Com And So On. Is It Necessary To Continue The Layout Of E-Commerce Channels?

In 2017, the urban beauty business channel revenue was 543 million yuan, accounting for 11.95% of the total revenue.

In the previous year, its electricity business channel revenue accounted for only 6.9% yuan, 313 million yuan.

In April 27th, Lin Chiling appeared in the urban beauty underwear brand show.

Urban beauty attracts Internet and e-commerce giants including Jingdong, Tencent and vip.com.

In April 26th, city beauty announced a subscription agreement with Windcreek, image architecture investment, vip.com and QuickReturns, and the subscriber would offer HK $4.2 per share to subscribe for 121 million shares of urban beauty, raising the amount of HK $509 million, accounting for 5.67% of the existing issued share capital.

Windcreek is Jingdong's indirect wholly-owned Affiliated Companies. Its image structure is invested in Tencent Holdings Ltd's wholly owned Affiliated Companies, and QuickReturns is wholly owned by the actual controller of China Rui holdings.

Internet and e-commerce giant's stake revealed that urban beauty will continue to increase the channel layout of e-commerce.

"Net proceeds from subscription activities are to be used by the company as a means of funding for the group's distribution channel reform, potential merger, acquisition and cooperation projects and general liquidity purposes."

City beauty also said in the announcement that no agreement was signed on any potential new merger, acquisition and cooperation projects.

In recent years, through the active adjustment of sales and distribution channels, closing a number of loss shops, and actively developing categories, the performance of urban beauty is warming.

In 2017, urban beauty realized an annual income of 4 billion 542 million yuan, an increase of 0.7% over the previous year, and a profit of 420 million yuan, an increase of 37.4% over the same period last year.

Reverse the double slide of revenue and net profit in 2016.

The electricity supplier channel has become the key to support the performance of urban beauty.

In the first half of 2017, the urban beauty business channel revenue was 238 million yuan, an increase of 44.8% over the same period, accounting for 11.5% of the total revenue. The annual income of the electricity supplier channel was 543 million yuan, accounting for 11.95% of the total revenue.

In 2016, the electricity business revenue accounted for only 6.9% yuan, 313 million yuan.

Before the introduction of Jingdong, Tencent, vip.com and other Internet Co shares, the city beauty has reached an in-depth cooperation with a number of e-commerce platforms.

As early as September 2017, urban beauty joined the Jingdong super brand day to release the new products of the season, using Jingdong big data portrait to enhance the consumption experience; in February 7, 2018, the two sides jointly set up a scale of 1 billion yuan.

Industry funds invest in personal clothing and upstream and downstream

Company.

And on the night of the announcement of vip.com's stake in the urban beauty in April 26th, the former as an exclusive supplier of electronic business, the live beauty show held by the city beauty in the Beijing water cube. It started the series of underwear such as "Lin Chiling joint name", "show fair" and "vip.com special contribution".

"E-commerce platform not only accepts sales, but also can tap consumer demand through big data, while undertaking some important functions such as urban beauty brand development, product design and so on."

City Beauty Group chief strategy officer and electricity supplier CEO Sha Shuang said.

In addition, urban beauty actively develops sports.

Children's clothing and other categories will also be mainly based on e-commerce channels, and is expected to become a new business growth point.

In March 2018, a wholly owned Affiliated Companies, Tianjin metropolis beauty and China movement, a wholly owned Affiliated Companies Shanghai kappa group, entered into a shareholder agreement and jointly invested 20 million of the joint venture company to sell "Kappa" sports underwear online.

In the field of children's wear, in May 2017, urban beauty signed a strategic cooperation agreement with Kimuratan Corporation, a Japanese listed company. The city beauty became the two largest baby girl in Kimuratan Corporation.

Brand "love design" and children's wear brand "BIQUETTE (Bekat)" exclusive online dealer in mainland China.