Is Baozhuang Privatized Screen? After The Resumption Of Domestic Women's Clothing, Stock Prices Skyrocketed.

A week after the suspension, Baoquan international, a high-end women's clothing brand, proposed privatization today.

0589.HK resumed 5 in June and announced that Bluestone Global Holdings Limited, the largest shareholder, offered a 50.2% premium on its privatization offer on May, 27.

Bluestone Global and concerted action have 75% stake in Bao International and jointly held by Chairman Kenneth Chan and his brother Chen Hanjie.

It is reported that each shareholder can receive HK $4.1 in cash for each share arrangement, and the cash cost of the proposed proposal is about HK $573 million.

After the completion of the privatization paction, Bao Guo international will formally withdraw from the market. If the proposal is not approved or invalidated, the listing position of the company's shares will not be revoked.

It is reported that Vigna S, the third largest shareholder, has irrevocably committed to vote on the agreement arrangement at the court meeting.

Vigna S holds shares in the 43 million 869 thousand world stock agreement, representing about 7.9% of the issued share capital.

Ports Design Ltd was listed in Hongkong in 2003. It was once called "the first share of domestic women's wear". Since June 2015, Ports Design Ltd has officially changed its name to Bao Guo International Holdings Limited.

Founded in 1961 in Canada's port city of Toronto, Luke Tanabe, a Canadian International predecessor, mainly designs, manufactures and distributes fashion apparel for men and women, and sells accessories for shoes, handbags, scarves and perfume in mainland China and Hongkong.

The market includes Toronto, New York, Tokyo, Montreal, Dubai, Hongkong, Shanghai and so on.

By 1989, Baozi had more than 60 stores in the world.

At that time, Kenneth Chan, the chairman of the board of directors of the group, set up a garment processing factory and worked for baozi for many years, and was deeply trusted by Luke Tanabe.

In 1989, when Luke Tanabe planned to retire, the Kenneth Chan family decided to buy the brand after deliberation, and finally achieved great success.

In 1993, he set up a processing factory in Xiamen, and opened the first batch of Chinese women's fashion shops in Shanghai Meimei department store and China World Trade Center, Beijing.

According to the pronunciation of PORTS, the brand is directly called baozi.

"This is actually a rather Sinicization name, and we did not deliberately take a so-called foreign name."

Kenneth Chan said earlier in an interview with the media.

At present, the group's clothing brand, besides baozi, also has the sole authorization of BMW, and produces BMW brand clothing BMW Lifestyle, which has achieved 31% growth in 2017.

At the same time, the group is also an important partner of luxury brand ARMANI group in China. In 2017, its business revenue surged by 53%. At the same time, it further deepened cooperation and opened the flagship store of ARMANI's exclusive official agent in China's e-commerce platform.

It is noteworthy that this is not the first news of the privatization of Bao state international.

In 2015, it was rumoured that Bao International would sell fashion and clothing business in the currency of 600 million yuan. Subsequently, Bao state international and East Fuhai signed a cancellation agreement, and returned 180 million yuan to reclaim PORTS HK 6% equity.

Some people have pointed out that privatization of listed companies is actually an important way of group strategic adjustment. There are two prerequisites: one is stock price and the market is undervalued. The major shareholders and management are optimistic about the long-term development of the company. Two, the major shareholders are related to or competing with the listed companies, and the relationship between the shareholders is relatively simple, and the majority shareholders have absolute holding status. Privatization can provide enough space for capital operation.

In view of the current development of Bao Guo international, the reason is obviously the former.

In the 2017 fiscal year ending December, the total revenue of Bao International rose 21.5% to 2 billion 243 million yuan, gross profit margin was 77.6%, and net profit rose 41.28% to 56 million 900 thousand yuan over the same period.

The group said that with global luxury

Apparel industry revival, Baozi and other brands in different target segments

China is gaining recognition and welcome.

In fact, with the success of brand remolding, the performance of Bao Guo international in the first half of 2017 has begun to recover gradually. Besides the remarkable growth of 24.5% in the Chinese market, Po international has also focused its efforts in the markets such as Japan and Korea. Last year it recorded an increase of 4.2% over the fiscal year of 2016.

There is a view that after a series of key efforts in Asia

With the multi brand pformation strategy, Baozi's core brand performance will continue to consolidate the position of the group in the high-end apparel industry and launch the next move.

As an international high-end brand and a member of the Milan Institute of fashion, Baozi's design team has moved to Milan and London.

As part of the product pformation, the brand will no longer be restricted by the traditional fashion week cycle, and consumers will be able to get the new dress for the first time.

In addition, the group recently launched a new PORTS V for the millennial generation, which is designed by Milan Vukmirovic, which is the main street.

Through active layout of multiple brands

In order to enhance the popularity of baozi, it has won more young consumers by establishing diversified product style combinations, positioning differences complementation, and constantly cutting into market segments.

Po international is one of the second delisting enterprises in Hong Kong stock market in the past year.

In July 27th last year, consortium led by Gao Ling group, CDH investment and executive director of BELLE international, announced that BELLE international was privatized and the total purchase price was HK $53 billion 100 million, setting the largest privatization deal in the history of HKEx.

After the privatization news, Bao Guo international shares surged 41.76% to HK $3.87 per share today, with a market value of HK $2 billion 146 million.