After 2 Billion 700 Million Yuan Of Merger And Acquisition Plans, You Are Asked By The Shanghai Stock Exchange.

After just disclosing the merger and reorganization plan of up to 2 billion 700 million yuan, the frequent bird lovers in the sports industry received the inquiry letter sent by the Shanghai Stock Exchange in March 24th.

The company announced a major asset restructuring plan to issue shares and pay cash to buy 100% stake in Wellcome fitness, and the paction price is 2 billion 700 million yuan.

According to the plan, the income and net profit growth of Wellcome fitness in 2016 was 43.84% and 141.86% respectively.

The plan explained that the increase in operating revenue in 2016 was more than 30% because of more new stores in 2014 and 2015, and the opening revenue of these new stores was released in 2016.

However, the reason why net profit has substantially exceeded revenue growth has not been found in the current disclosure plan.

In the reorganization enquiry letter issued by the Shanghai Stock Exchange to the precious birds, the reasonableness of the high growth of Wei Kang's fitness performance was first concerned.

According to the plan, the number of single store members in Wei Kang has maintained a relatively stable level in recent two years.

Against this background, the intrinsic reason for the huge increase in net profit is worth asking.

At the same time, because the personal business of the gym is relatively large compared with the enterprises, the authenticity of the cash receipts and the effectiveness of the internal control have attracted the attention of the Shanghai Stock Exchange.

In the enquiry letter, the Shanghai Stock Exchange inquires further about the financial authenticity of the Wellcome fitness, the internal control of cash, and the identity information of the members.

Another concern of the acquisition is the pricing of underlying assets, which is called high value-added rate and high valuation.

The plan disclosed that as of December 31, 2016, Wellcome fitness net assets were 96 million 558 thousand and 900 yuan, and the estimated value range was 2 billion 200 million yuan to 2 billion 800 million yuan, and the appreciation rate was 2178.4% to 2799.78%.

According to the net profit of 42 million yuan in 2016, the P / E ratio is 64 times.

Therefore, the enquiry letter requires that the listed companies explain the reasonableness of the price of the underlying assets and compare comparable pactions with the main business, business model and future profitability of the Wellcome fitness company.

In addition, due to the low fitness industry threshold and relatively fierce competition in the industry, the new business model may bring impact to Wellcome fitness.

The letter asks to further explain the core competitiveness of the underlying assets and the sustainability of the rapid growth of profits in the future.