Foshan Capital Fusion In 2020: Midea And Country Garden Industrial Chain Effect Appears, Registration System Reform Boosts New Momentum Of Manufacturing Industry

From Buddhist mountain, martial arts capital to manufacturing city, Foshan is showing a new business card to the whole market.

As one of the most developed areas of private economy in China, Foshan plays an important role in the economic development of Guangdong Province. It is adjacent to Hong Kong and Macao, Guangzhou in the East and Zhongshan in the south, which determines Foshan's special status in Guangdong, Hong Kong and Macao Bay area.

At present, the capital market is on the way to comprehensively deepen the reform, and what opportunities will Foshan City, an important manufacturing town facing the key period of industrial transformation, have?

The fourth issue of the new driving force list of top 100 cities behind the IPO by the 21st Century Capital Research Institute focuses on this historic city with economic highlights and cultural characteristics.

Foshan capital map

Up to now, the total number of Listed Companies in Foshan City has reached 63, ranking first among prefecture level cities in Guangdong Province. It has provided 39 mature listed companies in the A-share market, including Midea Group, Haitian flavor industry and other outstanding leading enterprises.

With the smooth operation of the science and technology innovation board, the smooth implementation of the registration system reform of the growth enterprise market and the official launch of the new third board, how to seize the opportunity of capital market reform, serve the real economy in the region and cultivate new kinetic energy has become the "new proposition" that Foshan needs to answer.

The reporter of the 21st century economic report learned that in recent years, Foshan municipal government has issued a series of policies and measures to promote the development and growth of private enterprises, providing a good development environment for enterprises from the aspects of policies, funds, resources and services, and strengthening the work of enterprise listing guidance, so as to play the role of financial support for the real economy.

A relevant person in charge of Nanhai District Financial Office of Foshan City told reporters that in the past five years, Nanhai District has made important progress in the construction of capital market. The reasons behind it are inseparable from "the establishment of working mechanism for leading enterprises to go public and the improvement and revision of listing support policies".

"Through close contact with Guangdong securities regulatory bureau of China Securities Regulatory Commission, we strongly support the construction of the capital market Guangdong financial high tech Zone base of Shanghai Stock Exchange, maintain close cooperative relations with Shenzhen Stock Exchange, Hong Kong Stock Exchange and the new third board, and constantly introduce excellent intermediary teams. As a result, the listing of enterprises in our region has been given more professional guidance services, market vitality has been further released, and the capital market has been further released The market is playing an increasingly important role in serving the real economy. " The person in charge said.

Midea and country garden industry chain "effect" is significant

Through the main business and types of listed companies, we can see all kinds of labels of Foshan, but manufacturing industry is undoubtedly the mainstream of Listed Companies in Foshan.

Wind data shows that among the 39 Foshan listed companies in A-share market, they are mainly distributed in 14 Shenwan industries. Among them, Guosheng financial holding is a non-bank financial enterprise, * ST Oupu is a transportation logistics enterprise, and Saturday is an Internet service enterprise. The other companies are manufacturing enterprises. The largest number of them are mechanical equipment enterprises, with a total of 10, accounting for more than 25%.

From the types of Listed Companies in different regions of Foshan, we can also see the advantages and disadvantages of development and industrial characteristics of different regions. 39 A-share listed companies are mainly distributed in Chancheng District, Shunde District, Nanhai District and Sanshui District. There are no A-share listed companies in Gaoming District, where industrialization is relatively slow. The four strong capital areas also have their own characteristics. Among them, Shunde District and Nanhai District have obvious catching up situation, with 16 and 14 A-share listed companies respectively, Chancheng District is slightly weaker, only 7 enterprises are listed, and Sanshui District has only two.

Chancheng District, as the "old strong district" of Foshan City, is mainly composed of traditional state-owned enterprises in the capital market. For example, Foshan energy, which holds the franchise of pipeline gas in the main urban areas of Foshan City, Foshan Lighting, known as the "king of lights" in China, and the Buddhist plastic technology dedicated to new plastic materials in China, are mainly located here.

Shunde District and Nanhai District, as rising stars, are unique in the field of scientific and technological innovation, and have formed a close "competition" pattern. Although Shunde is slightly better than Nanhai District on the overall level, their performance in capital market and economic development in recent years is quite "catch up with me". In 2019, the GDP of Shunde District is 352.318 billion yuan, with a growth rate of 7.1%, and that of Nanhai District is 317.662 billion yuan, with a growth rate of 6.9%.

Most of the listed companies in the two regions are "upstarts" of capital and emerging industries. However, behind these listed companies, they can not get rid of the figure of country garden and Midea Group.

Keshun shares, the leading waterproof material company listed in January 2018, is a representative enterprise in the industry chain of country garden. According to the public data, the waterproof material of Keshun is a kind of basic material widely used in construction and waterproof engineering. In the year of listing, Keshun won the "excellent supplier award of Country Garden Group in 2018", and joined the capital ecosystem composed of poly and country garden.

According to the public information, Keshun has established strategic cooperation relations with well-known real estate enterprises such as country garden, Vanke Real estate, Huaxia happiness, rongchuang real estate, Zhongliang real estate, Wanda real estate, with an annual service items of more than 1000. In 2019, the preferred ranking rate of the top 500 real estate companies was 20%, ranking the second among the top 500 real estate suppliers for seven consecutive years. Before Keshun, Dongfang Yuhong was only one of the industry leaders.

Midea Group is another benchmark of Foshan City. The industrial chain around Midea Group's home appliance empire is more complicated and huge.

The company's main products are internal thread copper tube and copper tube deep-processing products, which are well-known in the field of home appliances. Midea Group is one of the important customers of Jingyi. In addition, the Xihai Industrial Zone, Beijiao Town, Shunde District, Foshan City, Guangdong Province, where Jingyi Co., Ltd. is located, is also located in Guangdong Midea (Shunde) living appliance manufacturing Co., Ltd.

Shunwei Co., Ltd., a professional manufacturer of plastic air conditioner blades, is also an important industrial chain company relying on Midea Group. It is understood that Sunway has formed long-term close cooperation with many well-known air-conditioning manufacturers at home and abroad, such as Gree, Midea, Haier, Zhigao, Galanz, TCL, Hisense Kelon, Panasonic, Daikin, Mitsubishi, Fujitsu general, Hitachi, Samsung, LG, carrier, etc.

And these supporting listed companies are only a part of Midea Group's "drainage" for the development of Foshan manufacturing industry. In the formation of a complete industrial chain of household appliances, Foshan City is the emergence of a number of small household electrical appliances enterprises occupy the subdivision track.

Bear electric is undoubtedly one of the main beneficiaries of Midea Group's industrial chain. In the first three quarters of 2020, the operating income of Xiaoxiong electric appliance was 2.498 billion yuan, with a year-on-year increase of 45.14%; the net profit attributable to shareholders of listed companies was 322 million yuan, with a year-on-year increase of 92.04%.

Actively cultivate new driving forces

However, there are those who follow the trend, and there are those who have insufficient stamina. The manufacturing industrial belt, which is based on the huge industrial chain of household appliances and real estate, is also suffering from the industrial pain brought by the decline of macroeconomic growth rate and real estate regulation. Some Foshan enterprises' performance has declined significantly, and even encountered various risk factors.

For example, Jingyi Co., Ltd. increased its revenue but did not increase its profit. In the first three quarters, the revenue was about 3.877 billion yuan, a year-on-year decrease of 1.81%; the net profit attributable to the shareholders of the company was about 33808500 yuan, a year-on-year decrease of 31.93%; the net cash flow generated from operating activities was 143 million yuan, a year-on-year decrease of 37.09%.

At present, the development of capital market has been attached great importance. After Shanghai stock exchange established the science and technology innovation board and pilot registration system, Shenzhen Stock Exchange's gem reform and pilot registration system were successfully implemented, and the new third board selection layer was officially launched, providing greater convenience for the listing and development of high-quality enterprises. In the 21st century, reporters can get more space to report on the reform of Foshan's small and medium-sized enterprises.

In October this year, the Shanghai Stock Exchange's capital market service base for Guangdong financial high tech Zone was established in Nanhai District, Foshan City. In addition, the Guangdong provincial local financial supervision and Administration Bureau signed a cooperation agreement with the people's Government of Nanhai District of Foshan City to jointly build a financing platform for small and medium-sized enterprises in Guangdong Province, so as to inject development funds into the optimization and upgrading of traditional industries through financial institutions and ease the financing of small and medium-sized enterprises Problems such as difficulty in financing, expensive financing and slow financing.

According to the person in charge of the financial office of Nanhai District, this year, Nanhai District has also issued a five-year action plan to promote the listing of enterprises (2021-2025). It plans to strengthen the cultivation of enterprise listing, improve the service quality of enterprise listing, broaden the listing channels of enterprises, and play a leading role in the industry of listed companies, so as to achieve a total of 40 listed enterprises at home and abroad by 2025, There are 200 joint-stock enterprises.

In fact, from the current listed Reserve Corps of Foshan District, we can see the local attention to the capital market.

Up to now, there are nearly 80 enterprises applying for listing on the science and technology innovation board in Guangdong Province, and more than 90 enterprises have applied for listing on the gem, ranking first in each sector. This year, there are 11 new listed companies in Foshan, ranking the third among prefecture level cities in China (second only to Suzhou and Dongguan). In addition, there are 120 enterprises listed on the new third board in Foshan City.

Judging from the "trend" of new momentum, Foshan's listed reserve forces are more abundant than before, gathering a large number of strategic emerging enterprises such as medical treatment, logistics and high-end manufacturing, as well as financial industry enterprises. The planned IPO enterprises include 2 financial enterprises (Shunde agricultural commercial bank and Nanhai agricultural commercial bank), 2 computer, communication and other electronic equipment manufacturing industries, and 3 special equipment manufacturing enterprises A rubber and plastic products industry.

Specifically, there are 5 enterprises each applying for the science and technology innovation board and the small and medium-sized board, and one enterprise applying for listing on the gem. This positive situation is closely related to the local listing service policy of Foshan City.

A secretary of the board of directors of an enterprise applying for the listing of registration system standards told the reporter of the 21st century economic report: "government departments often organize various activities to let enterprises have more channels to access the capital market policies, including the third board, Hong Kong stocks, as well as the domestic Shanghai and Shenzhen stock exchanges, which are very valuable information. In addition, in the process of our development, the local government has also introduced various types of activities Equity investment funds can meet the needs of enterprises at different stages of development and further help enterprises become stronger and bigger. "

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