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Semir Will Acquire 71% Stake In Ningbo Zhe Mu Shang

2013/6/19 21:23:00 17

June 19th, Zhejiang Semir "a" target= "_blank" href= "//www.sjfzxm.com/" > dress < /a > announced today that it will purchase 71% stake in Ningbo zhe Mu sang Holding Co., Ltd. Sina Finance understands that the purchase price will exceed 2 billion yuan. Once completed, it will be China's largest a target= "_blank" href= "//www.sjfzxm.com/" > clothing < /a > industry's largest merger case so far. 
 in addition, the two sides also agreed that Semir had the right to acquire the remaining shares of China zhe mu. In the follow-up development path, zhe Mu still promised a net profit of 265 million yuan in 2013, and the annual growth rate in 2014 and 2015 should not be less than 20%. 
 Semir will acquire 71% stake in Ningbo zhe Mu Shang, /p >
 today, the Zhejiang Semir apparel Limited by Share Ltd held an investor exchange meeting in Shanghai, announcing that it will buy 71% of zhe Mu's shares, and the estimated spanaction amount is 1 billion 980 million yuan to 2 billion 260 million yuan. After the completion of the spanaction, zhe Mu Shang will become a controlling subsidiary of Semir apparel. 
 the two sides also agreed that China zhe Mu still needs to commit itself. The net profit in 2013 is not less than 265 million yuan, but the net profit in 2014 and 2015 is not less than 20% over the previous year. 
 "from the perspective of static P / E, Semir apparel nearly acquired the advantage brand at 12 P / E in 2013. From the perspective of dynamic P / E, the P / E ratio dropped to ten times in 2014 and 2015. Our initial forecast is 7 to 8 times, which is definitely a win-win situation in the capital market," said CITIC Securities representative. 
 zhe Mu Shang is a private apparel Brand Company, which is mainly located in high-end casual menswear, and owns GXG, gxg.jeans and other brands. At present, China zhe Mu has set up about more than 1200 retail outlets in the mainstream department stores and shopping centers nationwide, and the company's retail revenue exceeds 3 billion yuan in 2012. 
 according to the data of zhe Mu Shang, it ranks the top three in the sales of men's similar brands in the main chain stores such as Wanda, Yintai, Dayang department store and new world department store. In addition, its gxg.jeans has nearly 300 stores nationwide, while gxg.kids only has direct operations, and there are 21 stores nationwide. 
 after the two sides reached a strategic cooperation, Semir costumes will form a board of directors with the original shareholders and management of GXG, and make strategic management and coordination to the company. The company's original management and design team, supply chain system and retail channel remain unchanged, and the company's management and employees will sign long-term work contracts, and the original positioning and product style of GXG brand will remain unchanged. 
 Semir's high-end menswear is perfect brand structure /p >
"P" has always been the Semir dress is the pro democracy route, there are a total of two major clothing brands -- popular leisure brand Semir (Semir) and children's clothing brand Baraba (Balabala). Semir said that the development of high-end brand clothing business will be the focus of the company's next development. "In the medium to long term, the goal of Semir in the next three to 10 years is to create diversified, multi brand, multi-channel apparel companies." 
 because now the domestic high-end leisure men's wear industry is in the growth stage, and the future development is very big. Through the acquisition of GXG, Semir clothing will also expand new business growth points, develop other market segments, and get the channel of China zhe mu in department stores, thereby enhancing the company's performance. 
 "GXG management team has outstanding capabilities in product design, channel resources, high-end business supply chain, e-commerce, human resources and other aspects, and has comprehensive competitive advantages in the high-end leisure wear business market." For this purchase intention, Semir explained this way. 
 "now the clothing industry, the channel is king, the traditional and greater China channel is gradually squeezed by the new channel, these two complementary functions are very large. The channel of GXG is also effective integration and promotion for Semir." The CITIC Securities representative of this acquisition said so. 
 in addition to the acquisition of this high-end menswear brand, Semir also revealed the future initiatives in high-end clothing, including the introduction of Italy entry-level luxury children's clothing brand, the first half of next year will also introduce some European and German high-end men's clothing brand.