Gome's investment 3.65 billion note will be fully managed medium and large electrical appliances
Gome Group on December 16 announced a press conference in Hong Kong-listed red-chip company GOME Electrical Appliances Holding Limited (Gome HK0493) lending by banks to entrust to an independent third party, medium and large electrical appliances have been exclusive management and operation rights, also obtained an exclusive option on the purchase of medium and large electrical power, the purchase price for the 3.65 billion or 3.65 billion shares from the date of purchase with an independent third party has to pay less interest on the profits have been allocated during the period (before deducting management fees), whichever was higher.
Country, spokesman of the United States, said Yang Qing, the reason to take over trading, taking into account the interests of shareholders and investors in a transitional arrangement, the main reason is fully authorized by the management method to large and medium electrical integration and business is good, at the appropriate time, in accordance with the relevant provisions of the State to fulfill the procedures for approval, and then high-quality assets into listed companies, Gome. Second, taking into account the seller hopes to complete the transaction request. Therefore, this fully managed Gome Electrical and future direct acquisition of large and medium sized electrical suspense no longer.
So far, the Chinese home appliance chain industry who gets outstanding medium and large electrical events finally settled. After hosting Dazhong, Gome in Beijing and Shanghai the number of the two major cities are more than 100 stores, with strategic significance in the two cities form the core of absolute advantage.
round the country hosting U.S.
Meeting, Chen Xiao, president of GOME announced transaction managed medium and large electrical appliances, December 14, 2007, Gome lending by banks to entrust to an independent third party, has been the exclusive management of medium and large electrical appliances and business right, the same time, obtained the exclusive right to purchase stock medium and large electrical power, the purchase price of 36.5 million or 3.65 billion yuan to the stock purchase date with an independent third-party companies have less interest paid during the period allocated profits ( before deduction of management fees), whichever is the higher of.
20 years of intensive medium and large electrical appliances in Beijing, but also to regional development in North China. Dazhong Electronics currently has 61 stores in Beijing, has seven stores in Tianjin, Hebei, has nine stores, Qinhuangdao has two stores, Qingdao has two stores, stores total number of 81, the Ministry of Commerce announced in 2007 a large Electric total sales in 2006 to 87 billion yuan.
States United States states that the Group Executive Vice President Wang Jun, the comprehensive managed Dazhong Electronics, Gome, the country is the United States pay more attention to medium and large electrical appliances market in Beijing's strategic position and future development value. From the analysis of operating costs, medium and large electrical stores have been the core business for nearly 20 years, compared to the same circle new stores, the cost of their property better; now open for a new home appliance retail outlets resource scarcity, rising rents. If taken from the open shop, a solid development strategy, the cost will be higher, not to mention Beijing appliance store has a relatively saturated market. We believe that competition in the market has not been fully taken from the open shop is a good way, but in a relative excess and saturation of the market environment, if more open to self-store strategy, equivalent to an increase in the saturated domestic market new competitors, the result will inevitably lead to waste of social resources and operating costs. This time, a comprehensive managed Dazhong Electronics, Gome, the market outlets in Beijing head office to reduce the number of the same or appropriate under the premise of a single store operations to achieve the quality upgrading of the combined economies of scale, which is a benefit social resources, is conducive to the expansion of industry and consumer interests of the road. "
Dazhong Electronics, Gome managed competition environment will be further purified to reduce the irrational competition in Beijing to promote a more healthy market development, to achieve the scale of integration and synergy effect, which is conducive to the two in Beijing and Shanghai Gome significant core of the city to achieve leadership, solid industry leadership.
Luo Qingqi, senior director of consulting
Paller of the face of consumer electronics market in Beijing has been saturated, a way to continue to shop expansion will result in increased costs, is a waste of social resources.