Red Star Macalline, for the home industry, the real estate industry, or for the primary and secondary capital markets, has become a peculiar existence.
Four years ago, the acquisition of JSWB by Red Star Macalline was on the verge of death, but it ended in vain. Four years later, Red Star Macalline once again high-profile claims that the acquisition of Jisheng Weibang dust settled.
Although Red Star repeatedly denied that the acquisition was for the listing, but both of them were stepping on the timeline of the Red Star Macalline IPO.
Why have you dragged on for four years? No one knows the real reason.
According to the confirmation of the situation, the acquisition fund is not the 2 billion yuan negotiated four years ago, but a purchase price lower than the price negotiated four years ago. However, this statement has not been confirmed by Red Star Macalline.
After four years of hardships, why did JSWB switch back to a lower selling price?
In the competitive landscape of home building materials retailing showing a big chain development, expansion has become a dead end.
In this way, the industry cannot be regarded as the epitome of the cold winter trend in the home building materials market.
As a result, it is precisely during the entire winter trend that the high-profile acquisition of Red Star Macalline is even more abrupt.
Home industry winter winter miniature:
Jisheng Weibang "discount" for sale?
A stone stirred up a thousand waves. The acquisition of JSWB by Red Star Macalline has caused concern from all announcements and has continued to ferment.
The home industry "industry boss" swallowed the "industry's third child" is the factor that caused concern.
As the protagonist of the acquisition, Red Star Macalline has sold 125 stores in more than 90 cities across the country, ranking first in the home industry.
However, for the label of the "Industry's third child" posted in the Red Star Macalline announcement, in fact, Jisheng Weibang has long been a name.
Many home industry insiders interviewed said that regardless of sales scale, store area or brand influence, JSWB is now embarrassed by the “third in the industryâ€.
According to the official website of Jisheng Weibang, Jisheng Weibang was established in 1989, but after several decades of development, Jisheng Weibang currently has only six stores in Changchun, Shanghai and Guangzhou. Among them, the “International Furniture Village†in Shanghai’s Qingpu District, which is the most distinctive feature of JSWB, which was brought to the forefront by Red Star Macalline, is actually not ideal, and there is great financial pressure.
Home industry insiders said that in 2006 and 2010, JSWB also proposed a national chain expansion plan, and also opened stores in Ningbo, Beijing and other places, but since then the business is not ideal, but also closed stores, to terminate the expansion plan Even the main Shanghai market has closed two stores due to poor management.
Xie Ruibiao, a senior observer in the furniture market, said that the few channels of JSWB's six stores are weak, and it also includes Changchun, a low-grade and weakly-influenced Changchun store, which can bring the best channels of Hongxing to Guangzhou Panyu and Shanghai Furniture Village.
The situation of the Shanghai media reporters who know more about the Jisheng Weibang International Furniture Village project shows that the “International Furniture Village†has a single format and poor experience and has not been done.
Xie Ruibiao believes that JSWB will influence the mainstream brands in the first line, and it is conservatively estimated that more than 40 stores are needed. This is far from the current situation of JSWB.
Liu Chen, secretary-general of the Beijing Market Association Home Market Branch, said in an interview that the international furniture village of JSWB Shanghai Qingpu is mainly engaged in the "exhibition" mode, and its "exhibition" function is more in the "display" function. “The large size and large area provide brand designers, especially high-end furniture brands, with a good image and a comprehensive display of the brand, which is conducive to the expansion of sales scale by brand owners.†Liu Chen said frankly.
Obviously, only the "display" and the lack of "sales realization" ability, its business model is still at the ideal level of "satisfaction." Some people in the home industry therefore bluntly said that Zou Wenlong, the chairman of Jisheng Weibang, chose to sell the brand to Red Star Macalline at the moment is the best choice.
Red Star Macalline official website has not announced the purchase price at the time of publication. Red Star Macalline CEO Che Jianxin said in an interview with the media that the acquisition funds mainly come from own funds and some M&A loans. However, the saying that the acquisition fund of Red Star Macalline is 2 billion yuan is almost mainstream.
A home industry insider who did not want to be named revealed another price "version": In 2009, Red Star Macalline failed to acquire JSWB for a high price of 2.8 billion yuan, and after four years, JSWB agreed to buy 2 billion yuan. The reason for the price cut is actually "funding pressure."
In an interview, Qin Zhanxue, executive vice president of the China Building Materials Circulation Association, also speculated that Red Star Macalline’s slap in the air quickly “takes†Jisheng Weibang, or that Red Star Macalline is getting lower than four years ago. "cheap price."
Why, after so many years, Jisheng Weibang did not have the "price code" four years ago?
"This is caused by a big environment." Qin Zhanxue said that before 2009, China's building materials and home furnishing market were still in full swing. At that time, the family princes of the country, together with JSWB, had to grow up as one. The determination of the predators; but since then, the situation has turned sharply, real estate has been affected by the financial crisis and regulation, and the home building materials have been affected by the downturn. The closure, closing, selling or moving to other industries has become a helpless choice. This provides an opportunity for the strong to merge with the weak.
As far as the national stores are concerned, in the view of Qin Zhanxue, 2009 is also a watershed. "From the previous store demand is strong, but the surplus has reached a serious surplus situation." Qin Zhanxue said that from 2009 to 2011, there has been a wave of bankruptcy in the home building materials store, which has proved difficult in the industry.
The chain reaction of the two strong hegemony:
The oligarchic pattern is getting better?
JSWB is the "industry third" of Red Star Macalline seeking IPO high valuation and "posting gold", but the real home of the "industry second child" is the undoubted number one competitor of Red Star Macalline.
Obviously, although the strength, scale and brand influence of JSWB and the Real House and Red Star Macalline are very different, Red Star Macalline has a more imaginative future with JSW.
Liu Chen believes that the acquisition of JSWB by Red Star Macalline is complementary and strengthens its advantages in South China and Shanghai. It is reported that in addition to one store in Changchun, Jisheng Weibang has five stores in Guangzhou and Shanghai, which has a direct effect on the consolidation of South China and East China markets by Red Star Macalline. On the contrary, the southward attack on the natural home of the "Northern Real" is meant to increase resistance.
Although the listing process of Red Star Macalline is quite rough, but on the scale and financial strength, Red Star Macalline has the possibility of obtaining an capital advantage earlier than the actual home. This also means that Jisheng Weibang will be included in the bag for the Red Star Macalline is definitely just the beginning.
After the acquisition of JSWB, the number of Red Star Macalline stores will reach 131, and its journey toward the “one big one†is one step closer.
In fact, the frenzied expansion of Red Star Macalline has not stopped, as evidenced by the number of existing stores that have expanded to 125 in a few years. Che Jianxin has publicly stated that Red Star Macalline will open 200 home MALLs by 2020.
"Industry boss" through the "blood-blooded" mergers and acquisitions to highlight the growing momentum and ambition, as the "industry second child" of the actual home how to deal with?
Not surprisingly, at the 2013 annual meeting before the Spring Festival, the home of the family also publicly announced that 25 new stores will be opened in the country in 2014. In 2013, the actual house opened 17 stores, becoming the craziest year in history. Obviously, in the face of the opponent's step by step, the home has decided to step on the throttle on the "crazy track".
Because, only in such a fast-tracking, constantly overweight and refresh their own store record, the home can ensure that by the end of 2014, there will be 100 stores after the Red Star Macalline. As of now, there are 83 stores in the home.
In fact, compared with the acquisition of JSWB by Red Star Macalline, at the beginning of last year, the actual home also “accomplished†six stores in Beijing that had been in the home market for a long time. "Industry second child" did not slow down its offensive.
However, there are more than 3,500 home furnishing stores in the country. The industry is recognized that the store is seriously over-represented. Is this speed rational?
At the end of 2013, at the dialogue meeting with the president of the building materials and home furnishing market, Meng Guoqiang, president of the China Building Materials Circulation Association, repeatedly used “careful and cautious†to persuade the expansion of building materials and home stores to be rational.
However, "under the competitive landscape of home building materials retailing, a big chain of development, expansion has become a hard truth." Qin Zhanxue said that (the actual home) will be left without expansion.
In Qin Zhanxue's view, for the actual home, it is not just a store that needs to catch up with the horse. The "knife tip" that plugs into the heart of the home is in the factory store model of JSWB.
"Red Star Macalline is not lacking in stores, and the lack of new ideas." Qin Zhanxue said that the domestic home store model has been too single for many years, all in the rental mode, the single format of the store, Red Star Macalline and the home of the home In this way, the development of the business model of rent collection only for many years, it is urgent to start the transformation of the mode of multi-format development, in order to win more market share.
Although in Qin Zhanxue's view, the current "red-brand" strategy after the acquisition of Red Star Macalline is unrealistic "diplomatic rhetoric", but this will not affect the future integration of Red Star Macalline into JSWB's "factory furniture village" Features, strengthen the brand resources and image of Red Star Macalline.
New factors affecting the pattern:
Single mode transformation into key
However, how Red Star Macalline integrates with JSWB is also full of challenges. After all, in the years when JSWB has been building a model that is still difficult to realize, how can it be that the Red Star, which only collects rent earnings, is “successful� The prospect is still a question mark.
The industry also recognizes that the acquisition still seems to be a theoretically significant strategic investment that will realize the value in the future. The winning and losing geometry is still waiting for the promotion and integration of the Red Star Macalline's later resource integration.
Of course, this spear is the shield. The uncertainty of the transformation of Red Star Macalline means the opportunity of a home. "Whoever tries the water first, breaks the single format and tries to get the first chance, who will have more chances." Qin Zhanxue believes that the home building retailer, which is doing well in the home business transformation, will win the future.
Zhang Ren, secretary-general of the China Building Decoration Association's Residential Decoration Committee, said in a telephone interview that the traditional home market is facing an urgent need for transformation. Nowadays, after 80 and 90, the network demand is strong, and furniture is also being completed online.
Ai Yake, CEO of B&Q, also said that many customers in China have begun to use the online price comparison and the price of physical stores. This is the beginning of the changes in the household industry in recent years.
At present, the building materials home market has reached a transition period that needs to pay attention to new technologies and new models. Meng Guoqiang also said that the building materials home circulation industry is currently mainly two major problems, one is e-commerce, and the other is the expansion of stores. “The e-commerce model is a potential shock to all home stores. The Internet is on the rise, home needs experience and change, and it cannot stop the invasion of Internet marketing and emerging payment models.â€
Yuan Weidong, an observer in the furniture industry, also said that under the background of the impact of the Internet and e-commerce on the furniture industry, the strategic significance of Red Star Macalline’s acquisition of physical stores has declined. “This is just like the home appliance market in China, Suning and Gome. The acquisition by Hegemony finally won Suning. But then Jingdong’s Internet-based e-commerce attack quickly eclipsed the 'US-Suzhou hegemony'. This merger has a similar situation.
Right now, from the last year's "Double 11" 19 home stores to boycott Tmall, the transformation line has become an inevitable problem for the entire home store. In 2012, Red Star Macalline’s e-commerce platform “Hongmei Mall†was launched, and after half a year there was news that “Red Star Macalline’s 200 million yuan for Red American Mall only earned 40,000 yuanâ€. Subsequently, Hongmei Mall carried out a series of actions such as high-level changes, personnel streamlining, and platform renaming, but the results were still not satisfactory.
However, Qin Zhanxue said that Red Star Macalline is willing to go against the trend of mergers and acquisitions, showing its determination to more empower the home store store. In its view, the acquisition of Red Star Macalline has to some extent boosted the positive effects of the industry, which is conducive to the transformation and upgrading of the home industry.
Of course, regardless of the transformation, the capital market for the future is not the case. The packaging concept of “World Furniture Direct Factory†has added a good story to the listing of Red Star Macalline. And this may be the real purpose of the acquisition of Red Star Macalline.
China Desk Control Boxes,Office Desk Control Boxes manufacturers, welcome Standing Desk Control Boxes,Electric Desk Control Boxes purchasers from worldwide to visit our site.Desk Control Boxes,Office Desk Control Boxes,Standing Desk Control Boxes,Electric Desk Control Boxes.
Control boxes works with the UPDR series desk. Available as 120V to 230 V universal unit for worldwide use. It has low energy consumption and easy to mount. Inside every Electric Standing Desk is a command center or "brain" that makes it possible to raise and lower your desk digitally.
Desk Control Boxes,Office Desk Control Boxes,Standing Desk Control Boxes,Electric Desk Control Boxes,Standing Desk Control System
Suzhou Uplift Intelligent Technology Co., Ltd , https://www.up-lifting.com