On March 11, Guangdong Tianan New Materials Co., Ltd. (hereinafter referred to as "Tianan New Materials") announced that the company had received the "Organization Signing Notice" issued by the Southern United Property Rights Trading Center and was determined to be Guangdong Yingpai Ceramics Group Co., Ltd. (hereinafter referred to as "Yingpai Group") is the transferee of a bundled transfer of 66% of the equity of four of its subsidiaries. The total listing price of this transaction is 520 million yuan.
Since then, the much-watched equity transfer transaction of Eagle Brand Group has officially settled. Some industry insiders said that this move may have indirectly contributed to the listing of Yingpai Group. As a company specializing in the production of environmentally friendly high-end decorative materials and automotive interior materials, Tianan New Materials' acquisition of 66% of the equity of Eagle Brand Group this time will also become a successful case of capital's cross-border entry into the ceramic industry.
Eagle Brand’s 4 subsidiaries
Total revenue in 2019 was 1.396 billion yuan
The Yingpai Group first publicly listed and bundled the transfer of its subsidiaries Shiwan Yingpai Ceramics Co., Ltd., Heyuan Dongyuan Yingpai Ceramics Co., Ltd., and Foshan Yingpai Technology Co., Ltd. at the Southern United Property Rights Trading Center on August 17, 2020. The company and Foshan Yingpai Ceramics Trading Co., Ltd. each have 66% equity pre-disclosure.
At the same time, pre-disclosure shows that the total revenue of the above-mentioned subsidiaries of Eagle Brand Group in 2019 was 1.396 billion yuan.
It was officially listed on December 20 of the same year, and the deadline for listing is March 1 this year.
On February 2, Tianan New Materials officially announced that it planned to participate in this transaction. It is worth noting that Tianan New Materials’ announcement this time revealed that as the transferee, it must promise to move the industrial and commercial and tax registration places of its listed company’s headquarters to Chan, Foshan City within one year from the signing of the property rights transfer contract for this transaction. Within the jurisdiction of Shiwan Town Street in the urban area, the property rights delivery of this transaction will be carried out after the relocation is completed.
This also means that Tianan New Materials needs to move its headquarters registration location from Nanzhuang Town, Chancheng District, Foshan City to Shiwan Street. Eagle Brand Group is still a Shiwan enterprise.
The acquisition constitutes a major asset reorganization
Is Eagle Group listed again?
According to public information, Guangdong Tianan New Materials Co., Ltd. was established in 2000. The company is headquartered at No. 30, Xinyuan 1st Road, Geely Industrial Park, Nanzhuang Town, Chancheng District, Foshan City. It has three plants in Foshan, Guangdong and Quanjiao, Anhui. A manufacturing base, it is an enterprise specializing in the production of environmentally friendly high-end decorative materials and automotive interior materials.
The company mainly produces environmentally friendly home decoration materials and automotive interior materials. Its business scope includes production, processing, and operation: calendered film, nylon laminate fabric, plastic and leather printing, calendered foamed artificial leather,Automotive interior materials, polymer materials. Its independently developed environmentally friendly high-end PP films, as well as TPO automotive dashboards, door panels and other products. The annual report disclosed by Tianan New Materials on April 16, 2020 shows that the company achieved total operating income of 870 million yuan in 2019.
In addition, Tianan New Materials announced that after the completion of this equity acquisition, the scope of the consolidated statements will include the above four Eagle Brand subsidiaries. At the same time, this transaction constitutes a major asset reorganization stipulated in the "Administrative Measures for Major Asset Reorganization of Listed Companies".
"Ceramic Information" noted that this acquisition is similar to the acquisition of Oceano Ceramics by Emperor Sanitary Ware in 2017. On June 7, 2017, Emperor Sanitary Ware announced an acquisition plan, intending to issue shares to 52 shareholders of Oceano and pay cash to purchase 98.39% of the equity held by them in total at a price of 1.968 billion yuan, and promoted the development of Oceano. The successful listing of Shennuo Ceramics and its rapid growth in recent years.
Tianan New Materials previously announced that Eagle Ceramics is a well-known domestic trademark with a history of 46 years. It is a famous brand of Chinese ceramics and has established more than a thousand dealers and showrooms across the country. The company is currently expanding its business in the field of environmentally friendly prefabricated interior decoration and is committed to providing customers with one-stop home decoration services. If this bidding is successful, the company can create better industrial synergies with Eagle Ceramics through acquisition and integration, and achieve mutual empowerment between the company and Eagle Ceramics. On the one hand, it can make up for the shortcomings of the company's existing channels and promote the company's expansion in the pan-home furnishing field. The industrial layout, on the other hand, through market-oriented operations, can promote better management and development of Eagle Ceramics, thereby realizing complementary advantages and promoting the company's sales expansion.
(The article is reproduced from Ceramic Information)
