Sweeping Europe, Shandong Townsman Bought A LV Empire In 10 Years.

An American giant brand bought by Shandong enterprises is ready to land on the science and technology board.

A few days ago, Shandong Ruyi Technology Group Limited ("Shandong Ruyi") announced that the company had launched the listing of the leikha group of the acquired company, and held the launching ceremony of the launch plate of the Leica group in Jining headquarters.

At the beginning of this year, the "global Lycra group", a leading global fiber and new material industry, was sold by Shandong Ruyi for 2 billion 600 million dollars, becoming another brand that Ruyi bought in the international market. At the beginning of the acquisition, Shandong Ruyi had a IPO related plan for Lycra.

The Lycra group is just Shandong's Ruyi - the tip of the iceberg of this invisible giant. Over the years, Shandong's Ruyi has made great stride in the international market. In succession, the French group SMCP, the old Swiss luxury brand Bally, the British symbol windbreaker brand, and the Renown group of Japan's 100 year old clothing store have all been tagging China to complete the transformation from a Shandong wool mill to an international luxury brand.

After 2 billion 600 million US dollar acquisition, the US leading enterprise is going to Lu Ke to create a board.

The Lycra group is very popular, and Shandong's acquisition of it is a supplement to its existing territory.

In January 31, 2019, Shandong announced that it had completed the acquisition of the apparel and advanced fabric business of the company, including the world-renowned LYCRA Lycra brand, with a total transaction price of US $2 billion 600 million. Ying Wei Da is a wholly-owned subsidiary of Coriolis industry group. In the list of the world's richest 25 families released by Bloomberg recently, the two sons of the Charles Koch family, the founder of the Coriolis industry group, rank third in the list and have 125 billion dollars.

Lycra, a global fiber new material giant, has a rich fiber brand family. Its annual sales revenue is over 7 billion 500 million yuan. The annual sales of Lycra fiber brand garments are over 1 billion. R & D is the moat of Lycra. It is reported that the group has 5 independent R & D laboratories and more than 1400 patents.

Shandong's Ruyi takeover is clearly aimed at synergy at the business level. As a fashion apparel company started from wool textile enterprises, new fiber materials are indispensable businesses. Shandong Ruyi also plans to invest in the construction of new fiber material industrial park in Jining high tech Zone, landing the latest research results of Lycra, leading Leica to lead the group's new technology and material sector.

As a traditional textile country, China is the largest producer and consumer of chemical fiber in the world. According to the annual report of fiber, China produced more than 4840 tons of chemical fiber in the world's total output of 71 million 500 thousand tons in 2018, accounting for about 68% of the world's total. The Lycra group has an absolute competitive advantage in hi-tech fiber industry.

However, to acquire such an important overseas enterprise, it is still difficult for Shandong alone. In the case of transnational acquisition, the new and old energy conversion fund of Shandong province has been allocated 42 yuan.

"The 400 million yuan government guidance fund has leveraged 17 billion yuan in cross-border acquisitions and has played a great role in leveraging the acquisition of the Lycra group." Shandong Ruyi investment director has introduced to the media like this. Shandong Ruyi founder Qiu Yafu also said: "if it were not for the strong support of the Shandong provincial government for the new kinetic energy industry, even if it gave me 400 million yuan support, I could not complete the 17 billion acquisition." With the support of the old and new energy conversion fund, the 10 billion M & amp; a brought back 1200 patents and improved Shandong's Ruyi Business territory.

From the beginning of the acquisition, Shandong Ruyi designed the route of landing capital market for Lycra. According to media reports, Ruyi technology has considered Leica group in the United States IPO, and plans to raise $500 million, then plans to IPO or asset restructuring and listing of the way to A shares, to create Ruyi group's technology, brand, manufacturing three major plates.

Shandong Ruyi thinks that the "Chuang Chuang board" is more suitable for the positioning of Lycra. It belongs to the high performance composite material enterprise recommended by the "guide for the listing of listed companies of science and innovation".

Shandong's Ruyi history: from woolen mill to international luxury brand magnate

When he entered the Jining wool textile factory at the age of 17, he became an ordinary worker. At that time, Qiu Yafu probably didn't expect to become the boss of the international group in more than ten years.

In 1977, Qiu Yafu, 19, became the workshop director of the Jining wool mill. In order to make up for his regrets, he went to the northwest textile industry university at the age of 24. After that, he became an assistant to the factory director. In 1992, Jining wool textile factory began to reform the state owned enterprise and renamed it, 5 years later, 39 year old Qiu Yafu steered the Ruyi wool spinning group.

At that time, Qiu Yafu could take it as a mess, and thousands of workers were crying for food. The turnaround came from Ruyi fashion Klc Holdings Ltd, which was founded in 1999. Since then, whether it is internal reform or merger and acquisition investment outside the group, this company is the key.

In 2001, Shandong Ruyi predecessor, Jining Ruyi venture Co., Ltd. was registered and jointly invested by 20 natural persons, such as Shandong Ruyi wool textile group, ESOP and Qiu Yafu. The restructuring of the Ruyi wool textile group was carried out in a variety of ways such as equity merger and acquisition. In December 7, 2007, Shandong Ruyi woolen garment group (Ruyi group) was listed on Shenzhen Stock Exchange.

The volume of Shandong Ruyi is far greater than that of Ruyi group. In fact, under the operation of Ruyi investment, Qiu Yau became the controlling shareholder and actual controller of Shandong in November 2009. In 2014, the shareholding ratio of Ruyi group holding Shandong Ruyi wool textile group increased to 52.01%, becoming the controlling shareholder of the listed company, and Qiu Yafu also got the actual control of Ruyi group. The data from the sky eye show as follows:

According to the data of Tian Tian check, Shandong Ruyi fashion Klc Holdings Ltd is a shareholder of Ruyi technology company. Its current shareholding ratio is 53.49%. In addition, there are foreign holdings from Japan and Australia.

Today, Shandong has 20 wholly-owned and holding subsidiaries, and has become a world-renowned innovative technology textile enterprise, with hundreds of patent technology and innovative achievements. International luxury Brand Company such as LV, Gucci, Hermes and so on all use Shandong's Ruyi designed and manufactured fabrics, or even directly under orders.

Shandong Ruyi relevant responsible person introduced to the outside world, with Leica group as the representative of the new technology and material plate, with SMCP, Li bang as the representative of the fashion brand plate, with Shandong, Ningxia, Xinjiang, Pakistan and other areas of the assets of the representative of the intelligent manufacturing plate, will promote the Shandong Ruyi three feet stand new pattern.

In addition, in the collision with capital markets, not only Lycra, Shandong Ruyi also plans to inject billions of brand assets into A share listed companies, so as to enhance the overall efficiency of listed companies through asset securitization.

Sweeping Europe, buying a "LV Empire"

Strictly speaking, Shandong Ruyi does not belong to the clothing brand, but the biggest black horse in this textile industry has become an important player in the field of international light luxury fashion through its acquisition and acquisition of a series of famous brands.

In the case of Ruyi's purchase in Shandong, from 100 years clothing brand to international luxury company, from new garment manufacturer to advanced fabric business and so on, there are many family businesses and old international light luxury group. Including the acquisition of Sandro, Maje and Claudie Pierlot brands such as the parent company - French fashion group SMCP such a sensational case. In October 2017, SMCP successfully landed on the pan European stock exchange of Paris. Its performance also achieved two digit growth, making Shandong profitable.

In early 2018, Shandong purchased the controlling stake of Swiss luxury goods company Bally from the European investment giant JAB Holding Co., which was controlled by the Reimann family of Germany, so as to push the global luxury maniac of Ruyi group to a climax.

As early as 1986, Bally has entered the Chinese market. China's sales account for more than 50% of the total sales, and the growth rate has reached two digits. In June 2017, Bally also launched a special e-commerce website for China. Qiu Yafu once said: "Barry has a long history of over a century, and their products are very good complement to our clothing business. The acquisition is a milestone in Shandong's success.

However, unlike financial investment, Ruyi's overseas acquisitions are aimed at better developing China's high-end clothing industry. In this regard, Qiu Yafu introduced: "through the capital strength of the international fashion resources for our own use, is China's clothing industry to catch up with the international level of the best path. If you want to know how to make fashion brand, you must find the source of fashion, so Ruyi has made a series of mergers and acquisitions in France, Italy, Britain and Japan.

The Chinese have bought 1/3 of the world's luxury goods, and Chinese companies have bought many luxury brands. Not only is Shandong Ruyi, Song Li Si, seven wolves and so on are also making efforts. The international market, the integration of fashion luxury industry, also in the major international brands in the takeover transaction.

Now, Shandong has become one of the top 20 fashion labels in the world, and perhaps the first clothing brand it plans to build will soon come out. Author: Yang Jiyun