Junlebao confirmed that he intends to cooperate with Yinqiao Dairy, and Junlebao Dairy will acquire Xi'an Yinqiao Dairy. After Singapore delisted, Shaanxi Yinqiao "married" Junlebao... Recently, such news has caused heated discussions among people in the Shaanxi financial circle. In recent days, a reporter from China Business News contacted the companies of both parties to understand the situation, but neither party responded publicly.
can confirm that Junlebao and Yinqiao strategic cooperation
"should be acquiring part of the equity"
Shijiazhuang Junlebao Dairy will acquire Xi'an Yinqiao Dairy? In mid-September, the Junlebao executive team, including Wei Lihua , chairman of Junlebao Dairy Group, had arrived in Xi'an... A reporter from Huashang Daily noticed that many financial websites reported such news.
"It is very likely that Junlebao has acquired a stake in Yinqiao and the two parties have reached a strategic cooperation, but there is no confirmation of the specific cooperation method." A relevant person from the Shaanxi Dairy Production Safety Association said.
In Xi'an, the people are familiar with Xi'an Yinqiao Dairy. This incident has attracted great attention locally. Last week, a reporter from Huashang Daily contacted Junlebao and Yinqiao Dairy to verify the acquisition. On the morning of September 21, a reporter from China Business News contacted Yinqiao Dairy to interview the matter, but received no reply.
An insider of the Shaanxi Dairy Production Safety Association Zhang Lin (pseudonym), revealed to a reporter from China Business News: The reason why Junlebao acquired Yinqiao should mainly value Yinqiao's brand influence in Xi'an and its radiation ability to the northwest market through Xi'an. In addition to the product combination with excellent product quality and diversified product quality, Junlebao is more optimistic about Xi'an and surrounding markets, including Yinqiao.
According to relevant data, Yinqiao Dairy currently has an overall scale of about 1 billion, radiating to Xi'an and surrounding markets, with a total population of more than 25 million. Junlebao can radiate to the northwest and even the entire western market by acquiring Yinqiao Dairy, which can play a role in adding wings to Junlebao. What is the current acquisition of
? What is the specific acquisition amount? People familiar with the matter said that what is currently certain is that Junlebao and Yinqiao Dairy will start strategic cooperation, and the current situation of the transaction at the equity level is not clear, "it should be the acquisition of part of the equity."
"I heard about this, and I really feel a little crisis..." Mr. Zhao, the head of a medium-sized dairy enterprise in Shaanxi, said that for the actual controller of the company, if you are old, you might as well retire. Of course, the company you worked hard to get acquired may be emotionally reluctant.
Yinqiao has obvious advantages in Xi'an
is also an opportunity for Junlebao to enter the goat milk powder industry
Yinqiao Dairy was founded in 1978. Its product line covers: low-temperature milk, room-temperature milk , bottled milk, milk powder and goat milk powder that delivers milk to households. At present, it has formed a sales network with the Northwest Market as the center and radiated to major and medium-sized cities across the country.
Xi'an is one of the few dairy cows and dairy goats "double milk source" bases in Shaanxi Province. Its indicators such as the scale of good varieties, inventory, industrial aggregation, dairy processing capacity, and dairy product output are all ranked high in Shaanxi Province. At the end of 2021, Xi'an had a 24,000 dairy cows and a 177,000 dairy goats, and Yinqiao Dairy is one of the two "chain leaders" enterprises in the dairy industry chain in Xi'an.
On the afternoon of September 21, a reporter from Huashang Daily saw in a supermarket near Mine Road in Xi'an that the dairy area here was displaying various dairy products, including Yinqiao's bagged and boxed milk.
From the perspective of capitalization, in 2003, Yinqiao Dairy went public through the acquisition of "TSM Resources". However, after experiencing a period of rapid development, performance has declined since 2014. In June 2016, Yinqiao Dairy was delisted from the Singapore main board, and its business territory gradually contracted.
Yinqiao Dairy has considerable strength in the regional market and is still highly active. At the end of last year, the Xi'an Enterprise and Entrepreneurs Federation released the "2021 Xi'an Top 100 Enterprises", and Xi'an Yinqiao Dairy ranked 60th. The list shows that in 2020, the company's revenue was 3.456 billion yuan.
Dairy research expert and vice president of the Guangdong Food Safety Promotion Association, Zhu Danpeng, believed in an interview with a reporter from China Business News that for Yinqiao Dairy, cooperation with Junlebao is an opportunity for development.Compared with national leading enterprises, local dairy companies have lower profits and poor risk resistance. They have not formed their own "moat" and are facing pressure to survive and develop. Song Liang, senior analyst of
Dairy, analyzed that if the cooperation between the two parties is finalized, then Junlebao should have taken a fancy to the advantages of Yinqiao Dairy in the Shaanxi market. Yinqiao is also a leading enterprise in the dairy industry in Shaanxi. It has certain advantages in obtaining resources, which is beneficial to Junlebao's construction of its own supply chain system for goat milk powder in Shaanxi.
Zhang Lin said that for Yinqiao Dairy, the acquisition is a good destination. After Yinqiao Dairy delisted in Singapore in 2016, its development has been subject to various limitations. After the acquisition, the management implementation and resettlement issues are the issues that the management and employees of Yanqiao Dairy are more concerned about.
For Junlebao, Junlebao was the first company to enter the Shaanxi goat milk powder industry in 2008 and cooperated with Hang Seng Dairy Company. Later, the cooperation failed due to some things, but this did not dispel Junlebao's determination to enter the goat milk powder industry. This acquisition is an opportunity for Junlebao to enter the Shaanxi goat milk powder industry.
frequently acquires mergers and acquisitions, and Junlebao's national layout may prepare for the sprint for listing
Junlebao Dairy Group was established in 1995 and has built 21 production factories and 17 modern large-scale ranches in Hebei, Henan, Jiangsu, Jilin and other places.
Junlebao previously introduced Hillhouse Capital, Sequoia Capital , etc. to prepare for listing. In April 2019, the Hebei Province Dairy Industry Revitalization Leading Group issued the "Hebei Province Dairy Industry Revitalization Work Plan for 2019", which clearly stated that "support the listing of Junlebao Dairy Group on the main board and expand financing channels."
Previously, Junlebao had repeatedly told the media that it would strive to complete its listing in 2025. In August 2022, Zhong Yan, vice president of Junlebao Dairy Group, revealed in an interview with the media that Junlebao's sales revenue in 2021 was 20.3 billion yuan, ranking among the top four in China's dairy industry.
Regarding the acquisition of Shaanxi dairy company Yinqiao Dairy, Junlebao responded to the media on September 20 that the two parties currently have the intention to cooperate, but there is no more information to disclose. Recently, a reporter from China Business News contacted Junlebao, but the other party did not respond until publication.
reporters inquired and found that at the beginning of this year, Junlebao reached a strategic cooperation with Huangshi Group . Mr. Zhao, the head of the aforementioned dairy enterprise in Xi'an, said that Junlebao accelerates the layout of the industrial chain and improves the supply system of the industrial chain during the industry's trough period, which can lay the foundation for subsequent national layout. Xu Xiongjun, a strategic positioning expert in
and founder of Shanghai Jiude Positioning Consulting Company, believes that after the introduction of multiple investment institutions, Junlebao's IPO is almost an inevitable event.
"Junlebao frequently acquires mergers and acquisitions, realizes national layout, spends money to do major things, and ultimately prepares for listing on a large scale." Xi'an financial commentator Kingsoft analyzed to a reporter from China Business News that Junlebao's acquisition of Yinqiao Dairy is equivalent to directly entering the Shaanxi market, which will help it accelerate the nationalization process. For a long time, Junlebao has expanded the market through low-price strategies and introduced capital financing. Driven by external forces and endogenous demand, under the expectations of many parties such as capital and relevant departments, Junlebao's listing is on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge of being on the verge
This is a microcosm of the development of dairy products
Yinqiao Dairy has grown up with many people in Xi'an. For many locals, they have an inseparable feeling. Some people feel a little sorry for Yinqiao's acquisition. They hope that other companies in Shaanxi will seize the time window to optimize and improve and avoid being acquired.
Zhang Lin said that after Junlebao acquires Yinqiao Dairy, it will put a certain psychological pressure on local dairy companies, especially for goat milk powder dairy companies. It will also bring about problems such as intensifying competition and milk source competition.
"Of course, everything is divided into two parts, which is also an opportunity for local dairy companies. Under the influence of catfish effect , local dairy companies will be promoted to improve management and improve the quality of dairy products." Zhang Lin said.
Junlebao Dairy will acquire Xi'an Yinqiao Dairy, which is a microcosm of the development of dairy products. The acquisition of small and medium-sized dairy companies by leading companies is the future development trend of the dairy industry.By acquiring local dairy companies, large dairy groups can reduce their own human, financial, material and time costs in the market, continuously expand their scale, improve market channels, and increase market share.
In fact, after years of development, some regional small and medium-sized enterprises have a complete industrial chain and upstream and downstream resources. After being acquired, it will be conducive to better development of enterprises. For mergers and acquisitions, the scale will be larger and stronger in the future, the industrial chain will be more complete, and the market share will often increase significantly. This is a key direction for future mergers and acquisitions of dairy companies.
Shaanxi dairy companies seize the window of time to work hard on the industrial chain
Dairy is a leading industry in Shaanxi. Baoji , Weinan and other places have rich pasture resources and a long history of breeding. However, Shaanxi lacks national and global dairy leading companies and listed companies.
goat milk powder accounts for more than 80% of the national market
Shaanxi dairy industry has obvious advantages
Shaanxi Province issued in August 2020 to mention that the new pattern of integrated development of the first, second and third industries will fully promote the high-quality leapfrog development of the dairy industry in the province. By 2022, the province's pigs, cattle and sheep stocks will reach 1.7 million and 12 million respectively, and goat milk powder will account for more than 85% of the national market share of domestic goat dairy products.
According to the official website of Xi'an Municipal Government, at the end of 2021, Xi'an had 24,000 dairy cows and 177,000 dairy goats. Yinqiao Dairy is one of the two "chain leaders" enterprises in dairy products in Xi'an.
A few years ago, some foreign dairy companies were optimistic about Shaanxi and tried to "take both cattle and sheep". For example, in February 2014, Feihe Dairy announced that it had reached a preliminary intention to strategic cooperation by controlling the leader of goat milk powder Guanshan Dairy, with the acquisition amount of RMB 300 million. In July 2021, it was reported that Feihe acquired Shaanxi Xiaoyang Miaoke with full capital. Xiaoyang Miaoke predecessor was the Shaanxi Longxian Dairy Factory founded in 1956.
In December 2021, Feihe received 131 million yuan in "Green Energy Ecological Animal Husbandry". At that time, some industry insiders said that Shaanxi's dairy goat industry was guarding its advantageous industrial chain but had no brand "leader".
"Shaanxi has a rich source of milk, but the people who have introduced goat milk powder are mainly southerners. They are good at doing e-commerce and operations..." Kingsoft lamented that more than 30 dairy companies in Shaanxi are involved in goat milk powder business, and have also ushered in the "first stock of goat milk" in the mainland capital market, but their brand influence is average and there is a lack of national brands.
industry integration accelerates, and Shaanxi enterprises can leverage capital
Previously, New Hope Dairy acquired 55% of the equity of Fuzhou Aoniu and 100% of the equity of Huanmei Dairy, a parent company of Xiajin Dairy; Bright Dairy acquired 60% of the equity of Qinghai Xiaoxiniu Biological Dairy Co., Ltd.; Guangdong Yuexiu Group took over Liaoning Huishan Dairy and started reorganization. Zhu Danpeng believes that the Matthew effect , which is more obvious in the dairy industry, is a normal phenomenon in business development and the result of the entire industry reaching a certain node.
Chief expert of Shaanxi dairy goat industry system Cao Binyun said that although Shaanxi's goat milk industry is leading in the country and well-known in the world, factors such as shortage of milk sources and lack of famous brands are still the biggest shortcomings that restrict the growth and strengthening of the dairy goat industry in our province.
"The competition for dairy products online and offline is fierce, and the supply is getting bigger and bigger." Xi'an financial commentator Wang Jianhong said that Shaanxi dairy companies should improve the distribution of interests in the industrial chain and work hard on the industrial chain. Accelerate the construction of high-quality milk source bases, strengthen the breeding and promotion of good varieties, improve the yield level of dairy livestock, cultivate and strengthen leading enterprises, improve international business capabilities, and implement brand strategies to shape the Shaanxi milk brand. In addition, financial and capital market forces can be used to help develop.
Mr. Guo, the head of a dairy company in Shaanxi, said that as the consumer market recovers, Shaanxi dairy companies have increased their added value, and with the support of financial power, the future prospects are worth looking forward to under the combined effect of internal self-generating force and external boosting force. China Business Daily reporter Qu Lili Huang Tao Intern Li Huiran
