Elec-Tech international lighting business integration or peeling? See how big coffee

LED whole industry chain leading Guangdong electric Limited by Share Ltd (hereinafter referred to as "Elec-Tech") and the shares of NVC Holdings Limited (hereinafter referred to as "NVC") has issued a notice, once thrown off the market will fall into a reverie.

The December 11th announcement that, for better aggregation of domestic lighting industry, intends to 190 million yuan to divest its international lighting business. In December 12th, NVC announced that the appointment of Elec-Tech actual control of Wang Donglei's son Wangdun as an executive director of the company. So far, the board of directors system accounted for half of BDO seats on the board of NVC formed a substantial control.

In this regard, the secretaries office said: "no comment, the announcement. But industry insiders say, Elec-Tech international lighting business sale, or avoidance and Countermeasures of NVC international business each stroke of the right hand.

Or for the integration of the wrist

The December 11th announcement that the assets collection of international lighting business to a wholly owned subsidiary of BDO (Hongkong) Photoelectric Technology Co. Ltd. (hereinafter referred to as the "Hongkong BDO optoelectronics"), and the Hongkong BDO optoelectronics at a price of 190 million yuan in cash sale to Rui Yuzhong in high tech Industry Investment Fund (limited partnership).

It is reported that Hongkong BDO optoelectronics subordinate LED lighting international business mainly includes LED, Elec-Tech international division, Guangdong BDO NVC Co. Ltd. under the lighting factory, Wuhu Elec-Tech Photoelectric Technology Co. Ltd. under the lighting factory and ETISolidStateLightingInc., are Elec-Tech LED lighting international business core assets.

According to the bank letter of assets assessment assessment report issued by the company, Hongkong BDO photoelectric 2015 revenue of 481 million yuan, net profit of 26 million yuan; 1~9 months of 2016, revenues of 399 million yuan, net profit of 46 million yuan. The announcement that the sale of international lighting business will help the company to better focus and become bigger and stronger domestic lighting business.

It is worth mentioning that the NVC 12 announcement that the appointment of Wang Dun as executive director of the company, Li Huating as a non-executive director of the company. Wang Dun Elec-Tech the actual control of Wang Donglei's son, Li Huating as vice chairman and general manager of china. So far, NVC occupy 10 seats, BDO board of directors in 5 seats, the Wang family occupy 4 seats in the 3 seat executive board seats. In a nutshell, BDO will have formed a substantial control on the NVC board. According to the 2016 semi annual report shows that the company holds 27.03% stake in NVC, its largest shareholder.

In the view of the LEDinside research department director Wang Fei, Elec-Tech international lighting business or stripping to avoid right hand each stroke and NVC international lighting business, service integration.

At present, China in the upstream areas of the chip par three safety optoelectronics, HC semitek, among the first echelon, far better than NVC. But in the field of downstream lighting in foreign markets to OEM Elec-Tech "AEG", "WHIRLPOOL", the domestic market with "BDO NVC" "ETi" and its own brand sales, brand premium NVC nandi.

"Each in his element two coincident, eliminating part, save operation cost at the same time also can straighten out the relations between the two sides, in order to achieve full integration. National semiconductor lighting engineering research and development and Industry Alliance Deputy Secretary General Geng Bo said.

Guangdong South Network Lighting Research Institute Vice President and Secretary General Liu Jun also said: "this can be recognized to determine the future Elec-Tech in the upper reaches of the chip and package for the direction of the force, while NVC will focus on downstream lighting applications. "

Synergy has not yet appeared

In fact, the difference of division of labor of NVC, NVC Elec-Tech, become the largest shareholder of the occasion as early as December 2012 Wang Donglei had proposed.

At that time, deep and Saif Asia Equity infighting quagmire NVC performance set out, industry is not optimistic about the marriage of the two. But in view of NVC channel is king Elec-Tech, suction eye index alarming. Wang Donglei repeatedly mentioned NVC, wide coverage, strong linkage channel system is Elec-Tech the weakness which will play great synergistic effect of the two complement each other.

On the one hand, Elec-Tech can NVC nationwide and overseas radiation in more than and 40 countries and regions for fast distribution channels; on the other hand, NVC lighting products through the use of Elec-Tech chip and other products, but also the two pulled up the market share elec-tech. Liu Jun frankly, this to be of great advantage elec-tech.

However, according to the annual report shows that the 2015 fiscal year after deduction of non net profit fell 117.99%. According to the latest three quarterly show, the company's revenue and net profit both fell. Among them, attributable to shareholders of listed companies net profit fell 69.84% to $18 million 471 thousand and 300.

In this regard, Geng Bo said that the upstream chip industry has technology, capital intensive heavy asset attributes, the need to continue to invest large sums of money, it is difficult hematopoietic no surprise.

But Wang Fei pointed out that this overestimation of the market prospects of the LED and elec-tech. 13 years of deep plowing Elec-Tech field of small household electrical appliances, in the aftermath of the 2008 global financial crisis hit, then second main switch to LED lighting industry, and gradually establish a "epitaxy and chip package module and the application of -LED products (Zhao Minghe) - the whole industry chain pattern of brand and channel".

However, at the beginning of the industrial layout, positive