Mainland LED companies are rushing to go public, such as the pressure on Taiwanese enterprises to move

On March 29, the China Securities Regulatory Commission's GEM Issuance Review Committee approved the listing application of Guangzhou Hongli Optoelectronics Co., Ltd., which means that the Shenzhen GEM will add another LED package listed company. Prior to this, National LED (002449.SZ), Ganzhao Optoelectronics (300102.SZ) and Lehman Optoelectronics (300162.SZ) three LED chips and packaging companies achieved IPO last year.

"In Shenzhen alone, there are still five or six LED companies that are preparing to go public, and some have already applied to the CSRC." Gao Xiao LED CEO Zhang Xiaofei told the "First Financial Daily" yesterday that there are probably 50 LED companies in the mainland that have already completed or The share reform is underway. Once the share reform is over, the investors will enter within one year. Just like Guangfa Xinde’s assault into Hongli Optoelectronics, the LED companies will be listed quickly. The LED companies in Shenzhen are going to list. Mulinsen, Ruifeng, Zhouming, LED companies such as Wanrun and Lianjian Optoelectronics.

"Now the situation is like a market, everyone is worried that 'there is no such shop in this village.'" Zhang Xiaofei said.

The fundamental reason why everyone is rushing to go public is that the general manager of Ruifeng Optoelectronics, the leading LED backlight manufacturer in mainland China, seems to be the competition caused by the accelerated transfer of Taiwan's LED industry to the mainland. "Continental LED companies can't compete with Taiwan's LED giants in terms of technology and scale. If there is no capital to promote, the future development prospects will be gray, and even their own R&D teams may be hacked by competitors." Gong Weibin Say.

Giant air raid

On March 26, the global LED packaging giant Taiwan Jingyuan Optoelectronics signed a cooperation agreement with Skyworth Digital and Delta Electronics to jointly invest 600 million US dollars to build LED chip projects in Zengcheng. Last year, Jingyuan Optoelectronics also established LED chip joint ventures in Xiamen and Changzhou with Great Wall Development (000021.SZ) and Guangbao.

High-tech LED statistics show that 7 of the top ten manufacturers of LED epitaxial chips in Taiwan, Jingdian, Guanglei, Dingyuan, Yuyuan, Huashang, New Century Optoelectronics and Ronda are all joint ventures or wholly-owned factories in mainland China. .

Gong Weibin pointed out that due to the mainland LED investment boom, it may lead to short-term oversupply in the LED market. Taiwan's LED giants tied the mainland's major customers in a joint venture model, mainly based on market considerations, but directly led mainland mainland LED upstream manufacturers to become the second or third supplier of mainland color TV manufacturers.

"The problem is that the location of the second or third supplier also needs to be snatched. Without the capital market to promote, accelerate the expansion of scale, the status of suppliers may not be guaranteed." Gong Weibin said.

Hongli Optoelectronics' data in the prospectus shows that in 2010, Hongli Optoelectronics earned 438 million yuan, a year-on-year increase of 70.51%, and realized a net profit of 63.24 million yuan, an increase of 133.46%. However, the above figures are still far behind the net profit of Jingyuan Optoelectronics in 2010 with a net income of 19.8 billion Taiwan dollars (about 4.4 billion yuan) and 5.77 billion yuan (about 1.29 billion yuan).

Based on this, Hongli Optoelectronics pointed out in the prospectus that subject to the financial strength, it is subject to certain restrictions on expanding product production scale and optimizing product structure, especially in the comprehensive strength of leading enterprises in Taiwan and foreign industries. A certain gap.

Listing trend

"If mainland LED companies can't be listed in the past two years, or find a strong capital side, the future development will be full of uncertainty. There will be problems in terms of resources and manpower." Kang Rui, director of Huarui Investment, focusing on LED field It is pointed out that under the influence of the current policy of energy conservation and emission reduction in the mainland, if the mainland LED can be successfully listed, whether it is corporate brand, finance, credit rating, external market cooperation and market trust, it will be greatly improved, especially through equity incentives. Attract and retain LED professionals.

Wang Donglei, chairman of Dehao Runda (002005.SZ), once said to the newspaper that the key to the rapid development of mainland LED companies, in addition to capital strength, the most important is talent. At present, there are a lot of experienced LED talents in the world, and the equity incentives of listed companies are the best medicine to retain talents and attract talents to join.

On March 22, Dehao Runda announced the first stock option incentive plan (draft), showing that Dehao Runda is preparing to grant 13.5 million stock options to the company's 74 core business backbones, with an exercise price of 19.79 yuan/share. Accounted for 2.79% of the company's total share capital.

Hongli Optoelectronics also stated that the company's main management personnel and core technical personnel both hold the company's shares directly or indirectly. The company's talent team has high enthusiasm and stability, which has laid a solid foundation for the company's technology research and development and sustainable development. Foundation.

Zhang Xiaofei pointed out that although there are more than 50 LED companies in the mainland ready to go public, the current scale of more LED companies simply cannot meet the requirements of listing. These LED companies have become the target of some listed companies preparing to inject LED business. The market is very optimistic about the LED concept, as long as it is the LED business, whether it is done well or not, the stock price will basically rise sharply."

Chen Bin, general manager of Guangdong Zhonglong Company, a leading LED lighting company in China, admitted yesterday that there are indeed some listed companies that want to incorporate their own business into the plates of listed companies.