CSICPCL(600482) 证券时报网·2024-11-12 03:10Core Viewpoint - The acquisition of 100% equity in Shanzhong Construction Machinery Co., Ltd. by Shantui Construction Machinery Co., Ltd. for 1.841 billion yuan marks a significant move in the state-owned enterprise merger wave, aiming to enhance product structure and market competitiveness in the engineering machinery sector [1][5]. Group 1: Acquisition Details - Shantui plans to pay 1.841 billion yuan to acquire the entire stake of Shanzhong, which will become a wholly-owned subsidiary post-transaction [1]. - The transaction is classified as a related party transaction due to both companies being controlled by Shandong Heavy Industry Group, which is under the Shandong Provincial State-owned Assets Supervision and Administration Commission [1][3]. - The acquisition has been approved by the board and is pending shareholder approval [1]. Group 2: Company Background - Shantui is a major player in the domestic engineering machinery market, primarily producing bulldozers and road machinery, with a market capitalization of approximately 14.72 billion yuan [1]. - Shanzhong is a professional hydraulic excavator manufacturer with production capabilities of 20,000 units annually and a market share of 4.03% in the excavator sector [2]. Group 3: Strategic Implications - The acquisition allows Shantui to expand into the excavator business, optimizing its product structure and enhancing its industrial layout [2]. - By integrating upstream and downstream assets within the engineering machinery sector, the deal aims to improve industry concentration and resource allocation efficiency [2]. Group 4: Financial Aspects - The acquisition price reflects a 129.69% premium over Shanzhong's net asset value, which was assessed at 802 million yuan [4]. - Shanzhong's revenue for 2023 and the first nine months of 2024 was reported at 2.409 billion yuan and 2.426 billion yuan, respectively, with net profits of 43.23 million yuan and 75.05 million yuan [4]. Group 5: Market Context - The acquisition is part of a broader trend of increased mergers and acquisitions in the state-owned enterprise sector, with a reported 80% year-on-year increase in A-share listed company mergers [5]. - Recent regulatory changes have facilitated this trend, allowing for more flexible merger and acquisition activities, particularly in the central state-owned enterprises [5][8].