Xin Lang Cai Jing·2025-05-13 21:05Core Viewpoint - Qingdao Beer is pursuing a cross-industry acquisition by planning to acquire 100% of the shares of Shandong Jimo Huangjiu Factory for a total consideration of 665 million yuan, aiming to create new growth points and diversify its business beyond beer [2][6]. Group 1: Acquisition Details - The acquisition involves Qingdao Beer purchasing the entire stake of Jimo Huangjiu, which was founded in 1949 and is a representative of Northern Huangjiu [3][7]. - The acquisition price is set at 665 million yuan, which includes adjustments for profit and loss during the price adjustment period [2][8]. - Jimo Huangjiu reported a revenue of 166 million yuan in 2024, with a net profit of 30.47 million yuan, reflecting a year-on-year growth of 13.5% and 38% respectively [8]. Group 2: Market Context - The Chinese beer industry has been in a downward trend since reaching a peak production of 50.615 million tons in 2013, prompting Qingdao Beer to seek diversification through acquisitions [6]. - Qingdao Beer has faced challenges in its core beer business, with a decline in sales volume for its main brand, which fell to 4.34 million kiloliters in 2024, a decrease of approximately 4.82% year-on-year [4][11]. Group 3: Financial Performance - In 2024, Qingdao Beer reported a net profit of 4.345 billion yuan, marking a year-on-year increase of 1.81%, the lowest growth rate since 2017 [5][11]. - The company's revenue for 2024 was 32.138 billion yuan, down 5.3% from the previous year [11]. Group 4: Market Reactions and Concerns - Market analysts have expressed caution regarding the acquisition, citing limited synergy between beer and Huangjiu due to different consumer bases and sales channels [10]. - Concerns have been raised about potential management conflicts post-acquisition and the unclear strategy for diversification given the smaller scale of Jimo Huangjiu [10].