Recently, Gree Electric (000651. SZ) made a lot of money, with major shareholder changes, third quarter profit slowdown, and the deletion of telecommunications services.
On the evening of October 30, Gree Electric disclosed an amendment to the companys articles of association. In the articles of association to be revised by Gree Electric, the business scope of operating telecommunication business and value-added telecommunication business was deleted. It is said that Gree will withdraw from the mobile phone market.
Liu buchen, an industry watcher for home appliances, told the 21st century economic report that if Gree appliances does exit the mobile phone business, it is definitely a rational and wise choice..
It is speculated that this may have something to do with the addition of Hillhouse capital, one of the largest investment institutions in Asia, which is the new major shareholder of Gree Electric. According to the interface news disclosure, article 6.3 of the companys articles of association to be revised has added a new clause that the controlling shareholder can serve as a supervisor of the company. That is to say, after the completion of the amendment of the companys articles of association, if Hillhouse capital takes over 15% of the shares of Gree Group, it will have the right to send personnel to serve as the supervisor of the company.
People in institutions are generally optimistic about the cooperation space between Hillhouse follow-up and management, and the governance level of Gree will change dramatically. Liu buchen judged that after entering the era of high-level capital, Gree Electric will make local strategic adjustment, not excluding that Gree will also withdraw from some current product areas.
On the matter of quitting the mobile phone business, 36 krypton asked Gree for official confirmation. Gree denied withdrawing from the mobile phone business, saying the details of deleting the telecom business would be announced at the shareholders meeting.
Whether Gree admits it or not, it is an indisputable fact that Gree mobile phones are behind the market. According to relevant media reports, the three generations of mobile phones released this year are priced at 3600 yuan, which are equipped with the high-tech Xiaolong 821 processor released three years ago, but the new Youshang phone launched at the same time has been equipped with Xiaolong 855, starting at less than 3000 yuan, and the sales volume of mobile phones displayed on Grees official website last month is only 16.
But no matter how bleak the data is, Gree never changed his mind. So far, Gree Electric has never released specific sales data of Gree mobile phones, and even the production line is mysterious.
Since Dong Mingzhu became the chairman of the board in 2012, Gree Electric, the air conditioner overlord, has begun to promote the diversification process. Four years ago, Gree announced in a high-profile manner that it would make mobile phones. She once angrily boasted: Gree mobile phone is the first in the world, you can throw away the mobile phone on your hand and buy Gree mobile phone.
In March of this year, during the national two sessions, Dong Mingzhu also publicly said that the mobile phone business is not a failure, Gree will continue to do it, and the mobile phone is an important entrance to Grees smart home. However, with the change of market and the addition of capital, Gree is bound to have some trade-offs in the business layout.
Seven months on, whether Grees mobile phone will usher in the final chapter has not been finalized, but the wind direction has changed.