The picture shows various types of scissors polished by Ding Jican, inheritor of Zhang Xiaoquans scissors forging technique. Photo by Wang Gang, a reporter from China News Agency
Zhang Xiaoquans sharpening the sword and making bold moves towards a shares
Recently, the listing application of Zhang Xiaoquan Co., Ltd. (hereinafter referred to as Zhang Xiaoquan) was accepted by Shenzhen Stock Exchange and planned to be listed on the gem. If successful, Zhang Xiaoquan, who is nearly 400 years old, will become the first cutting tool listed company in a share market.
Zhang Xiaoquans scissors are well-known in Jiangsu and Zhejiang provinces. Its history can be traced back to 1628 in Chongzhen of the Ming Dynasty. With the help of ancestral craftsmanship and Longquan good steel, Zhangs craftsmanship was well-known in Hangzhou. After the Qing Dynasty, the Republic of China to the present, Zhang Xiaoquan scissors became the first batch of Chinese time-honored brands approved by the Ministry of Commerce in 2006.
The picture shows Ding Jican, the inheritor of Zhang Xiaoquans scissors forging technique, is forging a scissors model. Photo by Wang Gang, a reporter from China News Agency
In May 2020, Wang Mazi, who has been losing money for several years, was officially acquired by Guangdong Yidao cutting enterprise. The Beijing Wangmazi has become Guangdong Wangmazi; Cao Zhengxing, the youngest, has completely stopped production and production after 1995.
Although Zhang Xiaoquan is the best developed among the three, like many time-honored brands, its brand has changed owners many times. According to the prospectus, the actual controllers of Zhang Xiaoquan are Zhang Guobiao, Zhang Zhangsheng and Zhang Xincheng. Although they are all surnamed Zhang, they have no blood relationship with Zhang Xiaoquan. Zhang Guobiao and Zhang Zhangsheng are brothers, and Zhang Xincheng is Zhang Guobiaos son. The three hold 71.83% of Zhang Xiaoquans shares.
According to the latest performance data, during the three-year period from 2017 to 2019, Zhang Xiaoquans operating revenue was 335556800 yuan, 403134700 yuan and 479559300 yuan, and the net profit was 48841600 yuan, 43808500 yuan and 72300700 yuan.
Zhang Xiaoquan plans to issue no more than 25% shares and raise 455 million yuan for production capacity construction, supplementary working capital and enterprise information construction. Zhang Xiaoquan said that the company always adheres to the mentality of a century old brand to start a second business, integrating the traditional scissors industry and new technology.
Big brands gather and time-honored brands line up for electric shock
Zhang Xiaoquan is not the only one who wants to bloom the second spring in the capital market.
Like Zhang Xiaoquan, he wants to be the first crab eater in the industry, as well as China Tea Co., Ltd. A few days ago, it disclosed the draft of its prospectus and plans to apply for listing on the Shanghai Stock Exchange.
As a subsidiary of COFCO group, the first batch of China Time-honored Brand tea IPO has implemented mixed reform before IPO, introducing the famous Houpu investment, and realizing the employee stock ownership plan, striving to be the first tea share in a share market, breaking the embarrassing situation that there is no tea listed company in the A-share market.
In addition, in a country where food is the most important thing for people, enterprises related to eating are not inferior. There are two time-honored food brands are currently conducting pre listing counseling work.
The first is Shandong Dezhou grilled chicken Co., Ltd., which is known as the first chicken in China. In May 2018, in the special evaluation on the brand value of Chinese time honored brands initiated by the former General Administration of quality supervision, inspection and Quarantine of China, Dezhou grilled chicken entered the top 20 brands of China Laoyu brand with a brand value of RMB 903 million.
Photo source: Official Website of Shandong Dezhou grilled chicken Co., Ltd
The other is Zhejiang Wufangzhai Industrial Co., Ltd. Wufangzhai, which can sell 400 million rice dumplings a year, was born in 1921. It will celebrate its centenary next year. It is a model of people are old and their hearts are not old.
On the Dragon Boat Festival in 2020, wufangzhai, together with HEMA Xiansheng and Xicha, launched a lot of customized innovative zongzi that meet the needs of young people. At the same time, it also cooperated with Leshi and Zhong Xuegao to launch potato chips with salted egg yolk and meat dumpling flavor and rice dumpling flavored ice cream, which not only brought a premium to the products, but also made the brand of wufangzhai full of vitality.
Photo source: Weibo @ wufangzhai
At present, there are nearly 50 time-honored listed companies in the A-share market, mainly focusing on liquor, traditional Chinese medicine, catering, condiments and other fields. Naturally, Maotai, the leader with a market value of more than 2 trillion yuan, naturally needs not to be mentioned; the Haitian flavor industry, whose market value has soared from 38.386 billion yuan to 400 billion yuan in six years, can be regarded as a model; Pianzihuang and Yunnan Baiyao are also good examples.
This phenomenon has also attracted the attention of business circles. Chen Ailian, chairman of the board of directors of Wanfeng Aote holding group, suggested in May that special support should be given to the listing of time-honored enterprises, hoping to establish a long-term protection mechanism for time-honored brands.
Listing is not the end point, capital market does not believe in age
But a successful listing is far from a counter attack. On the other side of the maotaimen scene, many time-honored enterprises still face many obstacles in docking with the capital market.
In May 2020, 162 year old Tianjin Goubuli, which was listed on the new third board, was delisted from the market. The Goubuli steamed stuffed buns praised by Empress Dowager Cixi as food longevity have become people ignore. The most criticized point is the price.
According to media reports, steamed buns, which were originally civilian food, cost five or six yuan for a cheaper one, and 20 or 30 yuan for a more expensive one. The high price of thin skin and big stuffing with 18 pleats has been reduced from well-known to boo with mouth.
The picture shows Goubuli steamed stuffed bun. Photo by Lu Dazhong source: ctpphoto
Quanjudes financial report in 2019 shows that the total operating revenue was 1.566 billion yuan, down 11.87% year-on-year; the net profit attributable to the parent company was 44.6279 million yuan, a year-on-year decrease of 38.9%, which directly fell back to the level of 2005, which was also the third consecutive year of decline in its performance since 2017, and triggered the inquiry letter of Shenzhen Stock Exchange.
Under the background of the food and beverage industry affected by the epidemic situation, Quanjude released the performance forecast for the half year of 2020, which showed that the company had a loss of 152 million yuan to 139 million yuan in the first half of the year, and self-help was imminent.
After all, capital is just a boost. Although old brands have IP support, they still need to return to the nature of operation if they want to be rejuvenated. Some people in the industry said, otherwise, dont mention going public, Im afraid it will take a lot of effort to get on the table. (end)