On October 28th, Midea Group and Little Swan A replied to the Shenzhen Stock Exchange this evening. The average price of the 20 trading days before the pricing benchmark was used as the pricing basis for the conversion price of the two parties. The fair reflects the merger. Value, compliance with regulatory requirements and comparable trading practices, reasonable. Both companies' stocks resumed trading on October 29.
In the announcement of Midea Group's reply, Midea Group explained the financial situation and operating results of Little Swan in recent years.
It is reported that from 2014 to 2017, Midea Group's operating income grew at an average annual rate of 20.34%, and Little Swan's operating income grew at an average annual rate of 25.16%. The average growth rate of the two companies is similar. From 2014 to 2017, Midea Group returned to the mother net. The average annual growth rate of profit is 37.94%, and the average annual growth rate of Little Swan's net profit is 39.15%. The average growth rate of the two is similar.
From 2014 to 2017, Midea Group's total assets grew at an average annual rate of 27.26%, and Little Swan's total assets grew at an average annual rate of 23.53%. The average growth rate of the two companies is similar. From 2014 to 2017, Midea Group's net assets grew at an average annual rate. The rate of 20.72%, the average annual growth rate of Little Swan's net assets is 16.04%, and the average growth rate of the two is similar.
It can be seen that in the past four years, Little Swan and Midea Group's operating income, returning to the mother's net profit, total assets, and net assets have average annual growth rates similar.
It is reported that on July 1, 2014, Little Swan announced the "Wuxi Little Swan Co., Ltd. Tender Offer Report", Midea Group announced that from July 3, 2014, all shareholders of swan and other tradable shares other than TITONI A partial offer was made to acquire the shares of Little Swan A held by the company at a price of 10.75 yuan per share, and to acquire the shares of Little Swan B held by the company at a price of HK$10.43 per share. The number of tender offer is 126,497,553 shares. Accounted for 20% of the total share capital of Little Swan.
Due to Little Swan's 2013 equity distribution, Little Swan's A-share tender offer price was adjusted to RMB 10.45/share, and Little Swan's B-share tender offer price was adjusted to HK$10.05/share accordingly. After the completion of the tender offer, Midea Group directly and indirectly Holding 333,153,059 shares of Little Swan, accounting for 52.67% of Little Swan's total share capital, Midea Group is still the controlling shareholder of Little Swan.