Meihua Group ends Xinjiang compound fertilizer project glutamate industry downturn

Less than a year and a half after "parenting", The Plum Group had to lay off a "plum" that had been highly anticipatedFCW
On March 25, Meihua Group announced that it would terminate its 300,000-ton compound fertilizer complex in The Yimin region of Xinjiang due to the downturn in the glutamate industry and a decline in gross marginsSince the adoption of the project bill on September 13, 2012, by the end of 2013, the company has invested only 5.83 million yuan in the projectFCW
"First Financial Daily" reporter review editing the company's 2012 foreign investment announcement found that the above-mentioned project plans to invest 2 billion yuan in the first phase, according to preliminary estimates, the project can achieve an average annual sales revenue of 2.6 billion yuan, the average annual net profit is expected to reach 220 million yuanThis also became the first level project of more than 1 billion yuan introduced in Yimin Industrial ParkFCW
However, with the plum group's main business is weak, coupled with the amino acid market continued to be depressed, the original vision has been like tomorrow's yellow flowerFCW
Meihua Group recently released its 2013 annual report shows that the company achieved operating income of 7.78 billion yuan last year, a slight increase of 4.16% YoY, while net profit attributable to shareholders of listed companies was 404 million yuan, down 33.58 percent yoyAmong them, based on the increase in xinjiang production capacity, amino acid product revenue was RMB2.17 billion, up 14.15% YoY, but gross margin decreased by 10.19 percentage points to 14.38% yoYFCW
　　The company said, "The increase in production also brought about an increase in operating costs, due to the expansion of production capacity in the amino acid industry and fierce market competition, avian influenza on the feed amino acid industry, such as the impact of the sales price decline, resulting in a reduction in gross profit margin of products." "
FCW in 2013, the company's MSG and glutamate business achieved operating income of 3.64 billion yuan, down 8.02% YoY, and gross margin decreased by 3.39 percentage points to 15.85% YoY FCW
　　A brokerage analyst told the First Financial Daily yesterday that there is overcapacity in the MSG industry, but leading companies are still building new capacity, "big enterprises to develop, will certainly find a bunch of reasons to build, the elimination of is certainly 'small fish shrimp'." "
FCW Ping An Securities analysis, said that at present MSG manufacturers can be divided into two groups: three giant enterprises and the rest of small and medium-sized enterprises Giant enterprises have location and technical advantages, and rich product lines, in the current PRICE downturn in MSG can still be slightly profitable survival; FCW
　　While the glory of the main business is no longer there, the beleaguered Plum Group has recently been looking for a new way FCW
　　Meihua Group announced yesterday that it intends to sign a framework agreement on equity acquisition with Wang Tingliang and Fujian Xingsecurities Strategic Venture Capital Enterprise (Limited Partnership) on the acquisition of Shanxi Guangsheng Pharmaceutical Packaging Co., Ltd ("Guangsheng Pharmaceuticals") According to the agreement, the initial valuation of Guangsheng Pharmaceuticals is between 440 million yuan and 460 million yuan, the company will pay the transaction amount is expected to be about 180 million yuan FCW
　　According to the agreement, after the completion of the equity transfer, the company will increase the capital of Guangsheng Pharmaceuticals by 100 million yuan, after the completion of the capital increase, the company will hold about 52% of Guangsheng Pharmaceuticals FCW
　　The distribution of the Meihua Group in the pharmaceutical industry goes beyond that On January 3 this year, the company reached a framework agreement with Tibet Yiyuan Industrial Co., Ltd to pay for the acquisition of a 100% stake in Dalian Hanxin Biopharmaceutical Co., Ltd FCW
　　The company said it will use this as a starting point to introduce the industry's top technical team to build the company's vaccine business sector, so that the company in the field of biological vaccines bigger and stronger In the future, the company will continue to expand in the new business sector through technology introduction, joint venture equity participation, mergers and acquisitions FCW
　　On March 25, this reporter on the acquisition of the latest progress of the company, but as of the press release, did not receive a reply FCW
　　Less than a year and a half after "parenting", The Plum Group had to lay off a "plum" that had been highly anticipated FCW
On March 25, Meihua Group announced that it would terminate its 300,000-ton compound fertilizer complex in The Yimin region of Xinjiang due to the downturn in the glutamate industry and a decline in gross margins Since the adoption of the project bill on September 13, 2012, by the end of 2013, the company has invested only 5.83 million yuan in the project FCW
　　"First Financial Daily" reporter review editing the company's 2012 foreign investment announcement found that the above-mentioned project plans to invest 2 billion yuan in the first phase, according to preliminary estimates, the project can achieve an average annual sales revenue of 2.6 billion yuan, the average annual net profit is expected to reach 220 million yuan This also became the first level project of more than 1 billion yuan introduced in Yimin Industrial Park FCW
　　However, with the plum group's main business is weak, coupled with the amino acid market continued to be depressed, the original vision has been like tomorrow's yellow flower FCW
　　Meihua Group recently released its 2013 annual report shows that the company achieved operating income of 7.78 billion yuan last year, a slight increase of 4.16% YoY, while net profit attributable to shareholders of listed companies was 404 million yuan, down 33.58 percent yoy Among them, based on the increase in xinjiang production capacity, amino acid product revenue was RMB2.17 billion, up 14.15% YoY, but gross margin decreased by 10.19 percentage points to 14.38% yoY FCW
　　The company said, "The increase in production also brought about an increase in operating costs, due to the expansion of production capacity in the amino acid industry and fierce market competition, avian influenza on the feed amino acid industry, such as the impact of the sales price decline, resulting in a reduction in gross profit margin of products." "
FCW in 2013, the company's MSG and glutamate business achieved operating income of 3.64 billion yuan, down 8.02% YoY, and gross margin decreased by 3.39 percentage points to 15.85% YoY FCW
　　A brokerage analyst told the First Financial Daily yesterday that there is overcapacity in the MSG industry, but leading companies are still building new capacity, "big enterprises to develop, will certainly find a bunch of reasons to build, the elimination of is certainly 'small fish shrimp'." "
FCW Ping An Securities analysis, said that at present MSG manufacturers can be divided into two groups: three giant enterprises and the rest of small and medium-sized enterprises Giant enterprises have location and technical advantages, and rich product lines, in the current PRICE downturn in MSG can still be slightly profitable survival; FCW
　　While the glory of the main business is no longer there, the beleaguered Plum Group has recently been looking for a new way FCW
　　Meihua Group announced yesterday that it intends to sign a framework agreement on equity acquisition with Wang Tingliang and Fujian Xingsecurities Strategic Venture Capital Enterprise (Limited Partnership) on the acquisition of Shanxi Guangsheng Pharmaceutical Packaging Co., Ltd ("Guangsheng Pharmaceuticals") According to the agreement, the initial valuation of Guangsheng Pharmaceuticals is between 440 million yuan and 460 million yuan, the company will pay the transaction amount is expected to be about 180 million yuan FCW
　　According to the agreement, after the completion of the equity transfer, the company will increase the capital of Guangsheng Pharmaceuticals by 100 million yuan, after the completion of the capital increase, the company will hold about 52% of Guangsheng Pharmaceuticals FCW
　　The distribution of the Meihua Group in the pharmaceutical industry goes beyond that On January 3 this year, the company reached a framework agreement with Tibet Yiyuan Industrial Co., Ltd to pay for the acquisition of a 100% stake in Dalian Hanxin Biopharmaceutical Co., Ltd FCW
　　The company said it will use this as a starting point to introduce the industry's top technical team to build the company's vaccine business sector, so that the company in the field of biological vaccines bigger and stronger In the future, the company will continue to expand in the new business sector through technology introduction, joint venture equity participation, mergers and acquisitions FCW
　　On March 25, this reporter on the acquisition of the latest progress of the company, but as of the press release, did not receive a reply FCW
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