Manufacturing and Nippon paper officially announced the dissolution of marriage-Iota

Products

News

Office Address:	Sunmoon Science Park, 985 Xingzhong Road, High-Tech Zone, Bengbu, China
Factory Address:	Mohekou Industrial Park, Huaishang District, Bengbu, Anhui, China
Contact:	Nathan Zhang
Phone:	0086-552-19805521900
FAX:	0086-552-3822922
Mobile:	19805521900/18119733779
WebSite:	www.siliconeoil.cn www.siliconeoil.net
Email:
QQ:	729118868

News > Dynamic industry > Manufacturing and Nippon paper officially announced the dissolution of marriage

Manufacturing and Nippon paper officially announced the dissolution of marriage

n April 24th, a message from Japan to Chinese mainland, and caused widespread concern China in papermaking industry. Once the paper industry as the second largest paper group Golden fate God bestows.China manufacturing and second of Japan's largest paper company paperin Japan has experienced five years of sweet marriage, the two sides formally announced the dissolution of marriage.

According to the agreement, the company chairman and CEO Li WenjunLi Wenbin purchased a total of 317500000 shares from Nippon paper a Affiliated Companies, at a price of 1270000000 yuan, equivalent to 4 yuanper share. Nippon paper sold shares, still holds 8.62% stake in the company store. While in the past by the Nippon paper and the Lee familyHolding Company GoldBest a shareholders' agreement with any formalbusiness cooperation agreement to our company formally terminated. Theman appointed by Japanese company vice president Yoshika Yiyu, andexecutive director Kashima Kunihiko all resigned.

Five years ago, Nippon paper with a strong yen strong landing

Long before 2010, because the Japanese paper market demand weakness, Nippon paper, daishowa paperboard, Oji Paper businessdownturn. Japan papermaking enterprises in order to avoid being out of the market, with a strong yen, have to enter the overseas market, to expand the share of products.

It is in this context, is in a period of rapid development of themanufacturing for business philosophy and Nippon paper more fit, both fit in easily with marriage. In June 22, 2010, the two sides reached the capitaland business cooperation agreement. Nippon paper spend about$3550000000 acquisition and about 12% of the shares, becoming the second largest shareholder after the founder. Nippon paper appoint 2 directors to the store, while providing technical cooperation in food packaging paper etc..

Nippon paper into the huge amount of money, to provide sufficient fundsfor manufacturing capacity expansion. And then the rapid development of the packaging industry China to do "Chinese dream" of Nippon paper to see the business opportunities to share this feast.

With the Nippon paper marriage to benefit man

But it didn't work, from the beginning of 2010, due to the market downturnand pile up in excess of requirement and other reasons, China paperappeared a wave of up to five years of winter paper. As strong as suchLiwen paper giants also feel the cold, China papermaking industry profitsfell steadily, Nine Dragons Paper, Lee & man and other leading stocksalso stumble endlessly.

In June 22, 2010, manufacturing to Nippon paper sold 546000000 sharesat a price of 6.5 yuan per share, in addition to the once rose slightlyclosed, then all the way down, the lowest share of less than 3 yuan. TheNippon paper with a price per share of 4 yuan to return to the store, andstill had 6.5 yuan far, this is a great loss.

However, the trade has benefited Liwen. In 2010, Lee and other leadingenterprises, Nine Dragons Paper that Chinese paper industry reshuffle imminent, have introduced a large capacity expansion plan. Nine Dragonschose the radical way to bank lending, which is the choice of dilutedshares this more robust way.

In view of the five years later, the deal is an inspired passage man. Due to the decline in paper profits, coupled with the industry overcapacity serious,rely on financing the expansion of production capacity of papermaking enterprises face great difficulties. In the nine dragons as an example,because the debt ratio exceeds 100%, the next two years, enterprises need to pay 4200000000 of debt, but in 2014 the enterprise profit is only 700000000 yuan, only 188 yuan per ton of paper profits. While the mandebt rate is less than 50%, far below the warning line of 70%, 2014 net profit of HK $1950000000 in fact, tons of paper profits of up to HK $376.

At the same time, Jiangxi, Chongqing Liwen production theory to man,production capacity reached 7000000 tons. With the China governmentannounced the closure of the small paper-making enterprises, and strengthen water pollution control, Beijing and other leading enterprisesand finally to the price of opportunity. In March this year, in the voices of doubt, Lee put up 100 yuan per ton of paper plans to be implemented. The industry generally believe that in the future, the situation will be more conducive to the nine dragons, the sun and other leading paper, Lee & man.

Nippon paper sold shares Liwen reason analysis

For this agreement, Lee had not yet been any statement. But small seriesfrom Nippon paper's website to know what was going on. Nippon paper on the official website that, in view of the two companies are highly consistent in environmental management, the two sides signed a cooperation agreement in 2010. Nippon paper to manufacturing injection and successfully help man to expand the scale, 2014 sales reached a record high of man. But considering the Chinese industry increasingly fierce competition, coupled with the Nippon paper company is a major strategic adjustment of the business structure of the company. Therefore, through friendly consultations, decided to terminate the cooperation agreement between the two sides of the business.

The Nippon paper business restructuring, "packing zone" also reported aseries of micro news. Nippon paper and commercial Mitsubishi announced on February 13, 2015, by Nippon paper in Tokushima komatsushima Cityowned land (250000 square meters) completed megawatt photovoltaic power plant construction. Nippon paper's goal is to have the power, the effective use of equipment and operation technology and businessresources, expand the new business income as one of the pillars of theenergy business. The station is the second factory in Dazhu (Hiroshima County, Dazhu City, about second 826kW) after the photovoltaic power station. It seems, Nippon paper moved to the new field of energy, it is true.