LeTV Sports, which has been in a state of "money shortage" since the end of 20 16, has now moved closer to the largest joint-stock enterprise in China sports industry through its subsidiaries. Can you win in danger? The largest joint-stock company in China Sports Industry-China Sports Industry was established in March, 1998. It is the largest joint-stock enterprise in China sports industry and the only listed company controlled by the State Sports General Administration. ▼ List of Shareholders of China Sports Industry In the shareholder structure of China Sports Industry as of the third quarter of 20 16, in addition to the Sports Fund Management Center of the State Sports General Administration, the Sports Lottery Management Center of the State Sports General Administration, central huijin Asset Management Co., Ltd. and Kangjun Life Insurance Co., Ltd. are also among the major shareholders, accounting for 3.22%, 3. 12% and 2.37% respectively. 20 16 On February 20th, the Sports Fund Management Center of the State Sports General Administration, the largest shareholder of China Sports Industry, plans to transfer all its shares in the company by agreement through public solicitation, namely 18623.438+000000 shares, accounting for 22.0733% of the total share capital. The benchmark price is 17.53 yuan/share. On 20 1714 October, 17, the fund center received the transfer applications and deposit from four intended transferees, and began to conduct due diligence investigation on the intended transferees. The four intended transferees disclosed in the announcement are: Beijing Xiangming Sports Culture Co., Ltd., Xinliyi Group Co., Ltd., Tianjin Leti Anhong Sports Culture Development Co., Ltd. and Shenzhen Pengxing Shipping Co., Ltd., among which Tianjin Leti Anhong Sports Culture Development Co., Ltd. is a subsidiary of LeTV Sports and its executive director is Lei, CEO of LeTV Sports. Previously, Tencent, Wanda and Ali were repeatedly reported to have the intention and plan to take over. At present, the business of China Sports Industry has covered all major sports, including the development of sports real estate in compound cities, the operation management and content provision of sports facilities, the operation management of sports events, sports intermediary services, the chain operation of health clubs, the supply and service of sports lottery equipment, etc. Specific business branches include: China Olympic Sports (event operation), China Olympic Sports Competition (venue operation and consultation), China Olympic Sports Bi Li (leisure and fitness), China Olympic Sports Brokerage (sports brokerage and consultation), China Olympic Sports (ticketing agency and event promotion) and Intertek (sports lottery equipment). Through the above layout, the company realized the realization of sports IP resources in the whole industry chain of the upper, middle and lower reaches. Among them, China-Austria Sports Industry Co., Ltd. is a wholly-owned subsidiary of China Sports Industry. China-Austria Sports is famous for its marathon (including Beijing Marathon and Li Ning 10 km run), cycling (cycling around China International Road) and golf (China Tour and China Golf Club League). It is the oldest and largest professional sports event investment and operation company in China. As a wholly-owned subsidiary of China Sports Industry, China Sports Competition is the largest cross-regional sports facilities professional management organization and event resource service organization in China. The main business includes venue consultation, venue operation management and venue financing construction. ▼ China Sports Competition Services The main venues in China are also affiliated to China Sports Industry Group, and their main business covers athletes' brokerage, sports marketing consulting, cooperation projects of the Olympic Committee, operation and promotion of events and sports activities, urban sports marketing, sports advertising public relations and media cooperation services. The company has the most comprehensive national team and athlete resources in China, and provides sports marketing consulting solutions for well-known brands at home and abroad and domestic cities while engaging in athlete brokerage business. During the Beijing and London Olympic Games, the company provided professional Olympic marketing competition analysis and sponsorship planning for many domestic and foreign brands, and helped brands such as Yili, Amway, COFCO, Volkswagen, China Unicom and Arowana become sponsors of the Olympic Games and China sports delegations. China Sports Huaao is a comprehensive professional sports service organization focusing on Olympic affairs. Since its operation in 2003, the company has become the exclusive official ticketing agent of the Chinese Olympic Committee, providing ticket sales and tourist reception services for the Summer and Winter Olympic Games and other international and domestic comprehensive sports games. ▼ Financial Overview of China Sports Industry In 20 12, China Sports Industry acquired Beijing Inteda System Technology Co., Ltd. and entered the sports lottery industry. Tianxiang intelligent computer sports lottery sales terminal series products have been promoted to 28 provinces in China, and it is one of the main suppliers of sports lottery terminal equipment in China. Because the update of sports lottery terminal needs to ensure the stability of the system and the traceability of data, its substitutability is very low. The company has built a powerful moat by virtue of its extensive sales layout in various provinces in China. Join forces to improve the business layout of the entire sports industry. Leti Anhong was founded on 20 13, registered in Tianjin, and engaged in sports brokerage agency, stadium service and sports event planning. Further enquiries revealed that the company is a subsidiary of LeTV Sports. ▼ Leti Anhong's investment relationship is concentrated in LeTV Sports. Nowadays, it has extensive upstream and downstream distribution in sports-related industries, and currently has the most comprehensive and largest number of copyright resources for sports events in China. In addition to the main live broadcast of sports events, we also participate in the development of wearable devices, intelligent sports equipment, smart cameras and other hardware products, and at the same time expand into the fields of Internet application services such as intelligent venues and boxing O2O. Letv has invested in Yongle Ticketing, a ticketing company specializing in sports ticketing, and is striving for the Internet lottery license business. On February 20 16, the Octopus Lottery B was financed with100,000 US dollars, betting on the opening of Football Lottery, hoping that the income from Football Lottery would become an important channel for LeTV Sports to recover its investment. From this point of view, the layout of LeTV Sports in the sports industry coincides with the existing layout of the sports industry in China, especially in sports events, stadium construction, sports lottery and other fields. Once it successfully shares in the Chinese sports industry, LeTV Sports can not only participate in the live broadcast of the event, but also successfully obtain the IP resources of the Chinese sports group in the fields of marathon, cycling and golf, and get involved in the operation of the event; And lay the foundation for letv's efforts in stadiums and sports lottery. In addition, it must be mentioned that with the holding of the 2022 Winter Olympics, China Sports Huaao, as the exclusive ticketing agent and reception agency, will help the transferee to get deeply involved in the ticketing business of the Winter Olympics; The existing resources of Chinese sports brokers are also of great help to the future brokerage business of LeTV Sports. ▼ If LeTV Sports can enter the sports industry in China, its "ecological" business may be improved. In addition, does LeTV Sports really want to inject assets into the sports industry in China to achieve listing? In my opinion, this possibility should be ruled out. At present, the P/E ratio of China Sports Industry is 3.684, with a total share capital of 844 million shares. No matter from which point of view, the huge volume of the Chinese body can not be regarded as a good shell resource. At present, LeTV Sports is only one of the intended transferees, and there are many variables in how many shares it can finally acquire in China sports industry and whether it can gain control. At present, the price of the Chinese sports industry before the resumption of trading is 23.87 yuan. Judging from the agreed transfer price of 65,438+07.53 yuan per share proposed by the Fund Center, the transaction consideration for completing the acquisition of all transferred shares is 3.26 billion yuan. Although the current valuation of the sports industry in the A-share market is not low, the valuation of the sports industry in China is much higher than the industry average. From a purely financial point of view, 17.53 yuan is not an absolutely safe price. The strategic purpose of the intended transferee's shareholding is far greater than the financial purpose. Legend of Letv Capital Market Liu Yiqian Apart from Letv Sports, the basic information of the other three transferees is as follows: Xinliyi Group Co., Ltd. is a legend of China capital market, Liu Yiqian. Founded in 2000 and registered in Shanghai, the Group integrates financial investment, medicine, chemical industry and real estate development. ▼ The investment relationship of Liu Yiqian of Xinliyi Group has a deep relationship with the sports industry in China. In 2006, Liu Yiqian obtained the legal person shares of China Sports Industry through its controlled Xinliyi Group and entered the board of directors. With the lifting of the ban on this part of the equity, Xinyi reduced its holdings at a high level. By the end of 2007, Xinliyi has been ranked as the third largest shareholder of Chinese sports industry. Through the continuous reduction and cash-out of the Chinese sports industry, Liu Yiqian made a profit of over 820 million yuan in less than two years, with a profit of over 10 times. In June 2009, the plan of China Sports Industry was finalized, and Liu Yiqian made a comeback with capital, and planned to subscribe for 65,438+180,000 shares in cash to become the second largest shareholder. But this must increase and eventually be revoked for some reason. Liu Yiqian himself resigned as a director of China Sports Industry two years later. ▼ Liu Yiqian information picture Pengxing Shipping was established in 1982, with Qu Chen as its legal representative and registered address in Nanshan District, Shenzhen. Its business scope includes industrial investment, domestic trade, advertising business, self-owned house leasing, water transport services, etc. The controlling shareholder of Pengxing Shipping is Shenzhen Shipping Group, and the indirect controlling shareholder is Shenzhen Lihong Financial Investment Holdings Co., Ltd. ▼ The investment relationship between Pengxing Shipping and Xiangming Sports was established in 2006, and its legal representative is Liu Zhiyuan. The company is registered in Beijing, and its main business includes organizing cultural and artistic exchange activities, conference services, undertaking exhibitions, and sports project management. Its former controlling shareholder, Bund Holding Group, has many business contacts with the State Sports General Administration. ▼ Investment Relationship of Xiangming Sports Although the true faces of the four transferees have finally surfaced, there are still uncertainties about whether the equity transfer can be successfully completed, how many shares each of the four interested parties holds, who the major shareholder will eventually spend, and whether LeTV will borrow China sports industry for further capital operation. On the one hand, the intended transferee needs to meet the substantive requirements put forward by the Sports Fund Management Center of the State Sports General Administration; On the other hand, the intended transferee selected by the Fund Center also needs the approval of the State Sports General Administration and the Ministry of Finance and finally completes the share transfer. In the process of doing its best, the sponsoring brokerage firm will focus on the legal person status of the intended party and whether the transferee "has high-quality assets that meet the requirements of the China Securities Regulatory Commission, and the transferee needs to promise to inject into the Chinese sports industry within a certain period of time.