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Li Shufu bought Yin Mingshan? Unfortunately, Lifan is not worth it.
Words? |? Li Yifan

Lifan has not seen the share price above 5 yuan for one year.

On June 19, Lifan shares closed at the daily limit in 5.5 yuan. This is the highest share price of Lifan in a year.

The reason for the stimulus is "unfounded". On the same day, some media reported that Geely was planning to inject capital into Lifan and acquire it as its largest shareholder.

Stepping on the landing point, Yang Xueliang, vice president of Geely Automobile Group, publicly denied the rumors and bluntly said "there is no such thing"; After the close, Lifan also told the media that there is no negotiation with any third party on acquisition or capital injection, and no intention has been reached.

Even if it looks like a farce, from Lifan's standpoint, I guess they hope this acquisition can be established.

Lifan has already sold its assets.

20 18, 10, Lifan transferred150,000 passenger car production base to Chongqing Liangjiang New Area Land Reserve Reconstruction Center, and obtained 3.31500 million yuan of funds; In February of the same year, 0/00% equity of chongqing lifan Automobile Co., Ltd./KLOC was sold to Che Hejia for 650 million yuan.

However, as Lifan continues to encounter problems such as overdue financing projects, stock freeze, and downgrade of the company's credit rating, these two sums of money cannot solve the financial problems faced by Lifan, and billions of arrears are still on Lifan.

For Chongqing, Lifan has long been more than just a private enterprise, but a big taxpayer related to the local economy and employment. Therefore, in June 5438+ 10 last year, the Chongqing municipal government directly convened the local financial office and the creditors of relevant banking institutions to help Lifan set up a debt committee, requiring banks to "not lend, not press loans, and not stop lending".

They are even more eager to sell themselves for stability than Lifan himself.

But the dream will not come true. Rationally speaking, Lifan, which is completely separated from Geely and stands at both ends of the Matthew effect of China automobile brand, does not have the temptation to attract Geely's acquisition in terms of products, technology, capital and influence.

Today is different from the past. I think that Yin Mingshan, the most powerful man on the river and lake more than 20 years ago, will not be eager to be acquired one day. And that person is Li Shufu who did motorcycle business with himself and entered the automobile market together after enjoying the market dividend.

They once seized the opportunity of the times together, but went to a completely different situation.

Yin Mingshan and Li Shufu rode two-wheeled motorcycles together to pursue their car dreams in the 1990s.

They were evenly matched business figures of that era.

1992 Yin Mingshan is the largest private bookseller in Chongqing. It is purely because when repairing the car, Yin Mingshan chatted with the person in charge of the motorcycle factory and found that this factory needs hundreds of motorcycle engines every month, either imported from Japan, which is extremely expensive, or purchased from Henan, which is cheap but of poor quality. As a result, the keen Yin Mingshan instantly found business opportunities.

It happened that Chongqing had become a national motorcycle production base in the early 1990s. There are not only well-known motorcycle enterprises such as Jialing and Jianshe, but also many small enterprises that produce and sell motorcycle parts. Chongqing "motorcycle gang" is a name that can be called all over the country.

So that year, 54-year-old Yin Mingshan plunged into the hot field of motorcycle in China.

He rented a 40-square-meter house in the suburbs of Chongqing as a factory building and established Chongqing Hongda Vehicle Parts Research Institute with a registered capital of 200,000 yuan. With only nine employees, he began to manufacture motorcycle parts, and declared, "I must build an engine that is not available in China or even in the world." Later, they switched from producing parts to producing motorcycles.

Also in 1992, Li Shufu acquired a state-owned motorcycle manufacturer that was about to close down and established Zhejiang Geely Motorcycle Factory.

Just different from Yin Mingshan, Li Shufu set foot in the motorcycle market and went for the car.

1994, the first domestic scooter produced by Li Shufu officially rolled off the assembly line. Because of its low price, it caught fire in Jiangsu and Zhejiang provinces. In just four years, the output of Geely motorcycles reached 350,000, and the output value went straight to 2-3 billion yuan.

At that time, Geely 90 motorcycle was rated as "high-quality brand-name product" by the Ministry of Internal Trade and "trustworthy product" by the China Consumer Foundation. At that time, the Ninth Five-Year Plan formulated by Geely was to realize the annual output of motorcycles 1 10,000 vehicles and the output value 1 100 million yuan.

On the one hand, it is a small achievement of motorcycles, on the other hand, it is a car transformation that is gradually put on the agenda.

Because motorcycles were originally the pedals of Li Shufu's cars, after 1994, some big cities began the policy of "banning motorcycles", so Li Shufu took the initiative and immediately transformed.

Soon, Li Shufu began to explore talents within the motorcycle factory. According to the employee file, he found that three people had worked in the automobile factory, so he quickly held a short meeting and went to build a car together.

1996, Li Shufu bought several Mercedes-Benz cars, 1997, and bought several red flags, and then studied the design, materials, chassis, front and rear axles, stamping parts, engines and gearboxes of these cars. By pure imitation, 1998, Geely rolled off the first car-Geely Pride.

Although more than 700 invitations were sent for the off-line ceremony, few people came; Although the first batch of pride cars were later destroyed by Li Shufu directly with a roller because the quality was really not up to standard, Geely's pride and ambition began here.

Yin Mingshan is the representative of pre-move planning.

From 1993 to 2003, the motorcycle industry in China, especially the private motorcycle industry, developed fastest for ten years. Since 2003, China's motorcycle production has been ranked first in the world.

Also in 2003, Lifan became the largest motorcycle manufacturer in China.

At that time, Yin Mingshan had the confidence and courage to enter the automobile industry. He couldn't help striding from motorcycle to automobile industry, determined to be a China brand car, as he said many years ago: "If I was led by the tide of life before, now I should do my real career, holding a spear and challenging the windmill of fate."

In 2003, Yin Mingshan acquired 80% of the shares of Chongqing Special Purpose Vehicle Factory, and then increased its holdings to 95%. The trademark was completely changed to Lifan brand, and it began to build an automobile production base in Beibei.

However, the direction of the story is so dramatic.

Li Shufu plunged into the car before he could gain a foothold on the motorcycle. It was not until the great cause of motorcyclists was achieved that Yin Mingshan entered the automobile industry slowly and in batches.

But the ending is either stable or fast.

It may be related to age. Yin Mingshan is old and no longer sensitive to market trends; It may be related to the location. The coastal Zhejiang is adjacent to Chongqing in the west, and it rains in the east and west. It may also be related to fighting spirit, strategy and successors. ...

In short, various factors are superimposed. Twenty years later, Li Shufu's Geely has long been firmly in the first position of China brand, and Emgrand and Job have become classic models on the list; Lifan has never had a stunning product, and its model naming and product modeling have always followed the old routine, and its sales volume and status have become increasingly marginalized.

In 20 19, Lifan sold 22,536 traditional passenger cars, down 75.52% year-on-year; The sales volume of new energy vehicles was 30,965,438+0, down 69.49% year-on-year. From June to May this year, Lifan sold 887 traditional passenger cars, down 95.49% year-on-year. New energy vehicles sold 460 vehicles, down 54.50% year-on-year.

It can be said that a thorough talk is better than nothing.

On April 27th, at the 2020 Extraordinary General Meeting of Lifan Motors, Yin Mingshan proposed that his 25-year-old granddaughter Yin be the shareholder supervisor of the Fourth Board of Supervisors of Lifan Motors, and Yin will become the new chairman of Lifan Motors. In order to let Yin succeed smoothly, Yin Mingshan not only asked her to take a year off from school and come back early to get familiar with the business, but also assumed the debt of 988 million yuan from Lifan Group to relieve her pressure.

Yin Mingshan's hope is that Yin can help Lifan out of the predicament with her economic background.

But where is the room to go out?

Not to mention Yin's ability, only from the product point of view, until now, none of Lifan's all models still meet the national six emission standards, so it is difficult to cook without rice.

For Lifan, if it can be acquired by Geely, it is obviously a better ending.

It's a pity that the acquisition of this kind of thing, how to at least the big fish eat small fish, and now LiFan, may not even shrimp.

In addition to the decline in sales, Lifan also faces various operational risks, such as sustained losses, high debts, overdue debts, asset freeze, litigation, and liquidity shortage of controlling shareholders, which have not yet been resolved.

Financial information shows that in 20 19, Lifan achieved revenue of 7.4 billion yuan, down 32.35% year-on-year, and the decline was further expanded compared with last year. The net profit attributable to shareholders of listed companies is-4.68 billion yuan, and this figure is still+253 million yuan in 218. In the first quarter of 2020, Lifan achieved revenue of 560 million yuan, down 74.88% year-on-year; The net profit attributable to shareholders of listed companies is-65.438+0.97 billion yuan.

On June 18, according to the announcement issued by Lifan, we can see that there are as many as 392 lawsuits involving an amount of 2.906 billion yuan. Moreover, in the 22 1 case that has been decided, Lifan is the defendant and needs to compensate others for a total of18.36 million yuan.

The next day, United Credit Rating Co., Ltd. announced the comprehensive analysis and evaluation results of Lifan's operating conditions and related industries, and rated its credit rating as C, that is to say, the enterprise has no credit and its debts cannot be repaid.

Some people say, will Geely want to buy Lifan's motorcycle business? After all, Lifan is trying to re-focus its business development on motorcycles. They mentioned in the 20 19 semi-annual report: "We will focus on the company's advantageous industries, increase investment in motorcycle industry research and development ... and consolidate and improve the competitiveness of motorcycle products."

But the reality is, under the nesting, where are Ann's eggs?

The sales volume in lifan motorcycle dropped from 65,438+004,700 vehicles in 2065,438+08 to 998,654,38+00 vehicles in 2065,438+09, and to 958,700 vehicles in 2065,438+09, and the sales ranking of motorcycle enterprises in China dropped from the third place to the third place. Even in Chongqing alone, Lifan Motorcycle ranks behind Longxin and Zongshen.

In Yin Mingshan's proudest export field, the export volume of Lifan motorcycles also dropped from 465,438+03,800 in 2065,438+09 to 320,000 in 2065,438+09, and the export volume ranked from fourth to seventh. However, the cumulative export volume of motorcycles in China has been rising all the way, reaching 23,065,438+00,000 vehicles in 2065,438+09, with a cumulative increase of 5.3%.

Even if we only compare the inside of Lifan, passenger cars are tottering, but compared with motorcycles, they are still the main sector in the financial report. Lifan motorcycle is difficult to protect itself, and it is really difficult to turn over.

It is hard to say whether Lifan in the future will still have a chance to be valued by capital. Lifan, old.

This article comes from car home, the author of the car manufacturer, and does not represent car home's position.