In February this year, the company announced that Midea Electric acquired 24.0 1% A shares of Little Swan held by Guolian Group for1680,000 yuan, equivalent to the average purchase price per share 19. 16 yuan. After the stock is ex-dividend by 10, the purchase price is still as high as 12.77 yuan. The current share price of the stock is only 3.73 yuan. In other words, the current buying price of investors in the secondary market is far lower than the buying cost of major shareholders. In addition, Midea also purchased 65,438+08,000,006 Little Swan B shares in the secondary market through its subsidiary Titon i Investments last year. After the completion of this transaction, Midea Electric holds 65,438+005,673,347 shares of Little Swan, accounting for 28.94% of the total share capital of Little Swan, becoming the largest shareholder of Little Swan.

Why does Midea Electric dare to buy Little Swan A at a high price? Or this is related to the strong competitiveness of Little Swan's products in the same industry. Without doubt, owning Little Swan has a well-known trademark of Little Swan in China. In 2006, the brand value of Little Swan has reached 9.508 billion yuan, and it has been selected as one of the "export brands cultivated and developed by the Ministry of Commerce" and among the top ten industrial brands favored by consumers in China. In addition, the company was also rated as "Top 100 Brand Enterprises in China". At present, the output of Little Swan washing machine accounts for about 6% of the global total output, ranking third in the world, and its products are exported to more than 80 countries and regions in the world.

10 for many years, the export volume has increased by nearly 50 times, especially in recent years, through cooperation with General Electric of the United States and Hitachi of Japan, it has successfully entered the high-end product markets of the United States and Japan. Moreover, in the second half of 2005, Little Swan Group and GE signed a long-term cooperation contract of 10. According to the agreement, Little Swan will supply 60,000 sets 10 liter washing machines (OEMs) to the American market every year, each at a price of 1 0,000 USD. Therefore, Midea Electric's acquisition of Little Swan A undoubtedly has this 10 year contract to open the American market. In addition, Little Swan has more foreign cooperation themes. Wuxi Yidixi Household Appliances Co., Ltd. (the company holds 30% of the shares) was established through a joint venture with Italy Yidixi Co., Ltd. (formerly known as Moloney), and most of the dishwashers produced by the joint venture company will be exported. Dishwasher business revitalized its assets through cooperation and integration, and exported 1.3 million units in 2006. Through the cooperation with General Electric Company and Hitachi Company, we have successfully entered the high-end markets in the United States and Japan, which has taken a solid step for the company to integrate into the global market.