On May 28, after deliberation by the board of directors of Qingdao Double Star Co., Ltd., it decided to increase the capital of the established industrial M&A fund by 200 million yuan, and strive to accelerate the integration of Guangrao tire industry.
Qingdao Double Star said to China Rubber that the 200 million yuan raised this time will be used to increase the capital of Guangrao Jixing Tire Co., Ltd., and then use it to restructure the investment of Shandong Hengyu Technology.
At the end of 2017, Qingdao Double Star teamed up with Guangrao Finance and Shandong Yinji to set up a merger and acquisition integration fund for the Guangrao tire industry, Chuangyou No.1. The first phase of the fund was 900 million yuan. Jixing Tire is a subsidiary of Chuangyou. .
The acquisition of Hengyu Technology is the first major move of the M&A fund. On March 14, Qingdao Double Star officially announced the purchase of the company for 899 million. This large-scale integration operation was achieved through Jixing tires.
Qingdao Double Star said at the time that the company had not been able to start construction due to repeated relocation actions in recent years. This poses a challenge to maintain its market share and meet market orders. Hengyu Technology's relatively high-quality production line can make this The company smoothly passed the relocation period.
"China Rubber" learned that in addition to the production capacity advantage, Qingdao Double Star can also give full play to the regional advantages of Guangrao Base. After taking the opportunity to cut into the "tire capital", the company is expected to radiate overseas regions while increasing its domestic market share. .
According to insiders, Hengyu Technology can realize the annual production capacity of 800,000 all-steel tires and 10 million semi-steel tires after filling in and filling, which is in line with Qingdao Double Star's planning requirements for production capacity, so this time it is raised by 200 million yuan. It is intended to enable Hengyu Technology to resume production quickly.