Big Brand China Makes Luxury Goods To Enter The Chinese Market

How many international top brands are "MadeinChina"?

Towards the end of 2011, Italy

Prada suddenly broke the news that it will share with another venture capital fund IDG, Prada's Chinese luggage manufacturer, "leather goods of the age", subscribed for about 20% of its proposed shares respectively.

This is equivalent to indirectly recognizing the fact that Prada has foundry factories in the mainland of China, from "industry secret" to "no longer".

The luxury brand is pushing its head high and trying to get in.

。

With the disclosure of prospectus materials, the Hongkong leather company, the first time, has emerged for the first time.

According to the prospectus, leather products in 1968 was founded in Hongkong, and has many 44 European and American luxury brand foundries. It has a low profile and is not known to the outside world.

According to the website of the company's enterprise group, the times (Hongkong) handbag factory Co., Ltd. was established in Hongkong in 1968. It is a large port leading enterprise specializing in the production of leather handbags, silver bags and other leather products of the world. Its main business is to provide OEM services for international brands. At present, there are 7 independent retail stores and 9 department store counters in many domestic cities.

Up to now, leather goods are already located.

Three places, 5 subsidiaries.

4 of them are in Dongguan and one is in Britain and Germany.

The company invested in Dongguan is Dongguan Houjie Qiaotou era handbag factory and Dongguan times leather products factory Co., Ltd.

An insider of the leather goods headquarters in Hongkong confirmed the news of Prada's stake.

A staff member of Dongguan branch said Prada and Coach are long-term customers of leather products.

Leather goods and many luxury customers have been working together for more than ten years.

Its cooperation with its largest customer Coach has been 13 years.

7 years ago, Prada began to subcontract some of its products to the leather products of the age.

Today, the list of OEM customers also includes Fossil, MichaelKors and Lacoste. There are 208 production lines with 14700 employees.

According to the news, leather products will be listed on the stock exchange of Hongkong in early December.

This time, the sponsors of leather products are Bank of America, Merrill Lynch, DBS bank, and International Bank of recruitment.

Nearly HK $1 billion is expected to be raised.

DBS bank believes that the valuation of time group is between 4 billion 200 million and 5 billion Hong Kong dollars, which is equivalent to 10 to 12 times of the forecast price earnings ratio in 2012. According to the international bank, the reasonable valuation of time group is 4 billion 762 million to 5 billion 940 million Hong Kong dollars, which is equivalent to 12.4 to 15.5 times of the forecast price earnings ratio in 2012.

The Prada and IDG, which are the basic investors, subscribed 19.6% and 22% of their shares, respectively, of which Prada's total investment was about HK $193 million.

It is disclosed that in the use of raised funds, 35% of the fund-raising proceeds will be used to expand production capacity; 20% for upgrading equipment; 35% for expansion of retail business; 10% for general working capital.