Giordano Was Re Elected By Major Shareholders To Hold &Nbsp, And The Performance Remained Under Pressure.

The news of Giordano's takeover has not yet been dispersed, and the news of major shareholder's holdings has hit again.

Recently, New World Development (00017.HK) Zheng Yutong added 2 million shares of Giordano International (00709.HK) in the field again, with an average stock price of HK $6.43 per share and HK $12 million 860 thousand per share, while Zheng's holding ratio was 19.15%.

Up to 20.09%, it continued to consolidate its position as a single largest shareholder.

The head of Giordano investor relations and the new world development (00017.HK) insiders told reporters that Mr. Zheng's overweight was his personal behavior and he could not comment on it.

In an interview with the daily economic news, Xiong Xiaokun, a researcher at CIC light industry, said that in recent years, Giordano has increased the layout of the mainland market and expanded faster than before.

In the past few months, Giordano has been trapped.

In May this year, Zheng Yutong bought a total of 218 million shares of Giordano through its fully controlled Zhou Dafu company in the OTC trading, equivalent to 14.58% of the shares that had already been issued, with an average per share price of HK $4.81 per share, and the exchange involved HK $1 billion 50 million.

In June 21st, it bought 16 million 300 thousand shares of Giordano shares at an average price of HK $6.65 per share, and Zheng Yutong's shareholding increased to 19.15%.

After the acquisition, Zheng's position has reached 20.09%, while Giordano's second to four shareholders are institutional investors, so no one can shake Zheng Yutong's position.

For Giordano, whose cash flow is quite tense, every increase in Zheng Yutong's stock price has raised its share price substantially.

The first time in May, Giordano shares rose 3.67% against the market in the same day, and the small holdings increased Giordano's share price yesterday (September 15th) by 5.68%, closing at HK $6.14.

Zheng Yutong has previously publicly told the media that Giordano, as a long-term investment, does not rule out that if the price is right, it will increase to more than 30% stake.

People in the industry told reporters that Zheng Yutong's continuous increase was justified. "Although Giordano performed well for half a year, it still lagged behind its main competitors, 002269.SZ and 002563.SZ, which can stabilize the stock price and supplement the cash flow."

In the interim results announcement issued by Giordano recently, Giordano group's medium-term sales revenue was HK $2 billion 649 million, an increase of 24% from HK $2 billion 137 million in the same period last year, while Giordano's medium-term net profit was HK $346 million.

When the journalist reviewed the interim results of Smith Barney's clothing, it found that the business income of the first 6 months of this year's apparel was 3 billion 795 million yuan, an increase of 49.31% compared with the same period last year, and the half year business income of Semir clothing reached 3 billion 9 million yuan, an increase of 36.64% over the same period last year.

According to the analysis of the industry, as Giordano's leisure apparel industry has two notable characteristics of rapid change in customer demand and large cost constraint, it requires enterprises to respond rapidly to customer demand changes, and at the same time, to meet these needs at lower cost. "Giordano's organizational and operational capabilities in this regard need to be improved."

Some analysts believe that Giordano needs to further expand its sales channels, such as strengthening cooperation with agents, wholesalers and authorized manufacturers, or speeding up the operation of online businesses, while Giordano's overall low return and inefficient use of labor are also factors restricting its development.