Housing Enterprises Acquisition Season: Rong Chong, Shimao'S "Winner Take All" Game

China's real estate sales market has entered the era of Red Sea killing.

No matter what President Xia Haijun said, "15 trillion big cakes" or "16 trillion stock" estimated by Chairman Sun Hongbin of China's board of directors, it shows that the sales cake of the developers is basically fixed, and all the shares are generated in the middle. If the individual company has increment, it can only rob others; if it can not rise, it will be in danger.

Rong Chong, Shi Mao, Jinke and other housing enterprises are the winners of this stage. In 2019, they played the role of the acquirer, while pan Hai, Taihe, Xincheng and Deng Hong were their prey. Among them, financial innovation is not to be allowed to become a "merger king".

The merger and transformation of giants will not only make them occupy a high position in the stock market, but also enable them to take the lead in the next era of operation and competition. Resources, funds and policies are all concentrating on "winners".

Perhaps the only thing they should care about is risk prevention and capital safety.

Multiple mergers and acquisitions

The M & a market in 2019 was more intense.

In January 21st of the year, in January 21st, China announced the 12 billion 553 million largest acquisition of Beijing's Pan Hai International Project 1 and Dong Jia Du project.

Near the end of the year, when the market thought it was the biggest real estate acquisition this year, Sun Hongbin threw another bomb: in November 27th, the financial announcement issued a 51% stake in Chengdu global century and global times, with a consideration of about 15 billion 300 million.

After 30 days of equity deliveries, 3 billion 643 million of the profits from the stock market can be obtained from the merger, and the profit from the acquisition of the target is not yet closed. In addition, there is also an excess profit of 3 billion 500 million. According to this calculation, the actual investment of the 51% stake in the financial group is only 11 billion 800 million. If the excess profit is calculated, it is only 8 billion 100 million.

Up to now, the amount of mergers and acquisitions in the M & a market has reached nearly 30 billion yuan this year.

This year there is a housing company in the market of mergers and acquisitions, which is Shimao. In the first half of the year, in less than three months, Shimao has completed the acquisition of 11 items of Taihe, Ming FA, Wantong, Guangdong and Thailand, with a total investment of 12 billion 680 million yuan.

Shimao has become a "tight dealer" for this year's tight liquidity. The takeover of Taihe Group has reached 7, and the transaction price is about 7 billion 700 million.

So far, Shimao has spent 15 billion on mergers and acquisitions this year. At the beginning of this year's performance meeting, Xu Shitan, vice chairman and President of Shimao, said that more than 70% of Shimao's storage in 2019 will come from M & A. and 50% of the money will be bought.

In July, Xincheng holdings encountered "Black Swans", and the company had to resell the project bailout. Jinke became one of the most important providers of new towns.

In July 24th, Jinke shares issued a notice of the shares of the transferee real estate item company. It intends to purchase 6 real estate item company shares under the new town holding price, with a total turnover of about 1 billion 721 million yuan. After the completion of the transaction, it is expected to provide a 1 million 22 thousand and 200 square meter land reserve for Jinke.

Fang Mingfu, joint venture president of Jinke stock, said that the land acquisition method of Housing enterprises is not a single one. The land acquisition policy is limited by policy control and price limits, and even some projects do not make money or profit.

The transaction between Chengdu and the global century is second only to the acquisition of Wanda, which involves 18 projects in Chengdu, Wuhan, Changsha, Kunming and other cities. The total construction area is about 30 million 716 thousand square meters, and the available construction area is about 27 million 716 thousand square meters, which accounts for 90% of the total construction area. As of the announcement date, the unsold building area is about 23 million 901 thousand square meters.

Considering the potential land storage agreement that has reached the intent agreement, the total construction area is about 66 million 588 thousand square meters, of which the selling area is about 63 million 49 thousand square meters, accounting for 95% of the total construction area.

Through mergers and acquisitions, the M & a side can realize the rapid expansion of land reserve and support the substantial growth of future sales.

Sun Hongbin disclosed that after the acquisition of Wanda Wanda brigade spent about 43 billion 800 million, it has achieved sales of 160 billion, and there are still several hundred billion worth of goods available for sale.

It is these acquisitions that let Rong Chong quickly enter the industry's top four in the past two years and support its further growth in the future.

In the first half of October this year, the sales volume of the group was 433 billion 900 million, up 17% from last year, only to Biguiyuan, Hengda and Vanke.

New circuit of head office

After nearly 5 years of magnificent market evolution, China's real estate pattern has undergone tremendous changes. The first 50 strong and 30 strong housing enterprises coordinate initially, and by the end of 2019, the scale has not entered 100 billion housing enterprises. It is very difficult for them to have the opportunity to turn over and overtake in the future.

While consolidating their traditional advantages, the head housing enterprises are also quick to get stuck in the transformation operation and diversification.

Take Rong Chong as an example, sales have maintained a fourth growth rate, and Sun Hongbin has greatly increased and upgraded the culture and culture industry.

In November 27th, after the acquisition of Deng Hong's Chengdu globe century, Sun Hongbin said, "Rong Chuang will be invincible in the travel industry."

Soon, in addition to the founding of the city, the global fusion exhibition and Tourism Group has also been established. Its holding and management conference and Exhibition Center is more than 2 million square meters. It is the largest holding and operator of convention and exhibition projects in China.

Another giant Vanke, a housing giant, is no longer a traditional developer. Up to now, Vanke has been one of the top in terms of business, leasing, logistics and other fields.

Pauli has established a strong social, government and city network in the field of property services. In terms of commercial layout, Huarun and Longhu have begun to surpass their peers.

Biguiyuan and Hengda are determined to occupy the position in the field of intelligent robots and new energy vehicles, and leveraging new technologies and new markets with huge real estate capital.

Similar to Alibaba, which has just listed in Hongkong, Ali's four businesses are not only profitable in core business, but also growing in cloud computing, digital media and entertainment, and innovative businesses.

Although the two sections of the tourism and exhibition are good, they are all 10 trillion of the scale. However, financial innovation has also made a plan for not making money in the short term. "We are now doing cultural tours, including exhibitions and health care, which are not very profitable in the short term. What I am looking at is the longer term, 5 years and 10 years later." Sun Hongbin said.

In November 28th, Yu Liang, chairman of Vanke's board of directors, also said in Kunming that "Vanke (long rental apartment) can't explode thunder, and long rental apartments do not mean making big money."

Therefore, this transformation to face the future needs continuous development of blood transfusion and support, which is also a burden for small and medium-sized Housing enterprises.

With the decline of stock market, the profit pattern and structure of Housing enterprises in the future will also change significantly. The profitability of developing business and operation business will restructure the value system of Housing enterprises.