Youngor Group Co., Ltd. (Shanghai Stock Exchange: 600177, hereinafter referred to Youngor), which traditionally has three major businesses in clothing, real estate and equity investment, is trying to sort out the business more completely. The company will invest 1.4 billion yuan to integrate its apparel business segment. The evening of July 13, Youngor announced that it will invest 1.4 billion yuan to increase the registered capital of a wholly owned subsidiary Younger Garment Holdings Limited (Youngor Garment Holdings), from 200 million yuan to 1.6 billion yuan . After the capital increase is completed, Youngor Garment Holdings immediately launched a large number of acquisitions. Youngor's apparel marketing and production of 22 majority of the equity stake in enterprises, are funded by the amount of money, income Youngor clothing holding pocket. The entire acquisition involved the amount of 1.655 billion yuan. Younger Board Secretary Liu Xinyu told the "Financial" reporter, the integration, mainly to straighten out the equity relationship within the group, the real estate and clothing business equity two separate. In addition, the production and marketing of apparel panels are also put together, rather than separate management. Research report released by CITIC Securities shows that before this arrangement, Youngor holds 22 apparel production and marketing companies, of which the production segment is divided into "product categories", the sales segments are managed in different regions, the subsidiaries are independent, Lack of co-ordination. After this arrangement, Youngor will reorganize its apparel segment according to the "branding process" and set up a number of divisions, such as product department, marketing department and brand management department, to jointly operate multiple brands. Founded in 2007 Youngor Garment Holdings become the main force of this integration. "There was such a shell, so there was no need to set up a new company," Liu told reporters. Youngor Garment Holdings formerly known as Ningbo Younger Venture Capital Co., Ltd., in 2008 changed its name to Younger Ningbo Investment Management Co., Ltd. assets. June 5, 2009, changed to the current name. As of March 31, 2009, Younger Garment Holdings net assets of 203 million. The first quarter of 2009, its operating income of 92.18 million yuan, net profit was 1.2036 million yuan. Earlier, on Youngor has its own clothing, real estate, investment spin-off intention, many investors spread. When the integration of the news released, this speculation once again surfaced. Liu Xinyu told the "Financial" reporter, Youngor originally had this idea, but because the policy did not let go, there is no precedent, so there is no possibility of spin-off. July 14, Youngor opened higher at 15.30 yuan. Shortly after the opening of the afternoon market, the stock price rose sharply to as high as 15.68 yuan, up 6.02%. The closing price of 15.55 yuan, up 5.12%.
