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迅捷环球(0540.HK):IPO认购指南

SwiftGlobal (0540.HK): IPO Subscription Guide

國元(香港) ·  Jan 4, 2013 00:00  · Researches

Fast Global is mainly engaged in providing clothing supply chain services, including product design and development, verification of fashion trends and debate, procurement of raw materials, management of production orders and procurement of goods, quality control, packaging, inventory management and logistics management. The clothing industry is the lifeblood of China's economy, accounting for about 8.2% of China's total exports and 37% of global clothing exports in 2011. Despite the huge production capacity of the industry, the quality is low, only a small number of influential international brands, most of them only provide original equipment manufacturing services for foreign brands, the profit is meagre, and the market is dragged down by the surplus supply of large-scale production clothing. The two major production costs of the clothing industry, including crude oil and cotton, grew at a compound annual rate of 7.1% and 15.4% respectively from 2007 to 10. At present, China's clothing industry is facing rising production costs, putting pressure on the profitability of clothing manufacturers. And as the European debt crisis reduced demand for Chinese exports, retail sales slowed from about 24.2% annual growth in 2011 to about 16.9% in the first half of 2012, prompting clothing manufacturers to enhance their competitiveness by upgrading services. Although it is an industry trend to develop into a supply chain service provider in China, there are only a limited number of service providers in the market (the number of clothing suppliers accounted for less than 5% of the total number of garment manufacturers in 2011). If you want to become a supply chain service provider, you must have excellent supply chain coordination ability and establish a long-term relationship with customers.

Fast Global raised 150 million H shares, with a forecast price-to-earnings ratio of 4.14 to 5.86 times earnings, below the industry average. With the rise of the quality of life, people's pursuit of clothing has changed from function, durability and warmth to fashion and self-expression. The purchasing power of third-and fourth-tier cities is increasing day by day, while the demand for fashion and brand-name high-quality clothing products will remain unchanged. Taking into account China's strong economic recovery, coupled with the global economic recession has accelerated the pace of streamlining the global supply chain, driving retailers to cooperate with stronger suppliers, as well as living standards, rising disposable income, rapid urbanization and other local demand for Chinese clothing products (especially high-end products), enterprises have a certain investment value, it is recommended to carefully participate in the subscription.

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