宝胜海缆作为宝胜股份重要子公司，一直承载着公司在海缆业务上的厚望。公开资料显示，宝胜海缆规划标准很高，项目总投资50亿元，占地面积40万平方米，拥有国内海缆项目最大的码头（可停靠5万吨级船舶）、国内单体最大的海缆厂房（18万平方米）和“全球最高海缆交联立塔”（201.68米）。①Baosheng Marine Cable will transfer 30% of its equity to Yangtze Optical Fibre and Cable Joint Stock, becoming a controlling subsidiary of Yangtze Optical Fibre and Cable Joint Stock, with a transaction amount of 0.583 billion yuan; ②As an important subsidiary of Baosheng Science and Technology Innovation, Baosheng Marine Cable has high standards in planning, with a total investment of 5 billion yuan, owning multiple 'domestic best' project assets; ③This year, due to factors such as the delayed start of the domestic marine wind project, the profit performance of many companies' marine cable business is under pressure.
Financial Association News September 20th (Reporter Wu Chao) Since the listing for transfer in May this year, Baosheng Science and Technology Innovation (600973.SH) announced the buyer of part of the equity of its marine cable subsidiary - another listed cable company and also the operating partner Yangtze Optical Fibre and Cable Joint Stock (601869.SH). Today, both parties announced that they have reached a share transfer agreement. Baosheng (Yangzhou) Marine Engineering Cable Co., Ltd. (referred to as 'Baosheng Marine Cable') will transfer 30% of its equity to Yangtze Optical Fibre and Cable Joint Stock, with a transaction amount of 0.583 billion yuan.
Before this, Baosheng Marine Cable was jointly operated by Baosheng Science and Technology Innovation and Yangtze Optical Fibre and Cable Joint Stock. Baosheng Science and Technology Innovation holds 70% of Baosheng Marine Cable's equity, while Yangtze Optical Fibre and Cable Joint Stock holds 30%. With the completion of the transaction, Yangtze Optical Fibre and Cable Joint Stock will hold 60% of Baosheng Marine Cable's equity, making Baosheng Marine Cable a controlling subsidiary of Yangtze Optical Fibre and Cable Joint Stock and included in the consolidated financial statements; Baosheng Science and Technology Innovation's equity holding will decrease to 40% and will no longer be included in the consolidated financial statements of Baosheng Marine Cable.
As an important subsidiary of Baosheng Science and Technology Innovation, Baosheng Marine Cable has always carried the high expectations of the company in the marine cable business. Public information shows that Baosheng Marine Cable has high planning standards, with a total project investment of 5 billion yuan, covering an area of 0.4 million square meters, with the largest terminal for domestic marine cable projects (capable of docking 50,000-ton ships), the largest single marine cable plant in China (180,000 square meters), and the 'world's tallest marine cable cross-linking tower' (201.68 meters).
However, from a financial perspective, Baosheng Marine Cable achieved operating income of 1.079 billion yuan in 2023, but the net income was only 9.693 million yuan; in the first half of 2024, the company's operating income decreased to 0.203 billion yuan, with a net loss of 39.5013 million yuan. This may be one of the reasons why Baosheng Science and Technology Innovation decided to transfer part of its equity to optimize resource allocation and focus on its core business.
Financial Association News reporters have noted that in recent years, most leading cable companies have been expanding into the marine cable business, leading to an increasingly competitive market. This year, due to factors such as the delayed start of domestic marine wind projects, the profit performance of many companies' marine cable businesses is under pressure. For example, Ningbo Orient Wires & Cables (603606.SH) achieved revenue of 1.485 billion yuan in the first half of the year, a 10.34% decrease year-on-year; with a gross margin of 39.38%, a decrease of 11.71 percentage points.
For Baosheng Science and Technology Innovation, this equity transfer has multiple meanings. The company stated that by transferring 30% of Baosheng Marine Cable's equity, it is advantageous to further optimize resource allocation, concentrate on developing core business, and promote high-quality sustainable development of the company. At the same time, the proceeds from the equity transfer can be used to supplement the company's working capital and repay short-term loans, which has a positive impact on optimizing the capital structure and medium- to long-term development. Although Baosheng Science and Technology Innovation will lose control of Baosheng Marine Cable, as a participating shareholder, the company will continue to leverage industrial synergies and actively participate in the operation and management of Baosheng Marine Cable.
As for Yangtze Optical Fibre and Cable Joint Stock, this acquisition is undoubtedly a strategic layout. Yangtze Optical Fibre and Cable Joint Stock stated that marine cables and ocean construction are one of the main areas for the company's diversified strategic initiatives. Baosheng Marine Cable has a complete marine cable manufacturing capacity, technology research and development capabilities, and customer base. Through this acquisition, the company can quickly obtain these resources, and the marine cable products have a certain technological relevance to the company's existing cable products, enabling technical complementarity and synergy in technology research and development, production, and manufacturing, enhancing overall technological capabilities and profitability.
In addition, Yangtze Optical Fiber and Cable Joint Stock Company is bullish on the continued growth potential of the submarine cable market. The company stated that as a key component of underwater communication and energy transmission, the market demand for submarine cables is expected to continue to grow. The company has already established a subsidiary engaged in ocean construction, and the acquisition of Baosheng Submarine Cable will help improve its industrial layout in this field and further expand its market share.