Minmetals investment 200 million investment by the Court Alcoa "floating"?

According to a report on June 21, “This is obviously not an investment that is really considered from a commercial perspective.” On the evening of June 16, people familiar with the matter pointed out when he introduced the China Minmetals Group’s investment of 200 million yuan in the Hunan Economics Group.

At present, Zhang Guohua, the general manager of Jingge Group and Jingge Aluminum Technology Co., Ltd. (hereinafter referred to as “Caoge Aluminum”) announced that the company has obtained 200 million yuan from Hunan Nonferrous International Trade Corporation (hereinafter referred to as “Hunan Nonferrous Metals”). The capital injection. The latter belongs to Hunan Nonferrous Metals, which has been acquired by Minmetals.

According to the agreement, the cooperation period between the two parties will be three years. After Cao Alcoa fell into a fund crisis, it was almost insolvent. After being injected with funds, it will be worth paying attention to how Cao Aluminum continues to support and maintain the value of state-owned assets for investment in Minmetals within three years.

200 million life-saving money In recent days, Changsha City, Long Ping Gaoke (000998) technical park in the Court House aluminum factory more than a "Minmetals Hunan Nonferrous International Trade Co., Ltd. by the Court Office" signs. This marks the end of a long-term breakthrough in the long-term search for capital in the Court Group.

According to the official website of the Court Group, Jingge Aluminum was built in June 1995 and is currently the largest aluminum extrusion manufacturer in the Central South Region. Now has assets of 1.65 billion yuan, more than 30 production lines. At present, an annual production capacity of RMB 6 billion has been formed. The founder Zhang Guohua entered the Hurun Rich List with 1.4 billion yuan and 1.3 billion yuan in 2008 and 2010 respectively. In fact, Zhang Guohua has long been a stagnant main business.

Around 2004, in order to plan for the listing, the Geely Group expanded its business and carried out major construction projects, resulting in tightening of the capital chain. Jingge Aluminum Xingsha Base, which was highly hoped by Zhang Guohua, started construction at this time. According to the original plan, the first phase of the investment was 750 million yuan. The project was put into production in 2008 with an annual output value of 5 billion yuan and an annual profit and tax of 1 billion yuan. However, the plan was disrupted and the input funds were repeatedly increased. The final investment reached 1.1 billion yuan.

Zhang Guohua borrowed his debts everywhere, quickly formed a large number of short-term debts in the bank, further tightening the capital chain, and the listing plan was aground.

At the end of 2009, the Minmetals Group successfully acquired Hunan Nonferrous Metals and rescued the Economic Court to be rehabilitated.

Hunan Nonferrous invested 200 million yuan as liquidity to expand the scale of production, and the profits formed by both parties were divided into prorate proportions. The cooperation period is three years.

Zhang Guohua hopes that the 200 million yuan fund of Minmetals will be able to activate Caile Aluminum. He also hopes that he can get more cash by disposing of idle non-operating assets.

However, related persons of the creditor’s bank of the Jingge Group revealed to reporters that most of the assets of the Court have been pledged and it is not easy to handle them. At the same time, some creditors, after knowing that the Court obtained 200 million yuan in investment, have already asked them to repay their debts.

According to the pavilion's baggage, “The two hundred million yuan is just a drop in the bucket for the Court. It cannot be brought back to life.” A person close to the Court stated that “Minmetals may not really know what kind of company it has invested in.”

According to the investigation by the reporter, the apparent contraction period of Jingge Group began in 2007. Due to the lack of production funds, the construction of its factory buildings and purchased equipment were largely idle. Even the new base of Longping Hi-Tech Park, which Zhang Guohua had high hopes for, remained tepid until this year.

According to the data obtained by reporters, from the perspective of shipments, the average monthly sales volume of aluminum alloys will not exceed 2000 tons, and the annual sales will not exceed 400 million yuan. This is a far cry from the number of external propaganda issued by the company. According to the official website of Caoge Group, Cao Aluminum achieved a production value of 2.056 billion yuan in 2007 and a sales volume of 1.978 billion yuan. In 2008, it achieved a production value of 2.45 billion yuan and sales of 2.38 billion yuan. In 2009, it achieved an output value of 2.92 billion yuan and sold 2.85 billion yuan.

In general, the net profit of this industry does not exceed 10%. According to the annual sales of 400 million yuan, the average annual net profit of GE Aluminum will not exceed 40 million yuan. Zhang Guohua once publicly stated that the annual interest payable is more than RMB 30 million, but according to estimates by bank creditors, the real figure should be above this. Based on this calculation, Jingge Aluminum is basically in a loss-making state of operation.

In addition, according to the official website of the Court, the company ranked the 10th among the enterprises with profits exceeding RMB 100 million in Changsha. However, from the above data, it can be seen that according to the actual sales situation of the Court, it is impossible to generate such a large profit and tax. “In this case, it is either that it borrows taxes or it is false.” An industry executive questioned his profits. However, the reporter could not get relevant answers from the taxation department in Changsha.

As early as 2007, a “due diligence report” produced by Hunan Dacheng Investment Management Co., Ltd. showed that the annual production capacity of Jingge Group was 25,000 tons; as of May 31, 2007, Zhang Guohua held 71.4% of Jingge Group. Equity, total assets of 884 million yuan, of which net assets of 459 million yuan, total liabilities of 425 million yuan; and land use rights and machinery and equipment are used for the bank. In 2007, the market share of Jingge Group in Hunan has dropped to only about 10%.

After 2007, Jingge Group's operating conditions are still not optimistic.

It is understood that the current domestic market, China's leading aluminum profile companies - Zhongwang aluminum monopoly of the industrial profile of the track profile.

According to the aforementioned industry executives, an extrusion device for industrial profiles is tens of millions at a time. “Without huge financial support, it is impossible to make industrial profiles.” In his view, like the pavilion itself carries a heavy burden. Debt burdens, transition to industrial profiles, more "can only be seen as a good vision."

Don't care about the return on investment?

Informed sources revealed that the investment in the Minmetals investment group, quite some "helpless."

Looking at the Minmetals into Hunan, we can see that since the acquisition, there has been no substantive action on Hunan's non-ferrous integration. The only thing that is visible is that Minmetals continues to enclose in Hunan, and its real estate development is very hot.

According to the aforementioned sources close to the Minmetals Group, "In the internal discussions, we rarely mentioned the direct investment return of this project (capital financing)."

Therefore, some analysts believe that the possible intention of the Minmetals Group is to first give aid to the Court to “appease” the relevant parties and create a good environment for the latter. As for the direct investment return of the project, 200 million yuan is actually only a "small number." However, this analysis of the Minmetals official did not confirm.

In addition, the reporter learned from people close to the Minmetals Group that before the two parties cooperated, the Minmetals Group had formed a tacit understanding with relevant parties in Hunan Province, that Minmetals agreed to invest, but this investment must be used for the production and operation of the Court. At the same time, bank creditors of the Court may not “noise”.

According to the source, in order to prevent funds from being used for other purposes, Minmetals hopes to invest in aluminum ingots rather than cash, that is, according to the specific order of the aluminum industry, aluminum ingots will be distributed in batches. However, the two sides agreed to agree to the issue of cash investment by the Court.

However, on the morning of June 19, Zhang Guohua told reporters on the phone that the company did not receive any investment from Minmetals, and he was no longer the chairman of the group. This is quite intriguing with the news that he recently announced a high-profile announcement of cooperation.