Medical network, June 19, recently, people f medicine announcement said the acquisition of Ansell's ji on condoms and the rest of the sexual health business, this also means that the company has become the world's second largest condom giant soon. However, the market's eyes were bright, and after the announcement, the company's share price was down in the day on the day of the announcement, ending a narrow decline and closing down more than 8 per cent. 

 

According to media reports, some private equity insiders say that the fall in the share price of people's pharmaceutical products is that the market is dissatisfied with the purchase price, so that they can vote with their feet. By contrast, Ansell's share price on the Australian exchange is rising. 

 

The announcement comes after the announcement of a $600m acquisition of Ansell's global sexual health business by citic capital for $600m. But also by ji on the original f medicine was founded in 2001, in February 2006 and August 2009, man f medicine twice to ji on 75% of the equity transfer to Ansell, transaction amount is 162 million yuan. In the deal, the company's valuation has reached 1.52 billion yuan, up 6.76 times from the $196 million valuation in 2005. 

 

Market analysis thinks, the person f medicine acquisition of ji on the role of complementary advantages of their products are not obvious, also hard to with main business, more and the expression of the before 2017 business vision. The acquisition is therefore widely questioned by the market. 

 

Season, chief analyst at Orient securities pharmaceutical industry order, I said people f medicine the biggest competitive advantage is still in the ganga drugs in terms of professionalism, as well as the many years since the formation of the brand influence. From this point of view, investors' expectations also lie in the development of proprietary varieties and new drugs. Too much of the current business is not necessarily a good thing for human health. 

 

Ansell, its main protective gloves and other Labour protection products, has a greater difference in the health business of the company than the rest of the company. There is no clear advantage in the relative capital investment. In sexual products on the market, on the other hand, the "second" one thousand ji on character has always been hard to change, compared to the industry "boss" durex, in terms of market share, marketing, and influence has a considerable gap, therefore, Ansell chose stripping this part of the business. 

 

In response to this, the Chinese economic network telephoned the office of human medicine dong, but no one answered the phone. 

 

People of the state of medicine sell your buy of jasper 

 

People f medicine said in the announcement on May 26, will work with citic capital spending $600 million bid for Australian latex protection products giant Ansell's global sexual health, including ji on company business, through the transaction, the medicine will have Ansell all sexual health business around the world, including condom, lubricant and sex toys, etc. After the acquisition, human health will become the global leader in sexual health, the second largest in the global market for condoms. 

 

In 2001, jasper was registered in wuhan. The company owns 80 per cent and wang xuhai, chairman of the company, owns 20 per cent. 

 

However, the company's financial chain is strained after a change in the main industry following the listing. In 2006, wang xuehai, 31, was appointed chairman of the company and the youngest chairman of the company. Is drained, painful xue-hai wang will be fashioned out of wuhan ji on a 70% stake in with 137 million yuan price sold to Ansell, ji on British companies have stopped operations, although the wuhan ji on the time can be blessing contribute 20 million yuan net profit a year, and maintain the growth rate of 35%, but because of its profitability, comparison is the most easy to sell assets, kappa will become worthy of the name of foreign goods. 

 

In 2006, human medicine sold 70% of the company to Ansell for 137 million yuan. At the time, the company had a net worth of 6018.79 million yuan, and in 2005, the company's revenue and net income were 144 million yuan and 3100.22 million yuan. The petabyte (price-to-book ratio), which is the first time that human medicine has changed hands for the first time, is 3.26 times, while PE (p/e) is 6.32 times. 

 

On August 25, 2009 people f pharmaceutical approval again with 25.117 million yuan price sold a 5% stake in ji on at this time, ji on valuation reached 502 million yuan, more than 196 million yuan in 2006 increased by 1.56 times. 

 

After ji on business continues to grow rapidly and as of December 31, 2016, ji on the total assets of $53.8224 million, debt of $17.6196 million, with a net worth of $36.2028 million. In 2016, the company earned $6589.5m in revenue and a net profit of $1207.222, or 16.5 times for PE. In 11 years, the company's net worth increased 3.12 times, and revenue and net income increased 2.13 times and 1.67 times respectively. 

 

The man f medicine joint citic capital of $600 million to buy a 90% stake in ji on trading, ji on valuation has reached 1.52 billion yuan, compared with 196 million yuan ji on the valuation of 2005 increased by 6.76 times. 

 

The company responded by saying that the main reason for the low sales is that the underlying value is different. Company selling when ji on only for Ansell dealers in China, and now the back is a mature brand, product, technology and market system, the integrity of the company. 

 

People's share price is low: it is difficult to keep up with the "boss" durex: the Chinese economic network 2017-06-19 08:10 

 

"The second" is a difficult time to catch up with durex 

 

According to the announcement, the disclosure, engaged in sexual health, including condoms, global trade company, including ReckittBenckiser (reckitt durex parent company), Church &; The average annual corporate value of Dwight, OkamotoIndustries and Karex is 19.2 times the average for EBITDA (pre-tax depreciation amortisation). 

 

Reference in July 2010, according to the financial community website ReckittBenckiser (reckitt) acquisition SSLInternational (durex brand), the transaction price relative to the first 12 months EBITDA (before interest, tax, depreciation amortization net profit) ratio of 18.3 times. The domestic acquisition of companies trading prices relative to ji on 2016 net profit ratio is about 16.5 times, from the perspective of horizontal comparison, the acquisition of the transaction price is reasonable. 

 

But when compared with Yu Lijie buy durex huge revenues since the second kappa and compared to the first durex, in terms of market share, marketing, and influence has a considerable gap. Durex accounted for 46 per cent of all condom sales in the country in 2015 alone, while jasper's market share was only about 30 per cent. Its sales growth in China was also concentrated in the strong performance of durex products, according to the quarterly report by li jie in the first quarter of 2017. 

 

And from the perspective of the products of people f medicine at present, the statement said, through its subsidiary in recent years in market segments such as health care, sexual health have developed "aware of who love" saliva test paper (AIDS), the "Key" (sex toys), "west ni" (personal care products), and other brand and product line, which in its 2016 annual report content is not significant. 

 

And the addition of jasper, indeed, fills up the existing product line, and will also be a major part of the profits of human medicine. But the role of complementary advantages in products are not obvious, with main hard cases, such as how to lead the kappa brand, realize the breakthrough of market share, has become a new problem. 

 

The purchase of jasper shares plunged 

 

With the purchase of jstown, the company will be transformed into a global leader in the field of global sexual health, next to lijie. After the announcement, the market reaction was surprising. 

 

On May 31, on the day of the collapse of the company's stock price, on the same day that the company's shares plunged, it closed down to 8 percent, closing at 19.38 yuan. On June 2, the company's stock continued to fall at a low price, ending at 18.89 yuan. 

 

According to the financial services website, some analysts said that the "undoing" of human medicine was not in line with investors' expectations and was the main reason for the market's volatility. For human medicine, narcotic drugs have always been the main product of the company, and its market share is the highest in the country. Besides, human medicine is also doing well in the fields of fertility regulation, uygur national medicine and biologics. In its 2016 annual report, it also revealed that 2017 will focus on new drug development, breeding and generics. Yet, in the blink of an eye, human medicine is targeting a position in the global marketplace for sexual health. 

 

In contrast, Ansell, which sells its condom business and other gender-healthy businesses, has seen its share price rise on the Australian exchange. 

 

A private people declined to be named, said people f medicine fundamentals: no problem, on May 31, a fall is not satisfied with the purchase price of the market to vote with their feet. 

 

Shares of central plains rose 

 

It is worth mentioning that in one f medicine announced the acquisition of ji on half a month later, on June 13, namely, person f medicine again foreign announcement, according to the plan for the price of about $352 million will be held by a wholly owned subsidiary of wuhan zhongyuan rhett biological products co., LTD. (hereinafter referred to as the "central plains rhett") 80% stake to jet belin (Asia Pacific) co., LTD. After the deal was completed, the proportion of people who took a stake in the company fell to 20 per cent, no longer a watch. 

 

According to the announcement, the medicine and jet belin on June 13, signed the share purchase agreement, for about $351.8 million (2.4 billion yuan) to the central plains rhett 80% stake to jet behring. 

 

According to the Beijing business daily, he was also a "product" of the strategic acquisition strategy. In December 2010, it was the first time that the company received a 70 per cent stake in the company, and since then, it has been a wholly owned subsidiary of the company. Comparing the original purchase price, buy zhongyuan rhett seven years later, people f medicine received about 2.1 billion yuan of investment, and from the point of view of financial data, it is not a man f medical burden. Between 2014 and 2016, zhongyuan's net profit was 4415.08 million yuan, 4176.08 million yuan and 6606.92 million yuan. 

 

The announcement showed that the sale of the asset was subject to the filing or approval by the competent authorities of business, industry and foreign exchange. There is no correlation between the "buy and sell" deals. People f medicine, points out that the transaction with the company had closed Ansell ltd. its sexual health business transactions or related arrangements, there is no correlation relationship between two trading is completely independent. 

 

However, there are still significant risk factors for the asset sale. On the one hand, the sale of assets has not yet been approved by the shareholders' meeting or the government department. On the other hand, there is a risk that the deal will not be completed before the delivery of the deal and the failure of the parties to implement the agreement. In addition, the asset sale is priced and paid in dollars, and human medicine may face currency risk. 

 

In contrast to the takeover of jasper, investors have shown a different attitude towards the "buy and sell" deals of people before and after the medicine. On June 13, the shares opened higher, closing at 19.47 yuan per share, up 2.31 percent. 

 

The "crossover game" of human medicine 

 

For sale of zhongyuan rhett, f medicine said, is advantageous to the company further improve the assets structure, reduce the asset-liability ratio, focus on niche that have competitive edge, in line with the company development strategy and long-term interests. At the same time, after completion of the transaction, jet belin rhett to central plains gradually enter the international advanced production technology, quality system and product reserves, increase the company enjoyed by the central plains rhett the value of the remaining 20% stake. 

 

If the sale of the company was in line with development strategy, it was widely questioned by the market for its acquisition of jasper. 

 

According to the China securities journal, senior investment analysts said that the acquisition of jasper, a human being, was not in line with its previous vision of the business of 2017. 

 

In 2016, human medicine is favored in the export of pharmaceutical products, medical services and the field of anesthetics. In the year, people's pharmaceutical sales in the United States reached 681 million yuan. In addition, the company has been allowed to enter the southeast Asia and Europe markets for narcotics and fertility control drugs. The plant, which is based in Mali, has already supplied more than 20 molasses and injections to the west African market, and the company has a full range of overseas operations. 

 

Company has previously stated, to divest non-core business, 2017 will continue to accelerate the development of international business, mainly through generic drug market, key layout is the U.S. market, increase market share. Now, the acquisition of jasper is clearly not meeting investors' expectations. 

 

For Ansell, which is a protective glove, it is very different from other businesses. According to the Ansell2016 annual report, the gender health business accounts for only 14 per cent of total revenues, and there is no significant advantage over capital spending. On the other hand, in the sex market, Ansell's "millennial" character is hard to change. So Ansell chose to spin off the business. 

 

According to the brokerage, the risk for human health is that the acquisition of Ansell's gender health business will still take time to be approved, and the preparation of the preparation will be lower than expected. 

 

According to the financial industry, the "bad business" of human medicine is famous in the industry, except for the sudden focus on the sex business. 

 

In 2015, as "narcotic drug" f medicine, while the sideline of the condom, sex toys, spent 300 million yuan in cool tea business, said the plan 3 years sales 10 billions, caused an uproar. In 2016, have been investors in the Shanghai e interaction platform to this question, people f medicine responded that herbal tea business is still in the incubation periods, the existing investment is not large, including Key sex toys, etc., which rely on brand, patent to promote. 

 

In just the past five months, the medicine also released another announcement: yichang city health development planning commission and a hospital management company has officially take over yichang, maternity and children's health care centers responsible for the management of its operations. 

 

Run a hospital, sell cold tea, make a sex health article... In the name of the layout of the big health industry, people's actions are frequent. Its annual report shows the 2017 strategy