"Fruit chain" is not fragrant? Lixun Precision invested tens of billions of yuan to "build cars" and joined hands with Chery to establish a joint venture company

"Science and Technology Innovation Board Daily" (Shanghai, editor Li Honghui) news, following Foxconn, Luxshare Precision has become another "fruit chain" giant that has entered the new energy vehicle track.

On February 11, Lixun Precision announced that the company signed the Strategic Cooperation Framework Agreement (hereinafter referred to as the "Agreement") with Chery Holding Group Co., Ltd., Chery Automobile Co., Ltd. and Chery New Energy Automobile Co., Ltd. (hereinafter referred to as Chery Shares, hereinafter collectively referred to as Chery Group below) in Wuhu, laying a strategic partnership for both parties.

In addition, Lixun Precision also revealed in the announcement that on the day of the signing of the above-mentioned cooperation agreement, the company's controlling shareholder, Lixun Limited, purchased 19.88% of the equity of Chery Holdings, 7.87% of the equity of Chery Holdings and 6.24% of the equity of Chery New Energy held by Qingdao Wudaokou for 10.054 billion yuan.

As of February 11, Luxshare Precision closed at 41.05 yuan / share, a decline of 6.09%, since January 25 this year, Luxshare Precision stock price has fallen by 16.72%.

It plans to invest in vehicle manufacturing and research and development

According to the announcement, on the basis of the agreement, Luxun Precision and Chery New Energy intend to jointly establish a joint venture company, specializing in the research and development and manufacturing of new energy vehicles, and providing cutting-edge R&D design, mass production platform and sea exit for the company's core auto parts business.

In addition, the announcement also disclosed that before the signing of the Equity Transfer Framework Agreement, Qingdao Wudaokou held 46.77% of the equity of Chery Holdings, which was the largest shareholder of Chery Holdings. Luxshare Precision said, "The company's medium- and long-term goal is to become a leading manufacturer of Tire 1 automotive components. ”

There are a number of securities companies that are more optimistic about the layout of Lixun Precision's automobile-related business. According to Guosheng Securities, with the continuous release of new energy vehicles, domestic and foreign customers are gradually introduced, which is expected to become a new growth driver for Luxshare Precision.

In addition, SPDB International Securities believes that the strong electronic manufacturing capabilities of consumer electronics companies are the capabilities that are very much needed in the intelligent process of new energy vehicles, and automotive electronics is expected to promote the growth of Luxshare Precision in a longer time dimension.

Cross-border car building, "fruit chain" is not fragrant?

Luxun Precision's entry into the car is not a "whim", in fact, "fruit chain" companies looking for new growth points has become a trend. For example, the "fruit chain" giant Foxconn, in October last year, officially released the electric vehicle brand Foxtron, and also launched three pure electric models.

Chairman Liu Yangweicheng mentioned in a previous report to shareholders that Foxconn wants to transform the physique that was originally based on "labor intensive", and will focus on investing in the three major industries of "electric vehicles, digital health and robots" in the future.

In addition, other enterprises in the "fruit chain" have also begun to pay attention to the new energy track, such as Lens Technology (300433, SZ) has set its sights on photovoltaics, and Changying Precision (300115, SZ) is vigorously laying out the power battery structural parts business.

The actions of these enterprises may be directly related to the changes in the prosperity of the "fruit chain". According to the 2021 annual performance forecast previously disclosed by Changying Precision, its deduction of non-pre-loss exceeded 650 million yuan. Among them, epidemic factors, electricity restrictions, lack of core in the supply chain, and rising raw material prices have become the main reasons for the changes in the performance of "fruit chain" enterprises.