After the stock price continued to be depressed for a period of time, the "fruit chain brother" Luxun Precision (002475) on Friday (February 11) evening a "car-" announcement detonated market enthusiasm, on the morning of February 14, Luxun Precision stock price rose by more than 5%.
It is worth mentioning that the latest disclosure of the research minutes of Luxun Precision on the night of the 13th said that the company does not build cars, but cooperates with Chery to develop another new industry - to build a good car for others, that is, the vehicle ODM model. In other words, the joint venture between Lixun Precision and Chery mainly engages in automobile foundry business, and this model is also conducive to helping Luxun Precision achieve its medium- and long-term goal of becoming a leading manufacturer of tire1 (a tier supplier of automotive manufacturers) in auto parts.
Luxun Precision Explains "Car Building"
On the evening of February 11, Luxshare Precision announced that the company signed a strategic cooperation agreement with Chery Group, and intends to jointly form a joint venture with Chery New Energy, specializing in the research and development and manufacturing of new energy vehicles, providing cutting-edge R&D design, mass production platform and sea exit for The core parts business of Lixun Precision Automobile, and is committed to achieving the company's medium- and long-term goal of becoming a leading manufacturer of Auto Parts Tier1, of which Lixun Precision shares 30% and Chery accounts for 70%. In addition, Lixun Precision's controlling shareholder, Lixun Limited, directly invested RMB 10.054 billion in Chery Holdings and its affiliated subsidiaries.
As a "brother" in the Apple industry chain and an enterprise with a market value of nearly 300 billion yuan, Luxshare Precision suddenly announced the above news, which quickly attracted widespread attention from the market.
According to the latest disclosure of the institutional research minutes of Lixun Precision, from 3:00 to 4:30 p.m. on February 13, hundreds of institutions took advantage of the weekend to step up their investigation of Lixun Precision on the "car-making" announcement, and the company also made a detailed description of the relevant situation.
Luxun Precision executives said that this strategic cooperation with Chery, the company does not build cars, but cooperates with Chery to develop another new industry - to build a good car for others, that is, the vehicle ODM model, and this cooperation will also create a precedent for the global vehicle ODM business.
"The joint venture company will do ODM platform development and vehicle assembly, and the joint venture company expects that the main target business will be the business of foreign traditional brand car companies and the domestic new SmartEV (intelligent electric vehicle) brand business." Luxun Precision said that Luxun Precision has rich ODM experience in consumer electronics, communications and automotive fields, and has a very familiar grasp of the ODM business model, and at the same time, it can also provide empowerment for joint venture companies in terms of core customer resources. Chery has been working in the field of vehicles for many years and has a deep understanding of vehicle products.
Luxun Precision further said that when the ODM car-making business model was less than one million units in the early stage, the company's function was more to assist Chery to develop ODM business and build the platform well, because there were essential business differences and management differences between doing brand and doing ODM. With the continuous development of the ODM business, the company's core components business will also be brought into play.
In other words, Luxshare Precision has fully joined hands with Chery this time, and the first goal of the cooperation between the two sides is to develop the automotive OEM business, and through the achievement of this goal, it will further help Luxun Precision Auto Parts Tier1 (a tier supplier of automobile manufacturers) to achieve the medium- and long-term goals of the leading manufacturers.
The reporter noted that in the announcement on February 11, Luxshare Precision has stated that the cooperation between Lixun Precision and Chery to establish a joint venture company is exclusive, that is, Chery Group cannot cooperate with other automotive foundry enterprises, but can independently oem business or cooperate with automobile brand enterprises.
Luxun Precision also revealed that the ODM business has a relatively clear landing project, which will be put into production in about 12-18 months.
Direct competition with Huawei?
All along, Huawei's car manufacturing has always attracted much attention, and it has also attracted market rumors and Huawei's rapid clarification. Huawei has stated from beginning to end that Huawei does not build cars, aims to help car companies build good cars, and is committed to becoming a supplier of intelligent car solutions and auto parts.
From the perspective of positioning in the automotive field, the positioning of Lixun Precision listed companies in the automotive field is similar to that of Huawei.
"The company focuses on providing industry chain component solutions for the market, and is also committed to becoming a global leader in auto parts Tier1." Luxun Precision said in an institutional survey on the 13th that the company has been precipitating in the automobile business for more than ten years, mainly focusing on the "nervous system" of the whole vehicle, the main products are: connectors / connecting wires, low / high voltage vehicle wiring harnesses, special wiring harnesses, etc., the main customers include domestic traditional car companies, new car manufacturing forces and some large Tier1 manufacturers.
Luxshare Precision believes that SmartEV is an opportunity that Chinese automakers have not encountered in a hundred years. SmartEV has created a new business opportunity and brought many new entrants to the market. However, due to the rapid development speed and cruel competition, new entrants often have advantages in electrification, intelligent driving, and intelligent networking, but lack the foundation of traditional car companies in the automotive industry, such as the understanding of vehicle-level quality standards, system capabilities, platform development capabilities and experience accumulation, manufacturing qualifications and manufacturing capabilities, supplier resources and management capabilities, dealer channels, etc. The opportunities brought by SmartEV include not only the whole vehicle, but also the more vitality of the Tier1.
"The company wants to seize this opportunity to achieve Tier1 take-off in the next 35 years." Luxun Precision said that the market size of Tier1 itself is almost 70% of the total output value of all car companies, such as the world's four major Tier1 manufacturers Bosch, Denso, ZF, Magna, established for more than 50 years, the revenue scale is more than 30 billion US dollars, there are no Chinese companies. Among the top 100 Tier1 manufacturers in the world, there are only 8 Chinese companies.
As for the trend of technology giants building cars, Luxshare Precision said that the company's advantage is to be able to see the opportunities and challenges of the market, not out of blind pursuit of wind to build cars, but through active selection, in the limited resource investment to obtain the best results, the company is engaged in the ToB business, that is, to provide brand customers with component services, this will not change.
(Editor: Peng Bo)
These, users are watching
