Automotive Group's overall listing acceleration accelerates to 2012

In 2011, the overall listing process of the auto group accelerated. SAIC's overall listing ended in 2011, which resulted in the largest M&A and restructuring case in the A-share market. The overall listing of FAW Group started and the listing process of BAIC accelerated. The overall listing of GAC is also just around the corner. Obviously, the upsurge of the listing of this car company will be blown into 2012 from 2011, which will have a significant impact on this year's auto strategy.

The overall listing process of FAW accelerated the FAW Group as the only auto group that did not achieve overall listing among the three largest car companies in China. As early as 2007, the name of FAW Group was listed in the list of 30 listed companies that were listed by the State-owned Assets Supervision and Administration Commission of the State Council.

On July 13 of this year, FAW Car and FAW Xiali issued announcements respectively, which exposed the restructuring plan of FAW Group and officially opened the overall listing of FAW.

In order to ensure the success of the listing, FAW Group has commissioned investment banking institutions to prepare four sets of listing plans, namely: "IPO model" of public offerings, "backdoor" FAW sedan model, "split listing" model, and complete retention of FAW Xiali listed subsidiary companies. Only four FAW-Volkswagen, FAW Toyota and other high-quality assets of the Group will be packaged into FAW Car's four options. At present, it is considered that the IPO plan will become the most likely implementation plan.

December 30, FAW Xiali announced that FAW will hold 47.73% of FAW Xiali shares into FAW shares. According to the overall reorganization plan of FAW, FAW will hold 53.03% of FAW sedan in addition to 47.73% of FAW Xiali. The FAW listing process continues to accelerate.

According to the information released by the SASAC meeting held in December last year, the first batch of pilot units that are clearly required by the SASAC to implement the overall listing as soon as possible, the overall listing of the FAW Group is likely to adopt the special approval of the State Council to accelerate the IPO. process.

SAIC's overall listing ended successfully On January 9, SAIC Motor's stock abbreviation was officially changed to SAIC Motor Corporation. At this point, SAIC Group, which has completed the asset restructuring of the equity changes, entered the final stage of the overall listing.

SAIC's overall listing project was officially launched in February 2011. On April 1st, the SAIC Motor Board of Directors and the Supervisory Committee reviewed and approved the purchase of the independent parts and components business, service trade business, and new energy automotive business held by Shanghai Automotive Industry Corporation and Shanghai Automotive Industry Co., Ltd. in a non-public offering. Restructuring plans for related company equity and other assets; on May 27, the shareholders meeting of SAIC Motor Corporation approved the proposal with a high vote rate of 99.98%; on September 13, the company received official approval from the China Securities Regulatory Commission for the approval of the transaction; On December 30, the implementation of the purchase of assets for the issue of shares was completed.

On December 30, 2011, SAIC Group issued the "Announcement on the completion of the execution of share purchase assets and the change of shares". The announcement stated that the assessed value of the M&A and restructured assets was approximately 29.119 billion yuan, from the suspension of the license to the official approval of the China Securities Regulatory Commission. In 7 months, after the completion of the reorganization, the asset securitization rate of SAIC Motor Corporation has increased from 81.15% to 99.34%, making it the largest M&A case in 2011 when the domestic A-share market was launched and implemented.

In 2011, SAIC Motor sales exceeded 4 million vehicles, an increase of 11.9% year-on-year, far exceeding the national average. Hu Maoyuan stated that by 2015, SAIC Motor’s goal is to exceed 6 million vehicles, and strive to achieve an annual sales volume of over 800,000 vehicles. The scale of business will lead the domestic auto group.