< p > yesterday, Tianhong < a target= "_blank" href= "//m.pmae.cn/" > textile < /a > signed the framework agreement with the related parties such as Yunsheng group and Huiyuan Hongkong. It intends to purchase all the shares of Shandong Deyuan cotton mill with 339 million yuan, and purchase yarn from Deyuan, the amount being equal to the outstanding shareholder loan of the Yunsheng group, which is the same as that of Deyuan.

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< p > according to the announcement, Shandong De Yuan cotton mill is a Sino foreign joint venture held by Yun Sheng Holdings Limited.

Yun Sheng group, Huiyuan Hongkong and Banda invest respectively hold 50%, 45% and 5% stake in De Yuan mill.

According to the briefing, De Yuan cotton mill is currently the world's largest compact spinning production base, mainly engaged in research and development, production and operation of compact textile and high-grade fabric.

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< p > data show that the net losses in 2011 and 2012 were 77 million 120 thousand yuan and 111 million yuan respectively. As of December 31, 2012, the net asset value of German yuan was about 194 million yuan.

Nevertheless, Tianhong textile is still buying this asset at a premium rate of nearly 75%.

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< p > it is worth mentioning that the controlling shareholder of the company is also a major shareholder in Ningbo's rhyme rise. Its business scope includes rare-earth permanent magnet materials, octave, motor products, textile machinery and so on.

After the "burden" was thrown away, the group could launch light business to develop other businesses.

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< p > and for Tianhong textile, the acquisition of the De Yuan cotton mill can solve its urgent need at this time.

The company said that about 96 thousand and 500 tons of yarn products had been sold in the first five months of this year, and the demand for Future Ltd yarn was still large. Therefore, it is necessary for the company to increase production capacity through acquisition or construction of production facilities.

Compared with the construction of new production facilities, the acquisition of German yuan can enhance the company's capacity in a shorter time.

The company said that after gaining the controlling power of the German source, the company will make good use of its production facilities to meet the company's order needs, and at the same time, it will mainly use the German yuan's capacity to produce chemical fiber yarns, and the German yuan will turn a profit in the short term.

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< p > in the background of the weak demand of the entire textile industry in 2012, the performance of Tianhong textile industry was growing against the trend. The choice of the high premium purchase of the textile factory of De Yuan is quite promising for its future performance prospects.

According to financial data, Tianhong textile company achieved operating income of 7 billion 341 million yuan in 2012, an increase of 6.8% over the same period last year, achieving an annual profit of 486 million yuan, an increase of 693.6% over the previous year, of which the yarn turnover amounted to 6 billion 147 million yuan, accounting for 83.7% of the total turnover.

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< p > looking back at the whole situation of the listed companies in the textile industry, most of the performance last year suffered "Waterloo", and less than 40% achieved performance growth.

Analysts believe that the domestic demand market will continue to provide a driving force for the smooth development of the textile industry this year, but the pressure on external demand, cotton price differentials and production costs will continue to exist.

Overall, the growth rate of China's textile industry in 2013 is expected to increase steadily, and it is expected to recover slowly in the second half of the year.

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