On October 18th, Jiangsu Leili issued an announcement that the company and the Lu’an Economic and Technological Development Zone Management Committee (signed an investment agreement, the company plans to establish a holding subsidiary in the Lu’an Economic and Technological Development Zone to invest 550 million yuan to build a “new energy vehicle core” “Parts production base” project.
It is worth mentioning that, as of the announcement date, Jiangsu Leili and its holding subsidiaries’ cumulative foreign investment totaled 737 million yuan, which reached more than 10% of the company’s most recent audited net assets, and the absolute amount exceeded 10 million yuan.
Jiangsu Leili said that this project is to take advantage of the company’s scientific research, production and market channels to build a new energy vehicle core parts production base on the basis of the existing auto parts business, expand the company’s business layout, and expand and strengthen new energy. Auto parts sector.
It is reported that leading companies such as CATL and Guoxuan Hi-Tech are currently developing photovoltaic base station and energy storage products. CATL’s energy storage thermal management suppliers include Shanghai International Air Conditioning and Shanghai Songzhi Co., Ltd., and Raleigh is the two companies mentioned above. The exclusive supplier of water pumps.
550 million investment in the construction of new energy auto parts project
According to the data, Lu’an Economic and Technological Development Zone is located in the eastern part of the downtown area of Lu’an, Anhui Province, and is a national-level economic and technological development zone.
Jiangsu Leili believes that if the project is successfully implemented, it will have a positive impact on the company’s automotive business segment layout and promote the company’s long-term development. At the same time, the company can enjoy local preferential policies for investment promotion, which will help improve the company’s future operating performance.
The total investment of the project is 550 million yuan, of which the fixed asset investment is about 350 million yuan, and the investment intensity per mu is not less than 3 million yuan. The project covers a total area of about 100 acres, located in the north of Liu’an Road and west of Jiude Road in Lu’an Economic and Technological Development Zone.
The announcement shows that the project will build a new energy vehicle core component production base, including the production of drive motors, electric scroll compressors, new energy vehicle precision aluminum die-casting parts and stamping parts; new energy OBC controller assembly, industrial automatic control Product items such as the engine assembly. After the project is fully completed, the annual sales income will be about 700 million yuan, and the annual tax will not be less than 30 million yuan.
The Changjiang Business Daily reporter noted that in the field of automotive motors and parts, Jiangsu Leili is aiming at the development trend of electronic and lightweight automotive parts, and is cooperating with high-quality customers such as Yutong, Kinglong, Jinkang, Elsie, and Caseku. Based on the foundation, it has successfully entered the aluminum die-casting industry for new energy vehicles. In the first half of this year, it has established strategic partnerships with Miele, Shanghai Highly and Decos.
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In fact, at the beginning, Jiangsu Leili was not a “professional household” of new energy auto parts.
According to public information, Jiangsu Leili was established in 1993 and began to produce stepper motors. It was successfully listed in 2017. It is a global leader in the manufacturing industry of micro-motors and intelligent components for household appliances. Its air-conditioning micro-motors and washing machine drain pumps are globally available. The market share of the company reached 40% and 20% respectively.
However, as the downstream home appliance industry has entered a mature stage, demand growth has slowed down. Therefore, in recent years, Jiangsu Leili Company has continued to broaden the company’s industrial chain through external mergers and acquisitions.
In 2019, Jiangsu Leili expanded the application field of medical and health motors through the acquisition of Changzhou Dingzhi Technology Co., Ltd. In 2020, the company invested 30 million yuan in Luoyuan Intelligent Technology Co., Ltd. to obtain 23.08% of the equity, and further increased the industrial layout of high-efficiency and precise servo motors and servo systems. In 2021, the company acquired Kaistin Precision Die Casting Co., Ltd.
Today, Jiangsu Leili focuses on the development of electronic water pump products in the new energy commercial vehicle market. With the company’s market popularity, the company’s electronic water pump has reached 25%-30% of the domestic new energy commercial vehicle market, and it has entered Ningde. Times energy storage system supply chain.
From the perspective of performance, from 2017 to 2020, Jiangsu Leili achieved revenues of 2.023 billion yuan, 2.249 billion yuan, 2.25 billion yuan, 2.422 billion yuan, and net profits of 218 million yuan, 200 million yuan, 230 million yuan, and 2.73 billion yuan. 100 million yuan.
In 2021, due to the company’s continuous expansion of the industrial chain, in the field of new energy vehicles and parts and components, Jiangsu Leili Automobile’s sales of precision stamping parts, aluminum die-casting parts and electronic water pumps increased by 37.4% year-on-year, reaching 88,970,700 yuan; in the medical field and sports health Sales revenue in the field increased sharply by 164.66% year-on-year, reaching 163 million yuan. In the first half of the year, revenue was 1.454 billion yuan and net profit was 162 million yuan.