On March 7, Haoyue Nursing announced that the company will acquire the GOO.N brand baby diaper production business of Dawang Paper in China for 266 million yuan. Dawang Paper announced on March 6 that one of the reasons for the above decision was the intensified competition in the Chinese baby diaper market.
On March 12, the relevant person in charge of Haoyue Nursing responded to the reporter of Nanduwan Finance that the acquisition was due to the needs of the overall layout and development strategy of the enterprise, and the relevant brands have accumulated a large number of loyal users in the Chinese market. The announcement released by Haoyue Nursing shows that the two parties have reached a preliminary cooperation intention on the purchase of assets.
Haoyue Nursing will purchase the West District (First Factory) held by Dawang (Nantong) Living Products Co., Ltd. in Nantong, Jiangsu, including the land use rights of about 80,000 square meters, the factory building area of about 70,000 square meters, and 11 baby diaper production-related equipment. Haoyue Nursing said that the acquisition was made based on the good capacity utilization of the company's existing infant product equipment, the needs of the company's overall layout and development strategy, and the needs of new product research and development and new sales channel expansion. It will make full use of the existing equipment and facilities of the target object, reserve sufficient space for future business development, optimize existing business, and help form a new profit growth point for the listed company, enhance the company's sustainable operation ability and comprehensive competitiveness.
