On January 17, Red Star Macalline Group Corporation Ltd. (hereinafter referred to as “Red Star Macalline”) has been listed in Shanghai Stock Exchange, officially landed on A-share capital market and become the first A+H shares in the home furnishing retail industry in China.

Red Star Macalline has issued 315 million shares this time at the issue price of RMB 10.23 per share with the IPO P/E ratio of 19.44 times. The general capital after the issuance is 3,938,917,038 shares. The opening price is RMB 12.28, which surges by 43.99% after opening and then suspends, and the final price is RMB 14.73.

As shown in the prospectus, Red Star Macalline has operated 214 malls in 150 cities of 28 provinces in China by June 30, 2017. The total operation area is about 13,296,491m2 with more than 19,000 product brands in the mall brand base.

From January to September of 2017, the company achieved the operating income of RMB 7.722 billion, with a year-on-year increase of 12.91%; The net profits attributable to parent company after the deduction of non-recurring profit and loss are RMB 1.724 billion with a year-on-year increase of 8.49%.

Red Star Macalline explains that the operating income increase is mainly due to the increases in rental and management fee income from the self-owned/leased malls and those under entrusted management. Within the reporting period, Red Star Macalline has newly increased 14 malls with the operation area increase of 604,000m2 and 8 new cities covered. In which, the proprietary malls are increased by 3 malls to 69 malls, and the malls under the entrusted management increased by 11 malls to 145 malls.

(Source:jiagle.com)