Behind the acquisition of abortion overseas: 85%revenue depends on overseas, affecting geometry?

Zhongxin Jingwei, September 19th (Wang Yuling) On the evening of the 18th, Kailei disclosed that it would terminate the acquisition of Snapdragon, a foreign company. Kai Laiying said that due to regulatory reasons, Kai Laiying and Snapdragon could not reach an agreement on the future development planning planning and corresponding measures, and decided to terminate the acquisition transaction.

Some experts analyzed that the reason why Kailey's failure to acquire overseas this time or is related to an administrative order issued by the Bayeng government recently. So, the influence of Kailaiying's overseas acquisition of the company and the industry?

Or related to the previous biotechnology administrative command

On February 11, 2022, Kaile British reached a merger agreement with Snapdragon to acquire Snapdragon with its own funds of about 57.94 million US dollars through the merger. %Holdings.

According to previous announcements, Snapdragon is a CDMO (editor's Note: R & D and production outsourcing organization). It is committed to the research, development and industrial application of the continuity of innovative drugs and drugs for the production of disruptive technology. Provide innovative drugs for continuous reaction production of route development, design and technology optimization services.

Kailaiying said that after the acquisition is completed, Snapdragon will become Kailee's overseas R & D platform. At the same time, Snapdragon will also coordinate with the Kailei British R & D Center to shorten the radius of overseas BIOTECH customer service.

However, after the acquisition was terminated, Kai Laiying only stated in the report that it was the cause of supervision and did not specify it. Xue Hongyan, deputy dean of the Star Financial Research Institute, believes that in the near future, as the US policy has shifted, the merger and acquisition of this merger is reasonable. A good time for biomedical companies.

Zhongxin Jingwei noticed that the US White House official website updated a government administrative order on September 12, local time to promote national biotechnology and biological manufacturing initiatives.

Everbright Securities wrote that this is a measure to solve the hollowization of industrial and maintain a high -tech leading position. The core is to ensure the economic benefits brought about by the biological industry and the unstable supply of supply chain unstable.

Xie Qinqi analyzed by the Advisor of Jufeng Investment Counseling said that the signing of the administrative order should be the reason why Kailey Ying's failure of this overseas acquisition is more direct. Technical protection barriers to prevent patent outflows, especially Chinese companies' restrictions, more restrictions. many.

"This situation is difficult to improve in the short term, and the business of CXO companies in my country rely on overseas markets, which makes it difficult for future prospects." Xie Login said.

Overseas business accounts for over 85%

On the impact of the incident on the company's operations, Zhongxin Jingwei sent a letter to Kai Lai Ying, and the other party did not respond.

According to the Kaile British Daily, its main revenue relies on overseas. In the first half of 2022, the operating income of Kailai British China was 691 million yuan, an increase of 261.55%year -on -year; the operating income of foreign countries (including Asian regions including North America, Europe, and mainland China) was 4.346 billion yuan, a year -on -year increase of 176.98% Essence Based on this calculation, Kailai Britain's foreign operating income accounted for more than 85%.

In the risk reminder, Kailee said that the current company's market is basically facing overseas customers, while American subsidiaries AINC and British subsidiary ALTD are established to open up the international market and provide various services and information collection for overseas customers. However, due to the different operating environment, legal policies, and social culture of different countries or regions, the overseas business of enterprises involves a wide range of scope and will develop new international markets in the future. , Disputes or other potential losses.

According to AVIC Securities, North America is an important customer base for Chinese CXO companies. Chinese CXO companies, such as Yaoming Kangde and Kailei, account for a high proportion of overseas business. For American companies, it is not easy to break the high -viscosity link established for a long time, and it does not meet the interests of American companies and even the entire industry.

Xue Hongyan said that from the perspective of the influence, Kailey's deep cultivation of the small molecule CDMO business for more than 20 years, and the termination of this merger has limited impact on the company's actual business. However, from the market emotional point of view, the termination of this merger may exacerbate the market's pessimistic expectations of the Chinese CXO industry to expand the international market, and affect the market performance of the sector in the short term.

Xie Login analyzes the Chinese and Singapore Jingwei. For the overseas layout of CXO, it is recommended that related enterprises can consider shrinking the business of overseas layout or slowing their steps, and the situation will be clearer and then further intended to make further plans.

(For more report clues, please contact Wang Yuling, the author of this article: [email protected]) (Zhongxin Jingwei APP)

(The views in the article are for reference only, do not constitute investment suggestions, have risks in investment, and need to be cautious to enter the market.)

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Editor in charge: Li Zhongyuan

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