Sina Technology News, May 15 afternoon news, Red Star Macalline (601828.SH) announced that the company's controlling shareholder Red Star Holdings successfully issued exchangeable bonds, was fully subscribed by Alibaba for RMB 4.359 billion. After the exchange of debts, Ali will receive A shares of Red Star Macalline in the total share capital of approximately 10%. At the same time, Alibaba acquired a 3.7% stake in Red Star Macalline in Hong Kong stocks.
Red Star Macalline is the leading domestic home decoration and furniture mall operator. As of the end of the first quarter of 2019, Red Star Macalline operated 81 self-operated shopping malls and 230 commissioned shopping malls, covering 199 cities in 29 provincial-level administrative regions. At the same time, 24 franchise stores were authorized to operate in franchise, totaling 364 home shopping malls.
For this investment, Ali responded that the announcement of Red Star Macalline will prevail.
In February 2018, Ali announced that it had reached a new retail strategic cooperation with the Real Home. Ali and related investment companies actually invested 5.453 billion yuan and held 15% of the shares.
At that time, some insiders pointed out that after the actual home and Ali cooperation, Red Star Macalline is eager to need an Internet giant to assist the "digital traffic" era.
After 15 months, Red Star Macalline held Alibaba in hand and was fully subscribed by Alibaba for RMB 4,459.4 million.
Some analysts believe that acquiring new traffic and new users is urgently needed in traditional home stores including Red Star Macalline. At present, Taobao Tmall has nearly 700 million monthly users, which can bring huge online traffic to traditional furniture stores.
At present, the two sides have not announced specific cooperation plans. It is foreseeable that Red Star Macalline will open a membership, merchandise, payment and other systems with Ali in order to carry traffic on the line. (Han Dapeng)