The inflection point of the hottest lighting indus

The inflection point of the lighting industry emerged. Dehao Runda's card layout Mini led

on the evening of October 16, Dehao Runda announced that it would continue to promote the asset restructuring with Rex lighting, which has been a major restructuring of the lighting industry for nearly four months

according to the announcement released by Dehao Runda on the evening of June 29, Dehao Runda will jointly acquire 70% equity of Rexroth optoelectronics with strategic investors, and will issue a total of 640million shares based on 4.36 yuan/share. At the same time, Dehao Runda acquired the remaining 30% equity of Rexroth optoelectronics with the funds raised from the market. The estimated allocation price is 6 yuan/share, and a total of 940 million shares were raised this time

in recent months, new technology development and industrial changes have continued. Dehuorunda's exploration of the future path does not only focus on Rex, but the acquisition of Rex is only its first step. From the perspective of the supply side of dehuorunda's main LED chip industry, at present, the production capacity of medium and low-end small factories is rapidly cleared. With the international giants gradually giving up the traditional LED lighting business, the demand side moves to the high-end as a whole, and micro/mini led opens a new space for growth. At that time, the transfer of production capacity will benefit the LED leader, and dehuorunda, who masters the whole industry chain and leading technology, is expected to benefit fully

upstream

new focus of business demand

since micro/mini led was unveiled at the 2018 International Consumer Electronics Show (CES), it has received great attention and is more respected as the next generation of display technology. In fact, many enterprises in the industry have been working in this new field for a long time

in essence, like micro led and mini led, they are small spacing LED technology based on tiny LED crystal particles as pixel light-emitting points. By comparing the main display indicators of physical stitching, brightness, saturation, power consumption, life and environmental adaptability, it can be found that it does have advantages in display effect

with the continuous progress and breakthrough of technology, China's small spacing LED display enterprises, represented by Dehao Runda, lyade, Zhouming, etc., have not only been far ahead of the industry in volume, but also have great advantages in technology

de haorunda has been deeply engaged in flip chip technology for many years. Wang Donglei, the leader, said in a media interview that as display backlight and next-generation display technology, mini led and micro LED are flip chips, while rubber vibration reduction and isolation support is not a positive chip, so flip chip is the future and the direction

over the years, Dehao Runda has continuously invested in research and development in the flip chip field, laying a solid foundation for users of small spacing LEDs who are willing to bear the mass production of the traditional PC control system. With the rapid penetration of domestic and global LED industry with small spacing, dehuorunda has seized a new explosive point

according to AVC's prediction, the domestic small spacing LED market space in 2018 will be 12.64 billion yuan, and the global market space will be 47.672 billion yuan; In 2020, it is estimated that the domestic small spacing LED market space will reach 24.314 billion yuan, and the global market space will be 86.456 billion yuan. In, the domestic small spacing led CAGR reached 38.70%, and the global CAGR was 34.67%. The industry maintained a compound annual growth rate of more than 30%, rapidly replacing the rear projection and projection display markets

of course, due to the high threshold and technical barriers of micro led, major manufacturers regard Mini LED as the outpost of micro led

it is understood that the mini led ultra precision spacing display developed by Dehao devices has completed p1.25 and p0.95 versions respectively. Through the precise flip process, the light-emitting area of RGB integration can be reduced by 4 The training and maintenance of the product are 0.6mm and 0.5mm frameless units, which have better material stability and image presentation. The product of this specification is set to be promoted on a large scale in the fourth quarter of this year. P0.75 and p0.63 products are in the stage of R & D and design, and are planned to be promoted in 2019

in the long run, as Wang Donglei said, the explosion point of the future growth of LED chips must be mini and micro LEDs. Short term pain and capital investment support the rapid shipment of products in the future to seize the market. In the process of industrial upgrading, the R & D resources and strength accumulated by Dehao Runda for many years have become the guarantee of its future investment value

downstream

industry integration ambition and expectation

in terms of R & D, production and commercial operation, dehuorunda has made solid progress step by step

according to the latest 2018 interim report released on August 30, Dehao Runda's operating revenue was 1.86 billion yuan, a year-on-year decrease of 3.23%. The net profit attributable to shareholders of listed companies was 2011.1 million yuan, with a year-on-year increase of 129.68%

in the first half of the year, the restructuring target company Rex lighting achieved a revenue of 1.974 billion yuan, a year-on-year increase of 3.4%, and a net profit of 91.85 million yuan, a year-on-year increase of 38.0%

in the few years since taking charge of Rex's business activities, Rex's product line has expanded to wall switches and sockets, power connections and extensible products, and has fully taken charge of major e-commerce platforms. After long-term maintenance and market accumulation, the channel barrier has become higher

with the expansion of the company's scale, the overall structure of Rexroth lighting is more complex. At the same time, Dehao Runda's organizational reform improves its ability to deal with the market

recently, de haorunda announced that the company completed the election of the sixth board of directors on October 8, Wang Sheng was appointed chairman of the sixth board of directors, and Mr. lihuating was appointed Vice Chairman and general manager of the company. In order to ensure the normal work of the board of directors, before appointing a new secretary of the board of directors, the board of directors designated Li Huating to perform the duties of secretary of the board of directors on behalf of him. In addition, the organizational personnel of the company's management have also undergone a new round of turnover to escort the long-term development of the company

in the past few years of the integration of Dehao Runda and Rexroth lighting, both sides have taken the lead in brand building, reputation and popularity, leading the layout of channel points, actively sinking in third and fourth tier cities, and continuously improving market share

Tianfeng Securities believes that with the withdrawal of the four major foreign lighting giants, domestic leading enterprises are expected to quickly seize the market share left by overseas giants by virtue of their channel and brand advantages. In the past, international giants Philips, OSRAM, GE and hiwan once monopolized about 70% of the global lighting industry. The four giants mainly produced traditional lighting products, and the impact test cost of converting electrical majors in the wave of LED replacement is high. In addition to the geographical advantages of domestic brand channels, foreign and domestic manufacturers have great competitive pressure, so it shows the trend of exiting the general lighting market

if domestic enterprises expand production capacity and release it gradually according to the progress, it will intensify the LED lighting competition in the middle and low-end fields. Whether it is the layout of new high-end areas of mini LED or the integration of Rex assets, Dehao Runda continues to superimpose its own advantages to form the basis for the integration of small and medium-sized enterprises

the scale of China's LED lighting market is more than 500billion yuan, and the scale of general lighting is more than 200billion yuan. The industry concentration is very low, and the number of leading industry shares is less than 5%. The industry believes that affected by this, the tide of lighting integration will accelerate the removal of old production capacity, and leading enterprises represented by Dehao Runda will take this opportunity to improve the industry concentration and reach the high point of the new industrial cycle