A series of “selling and selling†and “buy buying and buying†have caused concern for the old color TV company Shenzhen Konka (000016.SZ). On August 24, Shenzhen Konka announced that it intends to transfer 70% of the shares held by Kangqiao Jiacheng Company and the listed price will not be lower than 4.145 billion yuan. In addition to the semi-annual report, the loss from the main business and the negative net cash flow from operating activities have caused the outside world to think that Konka's capital chain has become tight. However, while disposing of a series of assets, Konka has implemented new capital layouts in emerging areas such as the Internet of Things and the supply chain. Liu Fengxi, Chairman of Konka's Board of Directors, previously said: “In 2015, we had a mess and we worked hard in 2016. There was a bit of room for 2017 and we had a new round of development.†Initially smoothed corporate governance. After the game, how would Konka intends to transform its holding platform to take the road outside the TV? Realize 4.5 billion funds The high price of land has become an important way for many companies to realize the realization of assets in their hands. According to the “Huaxia Times†reporter, Kangqiao Jiacheng was established by Konka and the major shareholder of Overseas Chinese Town Group Corporation with a joint venture of RMB 1 billion. It is responsible for the development of Konka’s old factory redevelopment project in the Overseas Chinese Town Area of ​​Nanshan District, Shenzhen. Among them, Konka invested 7 billion yuan to hold 70% of shares and OCT invested 3 billion yuan to hold 30%. The renovation project of Konka's old factory, which covers an area of ​​more than 37,000 square meters, is considered to contain huge commercial value. According to a reporter from the China Times, Konka and OCT had previously petitioned the court for the right to develop the land. It is worth noting that Konka did not intend to completely withdraw from this potentially lucrative real estate project. On June 29th, Konka announced that it would like to transfer 49% of its shares in Kangqiaojia City, and the listed price will not be lower than 2.9 billion yuan. However, this transfer proposal was rejected by small and medium shareholders. The new equity transfer proposal will also be reviewed again at the fourth extraordinary general meeting of shareholders held in Konka on September 11th. In fact, Konka is currently working on clearing its own set of external assets. On August 24, Konka also announced that it intends to sell the three properties located at No. 5, Lane 25, Huihe Road, Hongkou District, Shanghai on the property rights exchange. According to an inquiry by the China Times reporter, the average price per square meter of second-hand houses sold in the community was approximately RMB 64,500. Based on a rough calculation, the total construction area is 256.07 square meters of three properties and the transaction amount is about 16.51 million yuan. In addition, Konka announced in May 2017 that it had sold 22.935% of the shares of Bioray Optoelectronics (Shanghai) Co., Ltd. This part of the equity valuation is about 120 million yuan. On June 29, Konka also announced the sale of a 51% stake in Kunshan Konka Electronics Co., Ltd., and the stock listing price will not be lower than 224 million yuan. Based on a rough calculation, the disposal of the above-mentioned assets such as real estate, real estate, and equity will realize Konka’s realized capital of approximately RMB 4.5 billion. financial pressure Konka's focus on disposing of assets has caused the outside world to pay attention to its funding status. The 2017 semi-annual report released by Konka on August 24 showed signs of "tight money." The semi-annual report of 2017 shows that Konka’s current revenue of 11.4 billion yuan has increased by more than 30% year-on-year, and the net profit attributable to shareholders of listed companies of 30.87 million yuan has increased by 140.53% over the same period of last year. However, behind the growth in both revenue and profits, Konka’s main business suffered losses. After deducting non-performance, Konka's net loss to shareholders of the listed company was nearly 44.456 million yuan, down 54.7% year-on-year. In addition, the semi-annual report of net cash flow from operations of Konka Konka Group was RMB 2.264 billion, a decrease of 1703.39% from the same period last year. Konka’s current liabilities amounted to 17.317 billion yuan, an increase of 3.4 billion yuan from the beginning of the period. Hong Shibin, a senior home appliance industry observer, analyzed the “Huaxia Shibao†reporter’s report that with the increasing concentration of home appliances, scale and profit cannot be effectively supported. The enterprise must save itself and dispose of assets in a reasonable and reasonable manner. “An important reason for the decline of a company is the lack of capital flow. The cash flow becomes positive after land sales,†he told reporters. Liu Buchen, a veteran appliance industry observer, analyzed the “Huaxia Shibao†reporter and stated that the current results of Konka are caused by the past and cannot be changed in the short term. He believes that Konka's brand is too old, and management's past shocks have caused the company's strategic instability. Prior to this, Konka announced that it had completed the open and marketized recruitment of its executive team represented by President Zhou Bin in the first quarter of this year. While losses in the main business and net cash flow are negative, Konka's many investment projects require substantial capital investment. Taking Konka's old factory transformation project as an example, Konka disclosed in its semi-annual report 2017. As of the end of the reporting period, the actual amount of Konka's actual investment in the project was 1.016 billion yuan, but the progress of the project was only 14.73%. What is imminent is that the second phase of this project, with a land transfer fee of about RMB 2,064 million (including a deduction tax of approximately RMB 80 million), needs to be paid before September 19 of this year. In addition, the announcement revealed that the major non-equity investments currently under way at Konka also include the Kunzhuang Shuiyue Zhouzhuang Project, which has invested a total of 1.686 billion yuan and has a project progress rate of 57%; it has already invested a total of approximately 76.66 million yuan, and its progress is 17%. Kechuang Center project, as well as the construction of a new factory in Dongguan. However, on August 31, the person in charge of the Konka Group told the China Times reporter that Konka disposes of assets not because of financial constraints, but to optimize asset allocation and business. "Konka's funds have been relatively abundant. In addition to the multibillion-dollar bank credits, there is a 10 billion yuan entrusted loan from the major shareholder Overseas Chinese Town," he said. What does Konka want? One side is selling, selling and selling outside the main business, while the other side is buying and buying outside the main business. The now-hot IoT business has become a new layout point for Konka. Konka had previously announced the acquisition of a 24% stake in Guangdong Chutianlong Smart Card Co., Ltd. for 588 million yuan. In addition, Konka also invested 172 million yuan and held a 20% stake in the Shenzhen City Yaode Technology Co., Ltd., an upstream company in the industrial chain. Konka also announced that it is planning to invest no more than RMB 1 billion in a joint venture with China Eastern Asset Management (International) Holdings Co., Ltd. and other qualified investors to set up an industrial fund. The total size of the fund is expected to not exceed RMB 5 billion and it is planned to invest in TMT industry, smart manufacturing, new energy, new materials, and health. Konka's investment logic is not limited to home appliances. In fact, Chairman of the Board of Directors of Konka Liu Fengxi had previously stated that Konka will no longer be a color TV company, but will instead be transformed into an investment holding platform. At the same time, he stressed that the current product line and business do not meet the direction of "sell." The related person of Konka Group told the Huaxia Times reporter that apart from the color TV, the investment control platform needs to enter the Internet of Things and other strategic emerging industries, not just the home appliance industry. Konka's main revenue-generating business plan for its revenue is listed separately. The aforementioned person in charge of Konka said to the reporter of China Times that “the color TV listing is to transform from the business division to an independent company operation and more independent. It is more market-oriented from the aspects of equity setup, incentive mechanism, and operation mechanism.†According to him It is understood that the listing of television services is currently being implemented and will probably be implemented this year or next year. Konka once belonged to the first camp of television, but its current industry status has not been compared. Hong Shibin believes that black power is the most difficult part of the entire appliance business. Without performance, the cost of acquiring the upstream supply chain and the cost of the channel will be high. He believes that television has the value of visualization, interconnection, human-computer interaction and payment, but now Konka has not used these values. "With the help of an external revolution, Konka may have a chance."