SHANGHAI :
Architectural Design Firm Cendes to Acquire Cross-Border E-Commerce Group Sellmore for USD160 Million
Dou Shicong
DATE:  Nov 30 2017
/ SOURCE:  Yicai
Architectural Design Firm Cendes to Acquire Cross-Border E-Commerce Group Sellmore for USD160 Million Architectural Design Firm Cendes to Acquire Cross-Border E-Commerce Group Sellmore for USD160 Million

(Yicai Global) Nov. 30 -- Cendes Co. [SHE: 300492], an architectural design firm headquartered in Chengdu in China's western Sichuan province, plans to acquire cross-border e-commerce company Shenzhen Sellmore Electronic Commerce Co. for CNY1.1 billion (USD166.4 million) in order to improve its business structure and profitability, the company said in a press briefing yesterday.

The company will pay CNY440 million in cash and issue 16.03 million shares to Sellmore shareholders at a price of CNY41.16 per share. Cendes' share price was CNY45.98 per share at yesterday's close.

Cendes also plans to raise CNY584 million in matching funds through the non-public issuance to cover the costs of the transaction, as well as investment in Sellmore's modern supply chain construction, big data analysis platform and automated management system project.

Sellmore, founded in 2015, currently employs 400 people. It specializes in cross-border e-commerce for the export of electronic components, apparel, accessories, and creative home and outdoor products. In recent years, the company has sold various types of merchandise to many parts of the world through e-commerce platforms including eBay Inc. [NASDAQ:EBAY], Amazon.com Inc. [NASDAQ:AMZN] and AliExpress of Alibaba Group Holdings Ltd. [NYSE:NBABA].

Cendes primarily provides architectural design services to real estate developers. The sector's profit level is highly correlated with the real estate industry, which may be affected by state macro-control policies, the company said, adding that through the acquisition of the cross-border e-commerce group, the company is expected to improve its existing business structure and reduce its reliance on the real estate industry.

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Keywords:   Cendes,Sellmore,Cross-Border E-Commerce,EBay,Amazon.com,AliExpress