From this year onwards, the bus shares will completely withdraw from the competition of the local bus industry, transform into an auto parts manufacturing enterprise, and its bus assets will also become government subsidized operating assets after the divestiture. The bus reorganization plan was finally passed The reorganization plan of the bus shares was finally approved by the China Securities Regulatory Commission at the end of 2008. The Shanghai State-owned Assets Supervision and Administration Commission (SASAC) transferred 387.12 million shares of bus shares held by Shanghai Jiushi Company and 72.3631 million shares of bus stocks held by Shanghai Investment. The total of 410.14 million shares was transferred to SAIC Motor at no cost. At the same time, the shares of the bus group, SAIC Motor, issued 1.15 billion shares at a price of 7.67 yuan per share to purchase assets and liabilities that it owns for the independent supply of auto parts business. As a result, SAIC Motor will hold approximately 1.56 billion shares of the bus shares, which represents 60.10% of the total share capital, becoming a controlling shareholder. On the other hand, SAIC Motor will also own three local listed companies: Shanghai Bus (600104) and Shanghai Diesel (600841). After the reorganization is completed, the bus shares will achieve the overall transformation of the main business from the bus passenger service, taxi passenger service, long-distance passenger service and logistics leasing business to the independent supply of auto parts R&D, production and sales business. The independent supply of auto parts business is completely market-oriented and does not rely on the policies and support of SAIC Group or the government. “The industry of parts and components is actually facing two markets. The first is the vehicle market. This one is developing with the sales volume of whole vehicles. There is also an after-sales market. That is, these vehicles are now maintained. All of them have to be repaired and have certain parts replacement requirements. This stock will change,†said Hong Renchu, Chairman of the Bus Co., Ltd. “From a cyclical perspective, the vehicle’s response may be more pronounced, and zero Part of the parts will indeed be affected by the sales volume of the entire vehicle, but there is also a huge stock, that is to say, there must be a large number of needs for replacement and maintenance in the middle of actual use. Taxi who is worth the wait It is understood that SAIC’s parts and components assets mainly include 25 parts and components companies, including Shanghai Sanke Bellow Automotive Air Conditioning Co., Ltd., Shanghai Natietsu Driveshaft Co., Ltd., and Shanghai Industrial Communication Electric Co., Ltd. These companies are profitable. They are maintained between 80 million yuan and 100 million yuan each year. In 2006, SAIC's parts and components business achieved sales of nearly 20 billion yuan. At the end of 2006, SAIC Motor Group injected a total of RMB 19 billion worth of vehicle assets into SAIC Motor (600104), which enabled the overall listing of the entire vehicle and its closely related parts and components assets. At the same time, the replacement parts business remained. Group company. For several years, SAIC has also been looking for suitable shell resources. However, in the deteriorating environment of the automotive industry, whether auto parts manufacturing can bring good prospects to the bus shares, the market will wait and see. In addition, with the completion of the reorganization of the bus shares, the Shanghai SASAC's integration of bus passengers, taxis, and other assets that have been divested from bus shares will become another focus of the market. For the two leading players in the Shanghai taxi industry - Johnson & Johnson Holdings (600662) and Mass Transit (600611), it is worthwhile to expect that more than 6,500 taxis will be allocated to Jiushi Company. The reform of the complementary public transport system in Shanghai will also attract much attention. Atmospheric Flat Bottom Storage Tank, VPSA Oxygen Plant, Microbulk Storage Tank , https://www.doercryo.com