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Golden Kitchen & Home Technology Co., Ltd. disclosed in the evening of November 2 that it had increased its investment in 493,913,000 shares of Xiamen Delmei Sanitary Ware Co. After this capital increase, Golden cabinets accounted for 8% of the equity of Delmei bathroom.

The legal representative of Xiamen Delmei Sanitary Ware Co. Its registered capital is 5,680,000 yuan (the proposed capital increase to 6,173,913,000 yuan), was established on August 18, 2003. Its business scope is to engage in the design, development and manufacture of various shower terminals. It is also recognized as a specialized and special new enterprise by Xiamen City.

According to the announcement, Party A will pay the entire investment amount of RMB17.6 million to Party C’s account within 20 working days after the preconditions for delivery are met and the relevant documents are received. Party C will become the shareholder of Party C on the date of payment of the full investment amount.

Golden Kitchen Cabinet said that the subject company of this investment (Delmei Sanitary Ware) is an enterprise focusing on the research and development, famolavolana, production and sales of kitchen and bathroom products such as faucets and showers. It has a national product laboratory and industry-leading intelligent manufacturing level, and its products have been recognized by well-known brands at home and abroad. The bathroom balcony business is a new category for the company. Through the investment in Delmei bathroom, it is beneficial to: 1) stabilize the upstream supply chain of faucet and flower sun as single products in kitchen and bathroom space, and further enhance the supporting sales of single products such as faucet and shower. 2) promote the in-depth cooperation between the two sides in the dimensions of smart washing, smart shower and industrial automation, and also seek common development in new product definition, new technology development and new scene application, with a view to developing industry-leading 3) complement each other’s advantages in domestic and overseas sales channels to develop new sales channels and achieve win-win cooperation between the two sides.

In recent years, the listed home furnishing companies in the bathroom category expansion of M & A targets focused on the Xiamen bathroom company. Ohatra, Solux previously sought strategic investment in intelligent sanitary ware companies, and finally chose Xiamen BGT Group. Whether the core competitiveness brought about by the industrial characteristics of Xiamen has become the advantage that regional companies have, the follow-up is worthy of attention.