Update: Red Star Macalline fails to acquire JSWB-JJGLE.COM

Update: Red Star Macalline fails to acquire JSWB

Both Red Star Macalline and JSWB officially announced on May 22 that during the execution of the acquisition, they decided to switch from “wholly acquisition” to “brand strategy co-operation”.

Both Red Star Macalline and JSWB officially announced on May 22 that during the execution of the acquisition, they decided to switch from “wholly acquisition” to “brand strategy co-operation”. That is, with the payment of half billion yuan, Red Star Macalline is authorized to use the brand name of JSWB to develop new furniture malls, and JSWB will keep on operating the malls in Changchun, Shanghai and Guangzhou.

In February the both companies had unveiled an agreement of wholly acquisition by 2.2 billion yuan, which could be the largest acquisition case in China furniture industry. There is comment saying that in the crucial stage of going public, Red Star Maccalline is more cautious in the handling the cash flow.

Red Star Macalline

JSWB

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