Guangmo Group - Valuation of Equity in Wuyang Bicycle Company
Company overview
Guangmo Group Co., Ltd. (referred to as Guangmo Company) was established on July 4, 1992, and is a wholly-owned subsidiary of Guangzhou Automotive Industry Group Co., Ltd. The company previously operated under the name Guangzhou Motorcycle Group Corporation and owns several well-recognized brands nationwide, including the "Wuyang" and "Wuyang-Honda" motorcycle brands, the "Huazhong" sewing machine brand, and the "Wuyang" bicycle brand. It has won over 100 awards at the national, light industry, mechanical engineering, and provincial and municipal levels, and is one of the most influential comprehensive mechanical manufacturing enterprises in the South China region...
Research background
In response to the State-owned Assets Supervision and Administration Commission's requirements for standardization and transparency in asset management and equity transfer operations, the Guangmo Group plans to proceed with the equity transfer of Wuyang Bicycle Co., Ltd. To scientifically assess the actual market application and market value of the "Wuyang" bicycle trademark nationwide, a systematic investigation is urgently needed to obtain core data on trademark licensing usage, actual product sales, and contract performance. This information will serve as the basis for evaluating brand value and subsequent asset disposal decisions.
Research scope
In August 2018, CEIDEA Research was commissioned by Guangmo Group Co., Ltd. to conduct a specialized investigation into the licensing and market application status of the Wuyang bicycle brand. The research was conducted through three interlinked directions: Direction One, "from general to specific," involved obtaining trademark licensing documentation from Wuyang Bicycle Co., Ltd., including detailed contracts, authorized regions, product categories, licensing periods, trademark usage fees, electric bicycle certification records, and print quantities, to establish a complete and comprehensive chain of licensing information; Direction Two, "from specific to general," involved field visits to key markets across the country through professional channels and analysis of online platforms to identify actual sold products, manufacturers, and their corresponding licensing relationships, collecting product samples and verifying certification and brand usage status; Direction Three, "model-based estimation," involved constructing a multi-factor model based on the time-series data and regional sales performance to reasonably estimate and validate total sales from 2009 to 2018, as well as sales in certain unknown regions. These three approaches mutually verified and supplemented each other, enhancing the accuracy and completeness of the data.
Expected outcomes
This research will comprehensively reconstruct the actual usage and sales conditions of the Wuyang bicycle brand across the market, clearly map out the trademark licensing network and related contract performance status, and, through scientific modeling, derive reliable and verified sales data over recent years. The findings will provide solid, credible data support for Guangmo Group's subsequent decisions on brand value assessment, asset liquidation, and equity transfer, helping the company achieve efficient management and optimized allocation of state-owned assets.
Scan to add our research consultant