NVC supply system suspends delivery for one week, peers "poach" NVC channels

The impact of the internal strife on NVC Lighting (02222.HK, hereinafter referred to as "NVC") has extended from the production system to the supply and sales system. A reporter from China Business News learned yesterday that due to tightened control over the financial system, NVC's supply system had suspended delivery for a week, and dealers began to worry about subsequent supply. 　 And peers have also begun to "take advantage of the situation." Qinshang Optoelectronics, a well-known domestic LED lighting company that is eager to expand the downstream terminal market, has released "poaching" information in the circle through WeChat, hoping to recruit NVC sales backbones and dealers. 　Although Wu Changjiang [Weibo] announced that he would report Dehao Runda (002005.SZ), how to make NVC operate smoothly and allow the supply and distribution system of NVC to develop healthily is the biggest challenge currently faced by NVC Chairman and Interim CEO Wang Donglei. 　Suppliers are also "injured" A core supplier of NVC told this reporter that after Wang Donglei took over as interim CEO of NVC on August 8, NVC strengthened the approval process, and the payment for goods from some large suppliers was not paid in time on Monday (18th). "NVC has verbally informed us that delivery will be suspended for one week and the process will be sorted out internally." "Currently, the goods cannot be delivered and the money cannot be issued." The NVC supplier said, "Originally, NVC's finances have been controlled by CFO Tan Ying, that is, Yan Yan, a partner of SAIF Investment Fund [Weibo]. Now that Wang Donglei has taken over, management must be further strengthened. "　 Since Wu Changyong, Mu Yu, and Wang Minghua, several NVC vice presidents have been dismissed, "some people below have left, which has affected the normal operation of the system." This NVC supplier said that for example, when paying suppliers, the purchasing department needs to sign, but some positions now have no one to sign. "We can understand that Wang Donglei also wants to settle everyone down and doesn't want a fire in the backyard, but there are still some problems with the actual operation." The supplier revealed that NVC’s order for next week has not been issued, which will affect the next delivery. "Dealers are also anxious now. Although there is inventory, NVC's goods are rolling out quickly. Now that the supplier has suspended delivery, it will directly affect NVC's re-delivery." 　 Moreover, NVC's Chongqing Wanzhou base continues to be suspended. How to ensure the supply of goods is a headache for NVC dealers. 　 Peers "poach" NVC channels 　 In the fiercely competitive lighting market, channels are the focus of competition, and NVC has given peers the opportunity to take advantage of the opportunity. 　 Recently, an article "Take advantage of Lei Shi's illness and kill Lei Shi" has been circulated in the lighting industry circles! 》 article, this is an internal speech by Qinshang Optoelectronics executives on August 11. The topic is "Declaring War on Traditional Lighting Channels." The above-mentioned article points out that in the era of energy-saving lamps, the combined market share of NVC, Opple, and Sanxiong is only 5% to 6%. With the advent of the LED era, the lighting market is now even more chaotic than in the era of energy-saving lamps. It is said that there are 8,000 branded manufacturers and hundreds of thousands of various dealers, agents, distributors, and engineers; there are no standards for products, and terminal prices vary widely. The market for LED lighting to replace traditional lighting is huge. There are about 60 million to 100 million outdoor lighting in China, not counting indoor lighting, office buildings, shopping malls, schools, hospitals, etc. It will take about 5 years to completely replace this huge existing market, so channels are king. As an emerging LED lighting company, Qinshang Optoelectronics’ shortcomings are channels. "With the quarrel between NVC and Dehao, the chances are even greater." A senior executive of Qinshang Optoelectronics said, "Part of NVC's dealers will follow Wang Donglei, some will follow Wu Changjiang, and some will leak out; it is said that the bosses of NVC's various departments and those above the director level have been fired by Wang Donglei." "These talents and dealers are a big pie from the sky to Qinshang." "Hurry up and pull these people into Qinshang's camp, and do it at all costs." 　 Wu Changjiang wants Radhao to "take action" 　 On August 28, NVC will hold an extraordinary shareholders' meeting to consider the resolution to remove Wu Changjiang as executive director. 　 Faced with the possibility of being kicked out by NVC’s board of directors, Wu Changjiang, founder and former CEO of NVC, wanted to “fight to the death”. He said on Weibo yesterday that he planned to report Dehao Runda's many violations to the relevant departments as a second shareholder. 　However, an insider of Dehao Runda had a calm attitude and told a reporter from China Business News: "If he (referring to Wu Changjiang) reported it, he would just report it. We have nothing to do with it." For Wang Donglei, founder of Dehao Runda and chairman of Dehao Runda and NVC, stabilizing NVC is the top priority. 　 The above-mentioned NVC supplier said that it is difficult to tell who is right and who is wrong, but it is a pity that NVC has once again been dragged down by internal fighting. Wu Changjiang grew up in the past era, and inevitably had a reckless temperament. It was his unique model to produce NVC products outsourced and focus on strengthening channels. After Wang Donglei takes over, after all, making LED chips is different from terminal products. It remains to be seen whether the NVC system can operate normally.