Zhitong Financial APP learned that property management stocks fell significantly during the day, with the sector index hitting a new low for the year. CITIC said that the cooling of the M & A market in the property management industry is a warning to the blind pursuit of property management rights, and also shows that property management rights itself is not a good asset. As of press time, Sunac Services (01516) fell 9.44% to HK $7.48; Hyatt Services Group (02165) fell 5.50% to HK $3.78; elegant living Services (03319) fell 4.90% to HK $13.98; Xuhui Yongsheng Services (01995) fell 4.72% to HK $11.72; Country Garden Services Holdings (06098) fell 4.10% to HK $45.60.
This week, CITIC analyzed the cooling of the M & A market in the property management industry. The cooling of the M & A market is later than the decline in secondary market valuations, but the cooling is still a trend, the report said. This is a warning to the blind pursuit of property management rights. It also shows that the property management right itself is not a good asset, only the middle and back-end systems that can bring economies of scale, value-added service system, influential brands, are worthy of investors' favor.
The report also pointed out that the credit of real estate enterprises is stable, and it will not cause the property management M & A market to heat up. We believe that small businesses will gradually change from "want me to sell" to "I want to sell". We believe that the decline in M & A consideration will not reduce the willingness of small and medium-sized property management enterprises to sell their companies, but may accelerate the transfer of shares in small property management companies.