On the evening of September 1, Yuantong Express announced that in order to further strengthen the bond of capital cooperation between the company and Alibaba Group, and to enhance the two sides' customer service capacity and globalization comprehensive service capacity, the company's controlling shareholder Jiao Long Group, as well as Yu Huijiao, Zhang Xiaojuan, and Alibaba Group within the company's Alibaba network signed a "share transfer agreement", intended to be 17.406 yuan/share to the Alibaba network to transfer 379 million shares, the transfer price totaled 6.6 billion yuan. The transfer of 379 million shares, the transfer price totaled 6.6 billion yuan, accounting for 12% of the total number of shares of Yuantong Express.

After the completion of the transfer, Jiao Long Group, Yu Huijiao, Zhang Xiaojuan, Shanghai Yuanding still hold a total of 1.316 billion shares of the company, accounting for 41.65% of the total number of shares of the company, Jiao Long Group is still the controlling shareholder of the company, Yu Huijiao, Zhang Xiaojuan, is still the de facto controller of the company.

Ali Network and Ali Venture Capital, Cainiao Supply Chain are all Alibaba Group companies, for the concerted action, the total holdings of Yuantong Express 711 million shares, accounting for 22.5% of the total number of shares of the company, for the second largest shareholder.

Ali 6.6 billion yuan to increase the 12% stake in Yuantong

As early as 2005, Yuantong is the first access to Taobao franchise system courier service providers, then Yuantong business volume also due to the "Taobao package mail" surge.

Yuan Tong accepted Ali's investment in 2015, only later than Ali's investment in the field of logistics to Best. 2015 May, Ali announced that Yunfeng Fund for strategic investment in Yuan Tong. 2016 Yuan Tong Express completed the shell listing, 2016 Yuan Tong Express annual report shows that Alibaba's Alibaba Venture Capital holds about 11.09% of the shares of the Yuan Tong Express, the Yunfeng Fund's Yunfeng New Venture. Yunfeng Fund's Yunfeng New Creation holds 6.43%.

As of the 2020 mid-year report, Ali Venture Capital still holds 313 million shares of Yuantong Express, the proportion of shares 9.89%, did not reduce the shares of Yuantong; Yunfeng New Venture shareholding fell to 105 million shares, the proportion of shares 3.33%. According to Alibaba's financial report, Cainiao supply chain holds 0.65% of the shares of Yuantong Express.

This time, Ali Network increased its stake in Yuantong Express by 12%, and Alibaba's total stake in Yuantong Express will reach 22.5%.

The announcement said that the focus of this strategic cooperation between Yuantong Express and Ali and Cainiao includes globalization and digitalization.

In terms of globalization, Yuantong currently has 12 all-cargo planes, and has been y involved in the operation of the Cainiao global parcel network since the epidemic, flying Cainiao's foreign trade and anti-epidemic shipments to Malaysia, Pakistan and other places. Yuantong and Cainiao in Hong Kong *** with the investment in the construction of a world-class logistics hub, is also under rapid construction.

In terms of digitization, Yuantong and Cainiao will jointly develop and operate advanced equipment for express logistics, establish intelligent logistics big data applications, and further enhance the digitization and intelligence of Yuantong's business operations.

At the same time, Alibaba said that in the future, it will further support the comprehensive development of Yuantong Express with Yu Huijiao as the chairman of the board of directors, and strengthen the cooperation in capital, industry, technology, etc., to promote the high-quality development of Yuantong Express.

Yang Daqing, a special researcher at the China Society of Logistics, said: "Ali and Yuantong have been cooperating for more than 10 years, and continued cooperation is a logical thing. Ali increased the proportion of Yuantong than the outside world previously expected to be lower, the founder of Yuantong still accounted for more than 41% of the shares, or the actual controller. This is what both Ali and Yuantong are happy to accept."

Logistics industry vertical and horizontal frequently

Not only Yuantong, as of now, China's express delivery market, several major logistics companies Shentong, Zhongtong, Best, Rhyme, behind the figure of Ali.

The first to be included in Ali's logistics ecosystem is the Best Group, which has received several rounds of investment from the Ali system before its listing, and Wind data shows that as of June 2020, Alibaba's shareholding in Best Group has increased to 33% of its total share capital.

In May 2018, Alibaba, Cainiao and others invested 1.38 billion U.S. dollars in Zhongtong Express, and Wind data shows that as of the end of March 2020, Alibaba's direct stake in Zhongtong Express was about 8.7%.

In March 2019, Shentong Express also announced that Alibaba will invest 4.66 billion yuan to indirectly hold a 14.65% stake in it, and then Alibaba signed a share option agreement with the actual controller of the company, and if all the options are exercised during the exercise period, Ali's shareholding in Shentong can reach 46%.

On April 30 this year, the 2019 annual report of Rhymex disclosed that Ali Venture Capital also appeared among the top ten shareholders of Rhymex, and currently holds 2% of the shares.

On the other hand, the layout of the Jingdong system of express logistics is also increasing.

August 14 morning, Jingdong Group announced that the company's subsidiary Jingdong Logistics will be 3 billion yuan to acquire the controlling right of China's modern comprehensive express transport enterprises specializing in "time-limited express service" across the express transport. The transaction is expected to be completed in the third quarter of 2020. The deal is expected to be completed in the third quarter of 2020, and is a strategic partnership between Jingdong Logistics and Crossing Express.

Founder Securities believes that based on the differences in e-commerce traffic, China's express delivery industry can be divided into three legions: Cainiao, Jingteng and Shunfeng. Among them, the essence of the competition between the rookie network and SF is the strategic layout of the competition, the essence of the competition with Jingdong Logistics is the competition of business flow, and Tongda is a clear division of labor and mutually beneficial partnership. In the oversized market space, the three legions have their own unique growth opportunities.