Hong Kong-Listed Printer Eyes 3D Printing to Improve Financial Performance

Affected by the COVID-19 pandemic, the performance of Hong Kong-listed printing company Man Lee Printing declined, recording a net loss of HK$4.2 million in the first quarter. To seek new business development opportunities, the company announced that it plans to establish a joint venture with 3D Tribe (Shanghai) Technology Co., Ltd. to enter the 3D printing equipment and consumables manufacturing industry.

Plans to enter the 3D printing equipment and consumables industry

On July 22, Man Lee Printing issued an announcement stating that, given that the group and 3D Tribe (Shanghai) Technology jointly recognize the broad application prospects of industrial-grade FDM 3D printing technology, the two parties have entered into a joint venture cooperation memorandum and intend to set up a joint venture engaged in the R&D, manufacturing, brand promotion and market sales of 3D printing equipment, consumables and related products.

Public information shows that Man Lee Printing is one of the earliest Hong Kong-funded printing and packaging enterprises to enter the mainland market, and can currently output more than 700 sets of printing plates, 3.8 million printed sheets and 570,000 bound books per day. In addition to its book production lines, Man Lee Printing is also engaged in color box packaging, providing customers with all-round services such as design, assembly and hand binding.

3D Tribe (Shanghai) Technology was founded in 2006 and has always focused on the 3D printing business; it is a provider of PEEK 3D application solutions. As a Shanghai high-tech enterprise, 3D Tribe (Shanghai) Technology Co., Ltd. persists in independent innovation and currently owns more than 40 patents and software copyrights.

According to the memorandum, after the joint venture is established, Man Lee Printing will hold a majority controlling stake in the joint venture, while the daily operations of the joint venture will be handled by 3D Tribe (Shanghai) Technology. Within 90 days from the date of signing the memorandum, Man Lee Printing will conduct due diligence on 3D Tribe (Shanghai) Technology.

First quarter recorded a net loss of HK$4.2 million

As a Hong Kong-listed printing and packaging enterprise, Man Lee Printing has factories in Shenzhen and Hong Kong and provides printed materials to international publishers worldwide, including those in the United States, the United Kingdom, Australia and Europe. However, affected by the COVID-19 pandemic and the downturn in the global economy, the group's sales orders decreased somewhat, and it recorded a net loss of HK$4.2 million for the first quarter as of March 31, 201*.

In the announcement, Man Lee Printing stated: considering that 3D Tribe (Shanghai) Technology owns multiple 3D printing invention patents and its products can be widely applied in many industries, the Board believes that, if the joint venture cooperation is implemented, it can improve the group's printing equipment, enhance the technological attributes of its printed products and expand the coverage of PEEK 3D printing customers, thereby improving financial performance.

However, as of now, the terms and conditions of the joint venture cooperation are still under negotiation, and no legally binding agreement has yet been signed. Here, the author looks forward to the formal implementation of this joint venture cooperation, helping Man Lee Printing gain new business development opportunities in new fields!

——This article is reproduced from China Packaging Network (pack.cn), original link: http://news.pack.cn/show-377879.html