Kang Jiachao took over 1 billion yuan Toshiba lighting, intense market competition!

Following Samsung, Toshiba also withdrew from the Chinese lighting market. Recently, Anhui Konka Green Lighting Technology Co., Ltd. (hereinafter referred to as Konka lighting) and the official handover of Toshiba. Konka officially received Toshiba lighting business in China, involving an amount of over 1 billion yuan. It is reported that Konka lighting through a series of integration action, the intention to achieve 2 billion yuan in the next 3 years, sales target of 5 yuan in 5 billion years.

In recent years, there have been multiple acquisitions in the lighting market, LED lighting industry competition, the industry believes that the future of enterprise business rules will continue for the survival of the fittest, Konka lighting development also need further observation.

Wading lighting

Recently, Konka and Toshiba officially launched the lighting Lighting Co. Ltd. (hereinafter referred to as the "Toshiba lighting") strategic cooperation and supply agreements, mainly in the stock transfer and the transfer of assets, Toshiba lighting lighting business reception in China, involving an amount of over 1 billion yuan. Through this agreement, Konka lighting also won the Toshiba lighting in mainland China, Hongkong market, the use of TOSHIBA Toshiba brand.

Although Konka mainly as a household electrical appliance enterprises in the public view, but from the official website can be found, Konka will position itself as a mainly engaged in color television, mobile phone, white appliances, life appliances, LED, set-top boxes and related product development, manufacturing and sales of electronic information enterprises and precision mould, injection molding, tuner, printed circuit board transformer and mobile phone batteries and other supporting services. And Konka lighting is a subsidiary of Konka Group's involvement in the LED lighting industry.

For receiving Konka Toshiba in China's lighting business, people think Zhang Shi is responsible for the investigation of the office China Electronic Chamber of commerce consumer electronic products, Konka Group has a considerable scale of the flow of funds, increase the profitability of business investment, is a normal part of the development of the company.

In fact, Konka lighting and Toshiba lighting as early as December 21, 2015 signed the cooperation agreement. Konka lighting official said that the reception of Toshiba lighting business has now been completed, and now officially completed the personnel adjustment.

Konka Group, as the old home appliance enterprise in China, entered the LED lighting industry at the end of 2008. In 2013, Shanghai Konka Green Lighting Technology Co., ltd.. It is understood that after receiving Toshiba's Hua Zhaoming business, Konka lighting will significantly enhance the total output in 2016, is intended to achieve 2 billion yuan in the next 3 years, sales target of 5 yuan in 5 billion years.

It is understood that after the strategic cooperation with Toshiba lighting lighting, Konka will expand the product supply chain, increase Kunshan, Fuzhou, Huizhou three manufacturing base, sales will rise to 1 billion yuan, the leaping development, is expected to become the China LED lighting industry.

The red sea battle unpredictable prospects

With the entry of a large number of enterprises and capital, the lighting industry is also facing significant competitive pressures. In the world, 2014 Samsung withdrew from overseas LED lighting market in 2015; General Electric (GE) announced the establishment of a new company, Current, will be stripped of its lighting business; in March this year, SHARP is the acquisition of Taiwan's Hon Hai, the lighting business will be affected; in May 3rd, PHILPS announced the sale of 25% stake in lighting.

The domestic industry, statistics show that in 2015 the whole industry sales of 560 billion yuan, an increase of 8%, exports $45 billion 300 million, an increase of 9%, of which LED lighting products exports $10 billion 800 million, an increase of 20%. However, the industry's total sales and export growth for the first time in recent years dropped to single digits, in 2014 were 10.5% and 15.5%.

At the same time, mergers and acquisitions in the lighting industry is also fierce, only in the first half of 2016, there have been 4 major mergers and acquisitions. In June, Riyadh acquired a 100% stake in sky lighting for 350 million yuan; May, science and technology disclosure to issue shares and cash payment, the price of 450 million yuan acquisition of Hyun Seok photoelectric; March, Linsen bought 80% stake in light era in February, NVC acquired; yaoneng Holdings Limited 75% stake.

Faced with this situation, analysts said, the rapid development of China lighting industry, there has been oversupply, excess production capacity significantly, the future development trend of lighting industry is still integrated, on the one hand, through mergers and acquisitions, bigger and stronger group of enterprises; on the other hand will gradually eliminate a number of competitive enterprises, the the lighting industry China more healthy, more competitive.

In view of the fierce competition in the industry, Deputy Secretary General of China home appliances business association chairman Zhang Jianfeng for the development prospects of Konka lighting lighting industry expressed concern that "from the point of view, Konka and Toshiba in the domestic lighting industry has not yet entered the mainstream camp, the two prospects for cooperation also need further observation. "

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