San an optoelectronics is interested in snag OSRAM or faces policy obstruction.

Domestic LED manufacturers are "flocking" to expand acquisitions and acquisitions in the international market. When Mu Lin Sen bought OSRAM's landward Vance, it has not yet fallen to the ground, and other domestic manufacturers are "fighting" the idea of acquiring OSRAM. Recently, the news about San an optoelectronic or OSRAM has been booming in the market. Sunan photoelectric follow-up clarification said that its initial contacts with OSRAM related parties, but whether the acquisition will happen is a major uncertainty. A number of respondents told reporters that if the San an optoelectronic acquisition of OSRAM succeeded, it could increase a large number of patents, boost the expansion of the international market, and further enhance the global brand awareness. However, the success of the acquisition depends largely on the final release of the German government. The initial contact with San an optoelectronic's intention to acquire OSRAM was originally from the German media "economic weekly" in October 6th. OSRAM, an old German lighting giant, was founded in 1919. It is currently one of the largest light manufacturers in the world. It is the three largest lighting giant in the world with PHILPS lighting and GE lighting. Public information, OSRAM's LED and OLED semiconductor technology in the world in a leading position. In terms of LED, it has long been involved in the whole industry chain. Sunan is the world's second largest LED chip supplier after Taiwan. In October 11th, San an optoelectronic issued a Clarification Announcement, saying: "after investigation, we have had initial contact with OSRAM related parties on a potential takeover transaction or cooperation, and only one meeting has been held. Up to now, there has been no negotiation on terms of transaction (including scope and price), and no binding documents have been signed. There is a major uncertainty in whether takeover transactions or cooperation matters and related negotiations take place. The implication is that Sunan or OSRAM intends to buy and sell. In October 19th, the reporter consulted the latest progress of the acquisition of M & E secretaries. The other staff responded that the situation was not yet known. "This is a matter of high level planning for the company, which is unknown to us." An industry analyst told reporters that the acquisition of OSRAM by Sunan will be a big probability event. Wang Fei, a senior analyst in the industry, said that with the rise of the strength of domestic LED manufacturers, OSRAM's acquisition of patents is the core factor of its consideration. "LED industry involves a lot of patents, and these patents are mainly in the hands of OSRAM and other big factories. If Chinese manufacturers want to sell LED chips to overseas markets, they may be involved in patent disputes. When the enterprise is small and the market share is small, these risks are very small, because people do not think you will pose a great threat; but if your business is large and the market share is large, people will initiate lawsuits. Although we have made lots of patent layout, we still have gaps compared with other international factories. " Sai Di consultant lighting analyst Han Yun said that OSRAM's lighting, chips and brands have great advantages, which is a great supplement to the San an photoelectric business. "Brand name, OSRAM's brand has 100 years of history, which has a strong attraction for San an optoelectronics. San an LED industry is not small, but the brand still has a certain gap in international recognition than OSRAM. In terms of technology, the R & D technology of San an is at the forefront of the country, and the cost of investment is very high. If it is acquired, the efficiency of technology will be improved faster. Although Sunan is the global LED chip giant, its sales share is mainly in the mainland market. According to the semi annual report of the company, the operating income of the mainland market and the mainland is 2 billion 339 million yuan and 439 million yuan, respectively, about 5.33: 1. In recent years, in order to enhance the coverage of the overseas sales market, San an has also expanded overseas. For example, in June 2013, Sunan optoelectronics purchased Luminus Devices (Inc.) for the purpose of developing the North American market. In August 2014, the company set up a wholly owned subsidiary, Hongkong San an photoelectricity, aiming to open up the Japanese market; in December 2014, the company carried out business cooperation with Seoul semiconductor company and Seoul Viosys. Capital set up three photoelectric targets to expand the Korean market. The industry also believes that, such as the three security photoelectric can "take" OSRAM, no doubt can expand its overseas market "help". Rough road, German economic weekly also reported that if the overall acquisition, OSRAM's valuation of 7 billion 200 million euros (8 billion 100 million U.S. dollars). As of June 30th this year, the total assets of the San an photoelectric company were 23 billion 135 million yuan. In contrast, Sunan's acquisition of OSRAM is more like a snake eating elephant. At present, there is a market view that San an's own financial strength is not enough to support this huge acquisition. For example, the total revenue of San an is only 4 billion 858 million yuan last year, and the net profit attributable to shareholders of listed companies is 1 billion 695 million yuan. But there are also some objections, "San an's financial condition is good, the annual performance is also growing steadily; in addition, the company receives more financial subsidies from the government every year. Even if it has financial problems, the financing channel of the company is relatively smooth. Han Yun thinks. As of June 30th this year, the debt ratio of San an photoelectric was only 27.15%, lower than most of the listed companies in the LED share of A shares. "The company's capital is quite abundant," the official told reporters. In the process of reporter interviews, many market participants tend to believe that the biggest uncertainty of the purchase lies in the German government. Such worries are not nonsensical. After the news of Sunan's acquisition of OSRAM, news about the German government or obstruction also came. According to German media reports, the German economic minister said recently that if the news is true, the German government will oppose the takeover. Before that, there were also domestic manufacturers' cross-border acquisitions which had been blocked by the local government. Jinsha River venture capital acquisition PHILPS Lumileds encountered a case of cask showing that in January of this year, PHILPS announced that it had stopped selling Lumileds (LED and automotive lighting) business to Chinese investors due to opposition from the US regulatory authorities. "The acquisition of OSRAM by San an optoelectronics will involve industrial competition between two countries. In this way, the mentality of the government of the buyer's side will naturally be heavier," he said. Wang Fei said. "Chinese enterprises going out, mergers and acquisitions is a commonly used means. The international industry giants are in transition because of the competitiveness and gross profit of the comprehensive industry, which should be a win-win opportunity for both sides. However, all cross-border mergers and acquisitions are bound to face a series of risks, including policy risks, debt risks such as corporate financial data, which test the patience and determination of the two sides of the transaction and the professionalism of intermediary investment banks. For both sides, there is not a so-called fair price in the industry, and more depends on mutual recognition between the two sides. Geng Bo, Deputy Secretary General of the national semiconductor lighting engineering R & D and Industry Alliance, said this.