The tide of mergers and acquisitions has come, and the LED industry has undergone a new round of baptism

According to "2015 national LED display market analysis," the report pointed out: "affected by the downward trend of the national macro-economic situation, the overall growth rate of the industry into the adjustment period.". 2015, the national LED show that the overall size of the application industry continued to improve, the industry's annual market total of 32 billion yuan, an increase of 5.9% over the same period of 30 billion 200 million yuan in 2014, an increase of slightly lower than in 2014." At the same time, the report said, "the next period of time, the industry will be in the leading backbone enterprises and listed companies under the allocation of resources, restructuring and market adjustment factors". Data show that from the beginning of 2013, the LED display industry and the amount of mergers and acquisitions rapid growth year after year, in 2013 this figure was 2 billion 600 million yuan; 6 billion yuan in 2014, representing the number and amount of mergers and acquisitions subject doubling the amount of more than 10 billion yuan; the acquisition in 2015. Indeed, the current domestic LED display industry has entered a new stage of depth adjustment. Barbaric growth, staking development, profiteering management model has come to an end. From the incremental competition to the stock competition, from the initial extensive competition gradually to the capital, technology as a representative of the comprehensive strength of competition, comprehensive strength of enterprises, brand competition, decisive factors gradually strengthened. In this context, the survival of small and medium enterprises severely squeezed, survival pressure suddenly increased, by holding, mergers and acquisitions have become a can not get rid of the problem lie in these enterprises on the road ahead. From the beginning of 2014, as the representative of the army in six mergers and acquisitions of listed companies on the LED display in the industry set off a "wave of mergers and acquisitions, mergers and acquisitions in 2015 the amount of more than 10 billion yuan. And shows no sign of ending the first half of 2016, the industry's "merger" events are also frequently heard: May 9th, Abison invested 4 million 500 thousand yuan to buy Artixium51% for $equity in May 20th 100%, Chau Ming technology holding Lampson technology; June 8th, the layout of the photoelectric digital media for $660 million to purchase three standard; June 14th, Lehman the acquisition of shares of Australian super giants Newcastle jets Club 100 stake; June 21st, Chau Ming technology and Information Technology Co., Ltd. in Shenzhen city (mainly engaged in VR technology development and application) signed a "strategic cooperation agreement; June 28th, Linsen 300 million yuan capital development of crystal shareholding ratio rose to 25.50% in June 29th, Riyadh intends to 350 million yuan acquisition of transit lighting 100% stake; July 13th, alto electronics acquired 100% QianBaiHui; July 13th, Lehman shares. With the cooperation of investment into the VR theme park; July 28th, Dongshan precision intends 4 billion acquisition of U.S. enterprises MFLX in general, enterprises through horizontal mergers can bring economies of scale, increase their market share, suppress competition, improve the enterprises to enter the field of differential advantage and barriers of enterprises, such as the acquisition of Redio, Zhou Ming Lampson technology; bigger the strongest LED industry chain through vertical merger, deep integration and optimization of all aspects of the industry chain resources, improve the overall competitiveness of enterprises, such as the development of cross-border holdings Linsen crystal; business will enable enterprises to lower the cost of diversified development, the company's main risk dispersion, to achieve business transformation, such as the alto the acquisition of electronic QianBaiHui lighting, cross-border cross-border mergers and acquisitions; can mining greater market and profit space for enterprises, such as the acquisition of Riyadh The United States pingda electronic and PLANAR. Whatever the form of mergers and acquisitions, one part is the enterprise's own development strategy, is the enterprise survival and development needs, even in the enterprise development to a certain stage, as part of the main body of market competition to maintain the competitiveness indispensable. As an outsider, as a member of the industry circle, we are more interested in how long this round of mergers and acquisitions will last After this round of "M & a" tide, the industry will show what kind of pattern and appearance? How many SMEs can survive? Will the international competitiveness of domestic LED display enterprises be improved obviously? This is what we are looking forward to, and also what we are willing to think about.