zhangjiagang sevenstars machinery co.,ltd , https://www.sevenstarsmachinery.com
At present, China's LED industry has gradually shifted from the initial technology, policy, and market-driven to capital-driven. More and more enterprises have taken the capital express train into the leap-forward development stage, more like Sanan Optoelectronics, Mulinsen, and Guoxing Optoelectronics. Large enterprises have established LED super giant ships through capital integration and expansion. From a macro perspective, one of the most important performances of a company's comprehensive strength is its capital strength and capital operation capability. If LED companies want to become bigger and stronger, capital is bound to be a problem that cannot be avoided. At present, China's LED industry has gradually shifted from the initial technology, policy, and market-driven to capital-driven. More and more enterprises have taken the capital express train into the leap-forward development stage, more like Sanan Optoelectronics, Mulinsen, and Guoxing Optoelectronics. Large enterprises have established LED super giant ships through capital integration and expansion. Capital is one of the important factors affecting the development of the LED industry, and the LED industry has never stopped pursuing the capital market. At the beginning of 2017, the successful listing of Sanxiong Aurora, Debang Lighting and Guangpu Electronics attracted the attention of many insiders. A steady stream of capital enters the lighting industry, injecting more resources into the industry, and while helping to advance the lighting technology, it has further expanded the scale and share of the Chinese lighting market. However, in a pattern with a billion-dollar industry, successful listing can only be regarded as a door to the road to success. After the listing, how to control the capital is the key to ultimate success. The battlefield of LED giants has shifted to the capital market At present, in the context of China's economic transformation and upgrading pressure, and the slowdown in the real economy, it is clear that companies rely on internal financing to solve practical problems. The capital market is an important channel for enterprises to achieve rapid financing and rapid development. For the growing LED companies, listing is the hope. Having capital means having more resources and markets. Nowadays, more and more listed companies are relying on the strength of capital to grow, and the battlefield between giants has already shifted from technical competition to competition in the capital market. In the "Prospectus" issued by Opal Lighting in 2016, Opp listed its main competitors in the lighting market, such as Philips, NVC Lighting, Foshan Lighting, Osram, etc., have already gained capital assistance. As a lighting company, in terms of products, Op Lighting produces green energy lamps, but it is still a traditional enterprise. Therefore, in the case of fierce competition in the industry, if it can be successfully listed, it can open up the distance from competitors, and at the same time, it can obtain more funds, thereby increasing investment in technology research and development. An industry insider expressed the reason why Op Lighting is passionate about IPO. It is worth mentioning that under the typhoon of IPO, the listing of lighting companies in 2017 surged and accelerated into the capital market. In addition to Debang Lighting, Sanxiong Aurora Lighting was listed on March 17, 2017; Guangyi Co., Ltd., as the first LED company to be successfully transferred to the new Sanban, was also released on March 24, 2017 and will be officially listed. . In addition, the recent application of Shenzhen Overclocking Technology Co., Ltd. and Tailong (Fujian) Commercial Lighting Co., Ltd. was approved by the CSRC. Last year, Op Lighting, Infineon Electronics, and Shenzhen Famous Homes were also listed. In addition, from the latest news released by the China Securities Regulatory Commission, the current prospectus has disclosed updated LED lighting companies: Jucan Optoelectronics Technology, Sichuan Huati Lighting, etc., in accordance with established practice, the CSRC will be in the near future. The companies that disclose these new prospects are reviewed. Therefore, it is more likely that these LED lighting companies will be listed on the stock market in 2017. In order not to be overtaken by rivals, to consolidate and expand competitive advantage, companies have sought to use the power of capital to achieve rapid development. The requirements for listing financing have become more and more intense, and the ringing of the listed clock has become a new development goal for more and more enterprises. In fact, the capital market has always been the second battleground for the LED industry. Since the first LED company entered the GEM in 2012, the LED industry has experienced the first wave of listing climax, LED companies including Ai Bison, Mulinsen, Mingjiahui, Op Lighting, etc. have chosen to go public. This year, Sanxiong and Debang also set foot on the shuttle bus. This shows that the LED industry's popularity in the capital market has not been reduced. Capital competition, the big one is king Listing or not, the company's strategic deployment will be completely different. For listed companies, raising huge amounts of money means having more market voice. Enterprises such as Sanan Optoelectronics, Guoxing Optoelectronics, and Ganzhao Optoelectronics have raised huge amounts of funds through listing, which has supported the rapid expansion of scale and market expansion of these enterprises, and laid the company's position in the industry. On the morning of March 30, Hengdian Group Debang Lighting Co., Ltd. opened its market on the Shanghai Stock Exchange. Ni Qiang, chairman of the company, said in the road show that the successful issuance provided a sufficient source of capital for the company's development projects, ensuring the implementation of the company's development strategy. As a leader in green lighting, Debon Lighting has more competitive advantages. With the capital, Debon Lighting will start a new round of development, and the company will further enhance its core competitiveness. The listing of Debon Lighting on the main board of the Shanghai Stock Exchange is clearly a milestone in its development. At the same time, according to the prospectus, the total amount of funds raised by the company was RMB 111.78 million. After deducting the issuance expenses of RMB 72.20 million, the net amount of raised funds is expected to be RMB 1,041.6 million. After deducting the issuance expenses from the public offering of new shares, the company will invest in the following projects in order of priority: an annual output of 110 million (sets) of LED lighting products construction projects, an annual output of 1.16 million sets of LED outdoor lighting construction projects, Lighting R&D Center and Optical Experience Center construction project, supplementing working capital. According to statistics, in order to expand rapidly, the companies listed in the past few years have undoubtedly become the main purpose of their first fundraising. For example, in 2016, LED companies including Sanan Optoelectronics, Huacan Optoelectronics, Dehao Runda, Ruifeng Optoelectronics, Mulinsen, Hongli Optoelectronics, and Guoxing Optoelectronics all carried out different degrees of expansion. At the beginning of this year, with the tight production capacity of LEDs, many manufacturers have once again set off an arms expansion competition. Recently, it has announced that it will invest 6 billion yuan in Huacan Optoelectronics. It is expected that the new plant in Yiwu will be put into production in May 2017, and will reach an annual output of 3 million LED chips. And Mu Linsen's project of 5.5 billion yuan at the beginning of the year officially settled, will also bring a new round of expansion of the LED industry. In the era of capital competition, who can have more capital, who can dominate the market, and the power of capital is gradually changing the market structure. This year, the Mulinsen consortium acquired the German Osram's Landvewans to complete the delivery date coincides with the company's 20th anniversary. Mulinsen’s goal of tens of billions has fulfilled the dream of Chinese companies in the era of traditional lighting. Capital integration changes the global LED industry landscape. It develops in financing and develops after financing. The companies that took the Capital Express embarked on a rapid expansion, and at the same time accelerated the integration of horizontal and vertical industries. In recent years, there have been frequent overseas M&A cases of Chinese enterprises driven by capital, and going global is expected to play an important role in the transformation and upgrading of the domestic economy. Osram sold the lighting business to the Chinese company, the United States acquired the famous German robot manufacturer KUKA, and the Chinese company purchased the German semiconductor company Ai Siqiang. The merger and acquisition triggered media attention in 2016. Mu Linsen recently reorganized the plan, the company plans to purchase a 100% stake in Mingxin Optoelectronics at a price of 4 billion yuan, and the proposed fundraising will not exceed 1.255 billion yuan. The company's acquisition target is the overseas lighting solution provider Recitation Vance, which specializes in traditional light sources and LED light sources. The company will adopt a global layout of this transaction to expand overseas markets. From the consortium way to bid for Osram's general lighting business, LEDVANCE, to 100% acquisition, Mulinsen will officially take over the resurrection of Vance. The Oslan acquisition of the world's lighting giant, which has been used for more than a year and attracted many domestic companies to participate in the bidding, officially ended. The Chinese consortium, which consists of IDG Capital, Mulinsen and Yiwu State-owned Assets Operation Center, successfully completed the acquisition of this century-old German lighting business. At the same time, with the advancement of the wholly-owned acquisition, the output value of Mulinsen exceeded 20 billion yuan, which will squeeze it into the top three LED lighting factories in the world. The acquisition of Osram's lighting business by Mulinsen is a milestone for the listed companies to enter the high-tech level of the lighting field. This time, the industry is widely believed that Mulinsen will rank among the top three LED giants in the world. In addition, IDG Capital is currently leading Huacan Optoelectronics to acquire the world's leading MEMS Meixin Semiconductor. The restructuring is now awaiting the final review of CFIUS in the US; once completed, it will greatly improve the technical level of the domestic sensor field, and change domestic enterprises to participate in one fell swoop. The current state of global competition for sensors. In this regard, the relevant person in charge of IDG Capital said that as more Chinese companies leveraged the investment institutions with rich M&A experience to implement overseas mergers and acquisitions, more and more core technologies will be introduced into China to promote the transformation of China's manufacturing in more fields. Upgrade to reduce the impact of global supply chain damage and achieve a faster transition to China's smart manufacturing; on the other hand, effective corporate mergers and acquisitions will promote the development of multi-level capital markets and play an active role in serving the real economy The role of injecting capital into the industry.