Zhang Xiaofei: Being acquired is a very happy thing.

[High-tech LED reporter / Yue Mengdi] "There are more and more companies entering the LED lighting industry in recent years, but most companies have not really seen the characteristics, situation and market structure of the LED lighting industry. Less companies are very impetuous in production, sales or channel layout.” Dr. Zhang Xiaofei, CEO of Gaogong LED, recently held the “2014 China LED Lighting Supply Chain Good Product Tour Seminar--Shenzhen Station” on the LED lighting industry. The status quo is analyzed as such.

According to the statistics of the High-tech LED Industry Research Institute (GLII), in 2013, about 70% of global LED application products were concentrated in China. It is estimated that by 2015, the global LED general lighting output penetration rate is expected to reach 50.2%, and nearly two-thirds of SMEs will withdraw in the next three years.

At the Shenzhen Station Symposium, Dr. Zhang Xiaofei once again stressed: "The global LED lighting high-end and low-end market presents a clear-cut phenomenon, and most of the lighting products will be OEM or ODM by Chinese enterprises."

In fact, with the rapid expansion of China's LED market, the upstream, midstream and downstream manufacturers have experienced a period of development from the germination to the outbreak. When entering the mature period, integrated mergers and acquisitions have become the threshold that cannot be avoided.

"In the age of melee, isolated guerrillas could not survive." Dr. Zhang Xiaofei believes that M&A has become a major trend in the LED lighting industry for now and in the future. For many lighting companies, it is a very happy thing to be acquired.

At the end of June, Jingyuan Optoelectronics and Yanyuan Optoelectronics announced the merger plan at the same time. It said that Jingdian will acquire Yanyuan Optoelectronics in a way of share swap, and Yuanyuan will become a wholly-owned subsidiary of Jingdian.

This heavy news has caused widespread concern in the industry. Zhang Hongbiao, research director of the High-tech LED Industry Research Institute (GLII), believes that Haoyuan Optoelectronics has been in a state of loss for the past two years. It is difficult to refinance, and it is not realistic to expand production and turn losses. It may be a better choice to get rid of bankruptcy. . “The acquisition of Jingyuan Optoelectronics and the photoelectricity of the company indicates that a new wave of integration in the LED upstream chip industry has arrived.”

At the National Agent Conference of Taiwan Semiconductor Lighting Co., Ltd. (hereinafter referred to as "Taiwan Semiconductor"), a wholly-owned subsidiary of Xuming Optoelectronics Co., Ltd., Wu Jiaxiang, general manager of Xuming Optoelectronics Marketing Department, revealed that Xu Ming Optoelectronics recently acquired In Taiwan's semiconductor lighting, the two sides will complement each other in various aspects such as UV LED, commercial lighting, and automotive LED lighting to further accelerate the layout of the mainland LED market. At the same time, he also said that since the first half of this year, the tide of mergers and acquisitions in the packaging industry in mainland China and Taiwan has started, and the packaging market in Taiwan will undergo major changes.

In fact, mergers and acquisitions in the LED industry are beneficial to both parties. On the acquisition side, M&A is basically based on the following points: capacity needs to be expanded, sales channels and markets are broadened, relevant patents are acquired, and vertical acquisitions are made to ensure the supply of goods and products. The acquired party can avoid standing on the verge of bankruptcy due to problems such as financing difficulties and investment difficulties.

However, finding the right manufacturer to integrate M&A is not an easy task. Enterprises need to find out the complementary fields by combing their respective strengths and weaknesses, and determine the way of integration through non-stop observation and negotiation to achieve the best integration effect to protect their best interests.

Whether 1+1 can produce an effect equal to or even greater than 2 depends on how strong the complementarity of the two parties is, and the integration process after the merger.

For example, Taiwan's Pan-Platinum Power Alliance, through further cooperation from product cooperation to joint ventures, equity participation, etc., each develops customers in accordance with brand strategy and market segmentation, and strives for the LED lighting market pie. For example, Xuming Optoelectronics and Taiwan Semiconductor, the two sides complement each other in their various fields of expertise, and launch Taiwan's semiconductor lighting and Xuming Optoelectronics dual brand strategy to seize the market.

The 2014 semi-annual performance forecast of LED listed companies that have been released recently shows that the profits brought by M&A have become an important source of net profit growth.

Full Spectrum Led Lights 1500w,with 150pcs Epi double chips led, 3pcs fast-speed cooling fans,hot sale grow lampon Amazon Ebay. we can make 4000k white lighting and red blue lighting, double switch available here.

Led Lights For Indoor Plants 1500w grow light is a great ideal for all kinds of indoor garden plants: lettuce, orchid, organic herbs, pepper, strawberries, succulent, hydroponic, medical plants. 


Double switch photo:

Full Spectrum Led Lights

Led Lights For Indoor Plants

Led Grow Bar


Grow light plants 1500W

Best Led Grow Lights,Diy Led Grow Light,Fluorescent Grow Lights,Uv Light For Plants

Shenzhen Wenyi Lighting Technology Co., Ltd , https://www.wycngrow.com