Experience: NVC Wu Changjiang interpretation of cross-border mergers and acquisitions

This year, the lighting industry mergers and acquisitions dizzying, cross-border portfolio, more industry upstream and downstream enterprises mergers and acquisitions. In June 10, 2014, honglitronic said through a private placement to raise matching funds, the price of 180 million yuan to three times the Acquisition Premium counterparts Shenzhen smalite optoelectronics Co., ltd.. In July 9th, a total of 22 million yuan of Lehman photoelectric company's own funds, the acquisition of LED on outdoor lighting exports to transfer and capital mode of heroic Ruifeng 51% stake in July 16th, Jiawei shares 122 million 500 thousand yuan in cash to buy 100% stake in Zhongshan lighting products. NVC using sports marketing to expand the brand influence of overseas

In July 26th, NVC President Wu Changjiang said, in the face of more than 200 entrepreneurs in mergers and acquisitions, entrepreneurs can quickly through the power of capital enterprises will be bigger. However, in mergers and acquisitions, you must pay attention to, you have the ability to integrate corporate culture. What the lack of enterprise, such as research and development capabilities, channel capacity, brand ability, these can be obtained through the acquisition, but the premise is that if you can not integrate enterprise culture effectively, will buy back problems, the negative effect is large.

NVC early in 2007 to enter the UK market and set up a branch, began to popularize NVC NVC independent brand in the UK market sales strategy. In 2008, Wu Changjiang led the acquisition of a British NVC enterprise. This is a British channel operators, spent hundreds of thousands of dollars in the cost of NVC only in one fell swoop into the British lighting industry the four largest mainstream channels, successfully opened the market in the uk. At that time, NVC in the UK market share is very small, a lot of people are not optimistic about our acquisition, through these years of insistence, sales growth is very fast, the number of employees from more than and 20 to expand to 110. In 2012, NVC investment, NVC UK in Bermingham's 91000 square feet of new business center put into use, the center of the design, development and production of other functions, showing the NVC UK subsidiary localization maturity. NVC UK branch is now among the famous British brand, in recent years, the company's turnover has more than 18 million pounds.

In July 2013, NVC became the official fina partners, once again ushered in a new opportunity for overseas expansion, in signing and fina, NVC officially signed the French dealer at the scene, to fully enter the French market. In October 25, 2013, NVC Brazil branch was officially established in St Paul, which is following the British NVC branch after the second NVC direct investment overseas branch. As of now, NVC has set up operations in Europe, North America, Southeast Asia, South Asia, Middle East and other more than and 40 countries and regions, in the eyes of Wu Changjiang, NVC's domestic and overseas layout layout has been completed, the full open time has come.

The reasons for the success of the NVC "sea" of two, Wu Changjiang concluded: the first is the difficulty of brand building, which is currently Chinese enterprises to go out, the main path of NVC sports marketing, providing products and solutions for the sports venues and supporting the project. Fina maglione said, choose NVC as fina partners, is a brand image and enterprise strength on NVC, two is a positive contribution to the world of sports on the nvc.

The second is the global layout of NVC, after years of exploration, summed up the personnel localization and acquisition strategy. British NVC set up a local team in the UK, including the design team, according to their local market consumption habits, product development and design, and then China production, so from the aspects of style, quality and cost, highly competitive market in the uk. In terms of daily operations, marketing strategy, channel development and resource integration, Wu Changjiang fully decentralized to the local person in charge, the British team has full autonomy.

CEIBS professor Yang Guoan, director of human resources research center, said that the shortage of international talent is a common phenomenon in Chinese enterprises. China's reform and opening up thirty years is mainly the introduction of Western management, going out less than ten years, the real scale out of the last five or six years. In 2008 after the financial tsunami, many foreign companies market value is lower, Chinese companies saw many potential acquisitions and management problem after the merger, if international talent does not have to be particularly careful, this time. The NVC's experience shows that the cultivation of core talents and choose their own overseas local talent, a path is China going out of business.

Overseas mergers and acquisitions should pay attention to "ten"

According to the four major international accounting firm PWC statistics, in 2013 China's regional mergers and acquisitions transactions grew by $260 billion to $28%, a record high. PWC Chinese M & a private equity partner in charge of Liu Yanlai said: "the main factors include China area mergers and acquisitions activity growth accelerated, market-oriented reform of state-owned enterprises and government on mergers and acquisitions, especially overseas mergers and acquisitions and support a gradual recovery of the capital market. A shares of listed companies will also become an important driving force for integration of many industries. "

Compared with the quantity increase, Chinese business performance in overseas acquisitions are more mature, more and more enterprises realize that cross-border mergers and acquisitions is not simply the sale, the real test is after completion of the transaction.

Wu Changjiang reminded entrepreneurs to pay attention to ten problems of overseas mergers and acquisitions