To accelerate the integration of the industry giants teamed up to become LED lighting market goers"

In recent years, under the increasingly serious energy crisis and environmental crisis, the concept of LED energy saving and environmental protection has been supported by many governments, and the LED industry has been developed rapidly. However, behind the prosperity of the market, the international giants force LED lighting market, the domestic market price to grab market disorderly competition phenomenon of LED enterprise is facing as one falls, another rises, industrial pattern and integration is domestic trouble and foreign invasion, has become the inevitable choice of enterprises to deal with the competition.

Integration is not only reflected in the integration of industrial chain, but also in the merger and acquisition of enterprises. It is the combination of resources sharing, there are mergers and acquisitions, law of the jungle. In the fierce competition in the industry, through mergers and acquisitions to grow rapidly, has become the company's ability to resist risks and enhance the competitiveness of the magic weapon. Especially in the early stage of China's LED industry is still in the early stages of development, the entrant has a strong first mover advantage. Timely integration of industry is not only an effective shortcut to seize market opportunities, but also the inevitable result of market development.

Consolidation of the industry again, the first layout to be outbreak

In recent years, under the active support of national policy, China's LED market ushered in the era of rapid development. In the face of the blowout of the LED lighting market, through mergers and acquisitions, resource integration, combined with powerful, complementary advantages and other ways to enhance the overall strength, competitive advantage has become the consensus of many LED companies.

Since entering in 2013, LED Lighting Companies in the middle and lower reaches of the vertical integration, integration of various resources increasingly prominent trend. With the development of the lighting market and mature, in order to quickly seize the market, major companies have to find suitable resources through different ways to achieve vertical integration, from the chip to the layout of the industrial chain extension, packaging and application.

After the 2012 Elec-Tech combination with NVC recently, the two lighting giant came a new integrated action. Elec-Tech August 29th evening announcement said, will jointly invest 80 million yuan NVC and related parties in Guangdong city of Huizhou Province, a company engaged in LED packaging business, to complete the layout to complete the whole industry chain.

In the industry chain and continue cultivating nationstar, recently, the company says it intends to raise no more than 630 million yuan of funds into the country star epitaxial semiconductor chip (two) project and add liquidity, again to the upstream chip field force. China Star optoelectronics, said the non-public offering, will further consolidate the company in the LED industry vertical integration business architecture, improve the market competitiveness of packaged products.

With the rapid development of the LED industry, LED lighting and other areas of the relevance and synergistic effect has been increasing, the pace of integration in the field of LED accelerated from the general lighting began to shift to other areas of special lighting. For example, in the field of LED automotive lighting, there are also many coveted. Guangzhou Hongli photoelectric acquisition Vita Deren electronic signal, the acquisition of Tianjin Feile automotive lighting and the emergence of a large number of cases began, companies began the layout of the first LED lighting market differentiation.

In addition, the pace of mergers and integration between Taiwan and the mainland have been gradually accelerated, according to an optoelectronic announcement said that as of August 29th, the company for the Taiwan canyuan Au Optronics Co shares matters of government administrative examination and approval formalities completed. After the completion of the transaction, an optoelectronic canyuan photoelectric will hold approximately 19.9% of the shares, becoming the first major shareholder canyuan photoelectric.

According to the analysis, the current situation of LED integration industry presents the following characteristics: one is to enhance the industry chain vertical integration trend, through the integration of the vertical integration of mergers and acquisitions, enterprises can realize the overall layout of the whole industry, has advantages in cost and market competition; on the other hand, LED industry to other areas began to extend through with the integration of automotive lighting, lighting, lighting and other fields of agriculture fishery enterprises, to achieve the layout of the first in market segmentation and differentiated competitive market enterprise; in addition, the recent LED industry, cross-border mergers and acquisitions increased significantly. The enterprise transnational merger an important driving factor is the patent and the international market, LED's patent term master in several international giants, especially the chip link, through the acquisition of foreign companies can bypass the patent barriers, international patent manufacturers support, participate in the system of international patent technology, more words right.

"Matthew effect" previews, LED industry entered the era"

With the continuous development of the LED industry, industry competition has intensified, the industry continued to deepen integration. Behind the phenomenon is the integration of industry resources to the advantage of the enterprise, and thus lead to a number of financial strength is not strong and the lack of technology and other unique advantages of enterprises in the competition fell. Since 2013, the industry has been more than a major event of bankruptcy, involving the three sides of the Strait, mostly broken funds, excessive use of financial leverage. There are also a number of mergers and acquisitions from the whole case, the powerful together, the advantage of resources to the industry giant to speed up the pace of competition to the strong Heng Qiang, the situation of the development of the big rival, Matthew effect in the LED industry revealed no doubt.

Although the growing demand of LED industry this year, but the LED industry still suffered a "Rainbow Night" embarrassing situation, on the one hand, the cross-strait LED small factory have set off a wave of failures, such as the Taiwan area, Qili photoelectric crystal luminous power, while the mainland has China xiongji lighting, Shenzhen billion light ray star photoelectric, etc.; on the other hand, LED manufacturers are frequent moves, take this opportunity to expand the integration of merger action,