Research On The Strategy For Foreign Direct Investment Of SANY

Foreign direct investment is the most important method of internationalization of capital. Since the economic crisis, overseas mergers and acquisitions have become the main method of Chinese equipment manufacturing overseas expansion. More and more private company involved the mergers and acquisitions instead of state-owned enterprises. On the merger itself, the purpose of Chinese equipment manufacturing industry mergers and acquisitions activities are still technology, which meets the current restructuring trends of global equipment manufacturing industry and China's independent innovation capability development.In 2012, the represent of private equipment manufacturing of China, SANY announced the acquisition of Putzmeister Holdings Limited. SANY and CITIC Fund invest 360 million euro, which SANY invested 324 million euro, to acquire Putzmeister 100% equity. This transaction also set a new record in China manufacturing enterprises FDI amount.This activity has created a great sensation in the industry. After 2 years, whether SANY archive the strategy of original, how about the operation performance of Putzmeister, according to this case, this article will give an analysis on the practice, model with the relevant theory and give some reasonable suggestions to the overseas merger and acquisitions of China manufacturing enterprises. In overseas mergers and acquisitions, the enterprises must make clear the M&A purpose, select and evaluate the M&A objects carefully. Secondly, the enterprise should involve the private equity fund to participate. After the M&A transaction, the enterprise must focus on resource integration for both party and pay attention to the integration of intangible assets. At last, the enterprise should fulfill the social responsibility actively.