Research On The Performance Evaluation Of Will’s Merger And Acquisition

In order to vigorously develop the semiconductor industry,China has increased policy support and encouraged mergers and restructuring activities.Government also advocates home-made substitution and independent control of the industrial chain.This has triggered a wave of strategic mergers and acquisitions of semiconductor enterprises.Selecting a typical successful case,Will’s acquisition of Omni Vision Beijing,Sibico and Shixinyuan,this paper explores the influence of this acquisition by taking the changes of the market and financial performance before and after the merger as the entry point.After referring to relevant theories,with background and process combing,this paper studies the intention of Will’s M＆A.The event study method,financial index method and EVA analysis method are applied,so that the market and financial condition of enterprises can be deeply evaluated.In particular,this paper places emphasis on the outcome of this merger on the concentration degree of industrial chain and R＆D capability.The results show that the market responded well to the merger,bringing long-term and short-term stock price rise,and wealth effect is obvious.The overall trend of financial performance indicators is good.The absorbed assets are of high-quality and the industrial chain has been fully integrated.Also,the R＆D capacity has been improved.The experience,management,technology and financial synergies have been brought to the enterprise,and the wealth has been created for shareholders.However,the operation capacity still needs improvement.Ultimately,the success story of Will’s merger is concluded.It supplements the research on small semiconductor enterprises’ acquisition of broad ones in recent years.In the meanwhile,it tables pertinent proposals for other semiconductor corporation,which plan to carry out industrial transformation,upgrading and integration by means of mergers,to use for reference so as to optimize decision-making efficiency.