The Strategy Study Of Wingtech Technology’s Transnational Merger And Acquisition Of Nexperia Holding B.V.

Under the guidance of "going out" strategy,transnational M&A has gradually become an important way for Chinese enterprises to expand international market,acquire advanced technology,optimize industrial structure and realize industrial transformation.Semiconductor industry is a national strategic emerging industry.With the upgrading of the industry and the intensification of competition,the semiconductor industry has entered a period of accelerated integration.M&a has become a key word in semiconductor industry,and the M&A strategy adopted by the acquirer plays a crucial role in the success of M&A.The merger of Wingtech Technology and Nexperia Holding B.V.is the largest cross-border merger and acquisition in the semiconductor market.This paper studies the whole process of Wingtech Technology’s cross-border merger and acquisition of Nexperia Holding B.V.,and analyzes the strategies implemented in each link of the merger and acquisition process of Wingtech Technology.It includes six aspects of target enterprise’s selection strategy,M&A valuation strategy,M&A pricing strategy,M&A financing strategy,M&A payment strategy and M&A integration strategy.Then from the market,financial and non-financial three aspects of Wingtech Technology multinational merger Nexperia Holding B.V.strategy of economic effect is studied.The effect of market economy is studied by the method of event study.The financial and economic effects are studied from four aspects:solvency,profitability,growth ability and asset management ability.The non-financial economic effect is studied from two perspectives of strategic objective and technological R&D capability.Combined with the economic effect of the cross-border M&A strategy of Wingtech Technology,this paper analyzes the advantages and disadvantages of its M&A strategy.The study found that on the basis of meeting the strategic objectives,selecting high-quality M&A targets with industrial relevance helped Wingtech Technology to obtain higher short-term stock market returns.The M&A valuation strategy of multiple valuation methods enables Wingtech Technology to fully understand the value of the target enterprise.The differentiated pricing strategy helps Wingtech Technology to gain control of Nexperia Holding B.V.and reduce the investment cost.However,the high valuation and pricing of Nexperia Holding B.V.in the early stage has limited the growth ability of Wingtech Technology.The strategy of diversified financing methods enabled Wingtech Technology to complete large-scale financing,but the increase in debt reduced its short-term solvency.Diversified payment methods and installment strategy help Wingtech Technology to complete the payment of the acquisition price,and reduce the short-term cash payment pressure.However,frequent financing and payments in the process of mergers and acquisitions have also reduced Wingtech asset management ability.The comprehensive merger and integration strategy has improved the technology research and development ability and profitability of Wingtech Technology,and promoted the synergistic effect of both sides of the merger.Finally,according to the advantages and disadvantages of Wingtech M&A strategy,this paper provides some suggestions for the implementation of other enterprises’ cross-border M&A strategies.