Research On Financing Strategy Of Wingtech's Acquisition Of Nexperia

Although the acquisition market in China started late,it has developed in great speed,particularly in the last few years,a series of acquisition activities emerge one after another.When it comes to acquisition,it is difficult to avoid the problem of acquisition financing strategy.One of the biggest differences between acquisition financing and operation financing is that enterprises need to raise a huge amount of funds in a short period of time,so acquisition financing is a challenge for enterprises.According to statistics,mergers and acquisition in China's semiconductor industry has entered a high incidence period since 2014,but the success rate is less than 40%,most of which are due to financing failure.There are many factors that affect the success or failure of financing.At present,in the process of acquisition financing,Domestic enterprises faced with the following problems: lack of creativity in financing methods,imbalance of financing structure,high financing cost and blindly imitating the financing mode of western countries.Therefore,how to plan the financing structure according to the enterprise's own financial characteristics,what kind of financing method to choose,how to reduce the financing cost,and how to formulate the financing strategy in line with the enterprise itself,so as to ensure that the funds required for mergers and acquisition are in place in time are the most worthy of indepth study.Firstly,this paper analyzes the specific financing scheme of WINGTECH from the perspectives of acquisition capital demand,acquisition payment mode and acquisition financing mode;Secondly,it analyzes the acquisition financing efficiency of WINGTECH from the perspectives of financing cost and capital use efficiency;Finally,it makes an overall evaluation on the acquisition financing strategy of WINGTECH,and puts forward suggestions and Enlightenment for WINGTECH to strengthen financing management and other enterprises to formulate financing strategies.The conclusion is that enterprises should comprehensively consider many influencing factors such as capital demand,acquisition payment mode,financing structure and financing cost,and build their own financing strategy.In terms of acquisition capital demand,it is necessary to reasonably evaluate the target assets;Looking for innovative payment methods to ease the payment pressure;In terms of the selection of acquisition financing methods,we should increase the financing channels and minimize the financing cost by using different kinds of innovative financing methods,so as to help enterprises efficiently complete acquisition financing activities.This paper analyzes the financing strategy in the process of WINGTECH 's acquisition of nexperia semiconductor,which has important reference significance for other Chinese enterprises to carry out cross-border acquisition activities in the future,both in acquisition and financing.