Performance Analysis Of Beijing Junzheng's M?A Of Beijing Xicheng Semiconductor

Semiconductor industry is a strategic industry.At the same time,the semiconductor industry is usually closely related to the national economy and national security,so the semiconductor industry has an important position in China.Domestic chips urgently need to achieve independence and achieve considerable development.A wave of localization substitution of the whole industry chain is becoming more and more intense.Under the influence of the sudden outbreak of COVID-19,cross-border supply chains around the world have been blocked,and the shortage of embedded integrated circuit goods has emerged all over the world.Ensuring the security and controllability of production lines and supply chains has become a top priority around the world.In recent years,some Chinese enterprises have obtained overseas high-quality automotive semiconductor assets through mergers and acquisitions,thus promoting the rapid development of China's automobile semiconductor industry.Whether the acquisition of automobile semiconductor industry can improve the competitiveness of enterprises and create value for enterprises is worth our attention.This paper will discuss the merger and acquisition performance of the automotive semiconductor industry according to this background.The research object is Beijing Junzheng's acquisition of Beijing Xicheng Semiconductor,which took place in 2018 and is essentially an acquisition of American company ISSI.ISSI is a large international company,Beijing Junzheng is undoubtedly a good time to grasp the merger and acquisition,the merger and acquisition event can become the classic example of Chinese automotive semiconductor industry mergers and acquisitions.Therefore,it is feasible to study the impact of the merger case on the performance.This paper refers to a large number of domestic and foreign literature,analyzes the basic situation of both enterprises,and adopts various ways to analyze the acquisition performance of Beijing Junzheng.On the one hand,this paper uses the event research method to calculate the cumulative excess yield of enterprises,and analyzes the short-term market effect produced by mergers and acquisitions.Then,from the financial perspective,the paper uses the financial index analysis method,factor analysis method and entropy value method to analyze the medium-and long-term performance after the acquisition.At the same time,appropriate indicators are also selected from the non-financial perspective to study the long-term performance of Beijing Junzheng after the acquisition.The analysis results show that the merger and acquisition has generally brought a positive effect for Beijing Junzheng.However,Beijing Junzheng needs to pay attention to the decline of sales gross profit margin,the dependence of performance on preferential policies,and the decline of solvency.Finally,this paper summarizes some suggestions through the discussion of this classic case.