Research On The Motivation And Performance Evaluation Of Technology Mergers And Acquisitions Of Semiconductor Enterprises

The semiconductor industry has become the strategic basis for China’s game in the national defense,technology and other fields.However,China’s semiconductor industry started relatively late and the development of China’s semiconductor industry is still backward.In addition,the United States and other semiconductor technology leading countries have suppressed the development of China’s semiconductor industry by means of semiconductor equipment export restrictions,technology blockade and other means.Based on this,technology M&A has become an trend in the development of the semiconductor industry.Through combing the research on technology M&A,this paper finds that scholars have little comparative research on the motivation and performance of different types of technology M&A.Therefore,through comparative analysis of two cases,this paper analyses the motivation and the impact of different types of technology M&A on semiconductor enterprises.This paper classifies technology M&A into enhanced technology M&A and complementary technology M&A,selects the event of JCET Group and the complementary technology M&A event of Will Semiconductor Co.,Ltd,and makes a comparative analysis of the M&A motivations,short-term performance,non-financial performance and the short-term performance of capital market.Finally,the conclusion is drawn and suggestions are put forward.The study found that the M&A motivation of enhanced technology M&A and complementary technology M&A are quite different.The motivation of enhanced technology M&A includes strengthening market power,creating scale effect,obtaining synergy effect,etc;The M&A motivations of complementary technology M&A include diversification of business types,assistance in enterprise transformation,and extension of industrial chain layout.The M&A of JCET Group has a positive impact on the short-term market performance of JCET Group;In the event of the M&A of Omnivision Technology(Beijing)by Will Semiconductor Co.,Ltd,although there was no excess return according to the analysis of the Shanghai Stock Exchange Index,it was mainly because the overall market performance of the semiconductor sector was poor during the M&A,which made the performance of this M&A not obvious.In terms of non-financial performance,the enhanced technology M&A helps JCET Group to develop overseas high-end customer market for sealing and testing,improve the R&D capability of sealing and testing technology,and optimize the enterprise talent structure;Complementary technology M&A helps Will Semiconductor Co.,Ltd to enter the CIS golden race,enhance scientific research ability,and increase the proportion of high-quality technical talents.In terms of financial performance,through enhanced technology M&A,in terms of profitability,JCET Group reversed the loss situation of STATSChipPAC,and the profitability showed a positive trend;In terms of solvency,the cost of the M&A of JCET Group has increased the debt pressure for a short time,but it has been rapidly digested,and the long-term solvency has improved;In terms of operating capacity,JCET Group has increased new sales channels and accelerated the speed of production and sales turnover;In terms of growth capacity,JCET Group has increased its development potential in overseas markets.Through the enhanced technology M&A,in terms of profitability,after the successful transformation of Will Semiconductor Co.,Ltd,the gross profit rate of its new main business is high,improving the profitability of the enterprise;In terms of solvency,Omnivision Technology(Beijing)has sufficient cash on its account to relieve the debt pressure of Will Semiconductor Co.,Ltd;In terms of operating capacity,after the transformation of Will Semiconductor Co.,Ltd shares,the operating capacity is slightly weakened due to the new main business characteristics;In terms of growth capacity,the strategic direction of Will Semiconductor Co.,Ltd has changed and its development potential has increased.Finally,the paper puts forward relevant suggestions on the M&A of semiconductor enterprises,with a view to providing reference for the technology M&A of semiconductor enterprises.