Research On Synergistic Effect Of Cross-border M&a In Semiconductor Industry

With the rapid development of my country’s economy,cross-border mergers and acquisitions of companies in the semiconductor industry have become normalized,and the scale is huge,but how to complete cross-border mergers and acquisitions and continue to exert synergies is still a difficult problem in mergers and acquisitions.Although cross-border mergers and acquisitions can help companies introduce high-end talents and related technologies and go international,due to the great differences in culture,political system,law,etc.,there are huge risks in cross-border mergers and acquisitions.How to reasonably avoid or minimize risks requires success.Relevant experience support of M&A companies.This paper analyzes the whole process of company W’s merger and acquisition of company H,using case analysis as the main method,supplemented by PEST analysis,literature research,financial analysis,and qualitative analysis.M&A risks,synergy evaluation,etc.are analyzed,and the relevant enlightenments and suggestions of this case are summarized,and many valuable experiences such as how to ensure the sustainable development of synergies are provided to provide guidance for promoting Chinese semiconductor companies to achieve cross-border mergers and acquisitions and continue to exert synergies.The research results show that W Company has achieved a good synergy effect on the whole,which is reflected in the improvement of research and development technology,the enhancement of short-term and long-term solvency,the increase of domestic and foreign market share,the decrease of operating costs,the increase of operating income,and the increase of core competition.The power has been significantly improved,and it is in a stage of steady growth.However,the return on equity has been declining year by year.Therefore,W Company needs to formulate a scientific strategy to release the synergy effect for a long time.