Recently, more and more Chinese enterprises are seeking to acquire German enterprises. Such as the appliance maker Midea Group has announced through the TOB way to get 94.55% of the shares of KUKA, the German government said "not involved", the acquisition is expected to be successfully completed; China Fujian Investment Fund Group announced in May to 670 million euros (7.4705 Billion Dollars) Acquires AIXGn.DE, a German semiconductor equipment factory; China National Chemical has an interest in investing in SGL Arbon ...

 

After the National Day Golden Week, the case of another Chinese company seeking to reign in Germany's renowned high-tech enterprise for access to advanced patented technologies aroused widespread media attention in Germany. The German "Business News" and "Economic Weekly" and other media have reported that China San An Optoelectronic intends to acquire the German lighting company Osram (Osram) news, for a time, the Chinese "buy and buy" in Germany caused a lot of media attention.

 

Chinese enterprises made in Italy

 

The Voice of Germany quoted the "New Zurich News" as saying that Chinese companies are apparently endlessly hungry for the acquisition of German companies. According to a study by Ernst & Young, Chinese investors bought 37 German companies in the first half of the year, setting a record. In 2015, 39 German companies were acquired by Chinese companies. Total investment expanded even more strongly: total investment in 2015 was $ 526 million, while total investment in the first six months of this year already reached $ 10.8 billion. Therefore, Stuttgart, Director of the International Marketing Department of the German Federation of Industrial Industries (BDI), pointed out to the "New Zurich Newspaper" that the current top priority is to eliminate the asymmetry in market access between the two parties. "When German companies participate in Chinese enterprises, To face various restrictions, there are still many quotas on the terms of technology transfer and Germany must urge China to eliminate these barriers to investment. "

 

Finanzen.net, a German financial information website, analyzes the Chinese companies' intention to acquire Osram. Westman, a financial commentator, points out that for Siemens President Caesar, this could be a good opportunity to get rid of the old stake that was left in your hands, both in a calm and lucrative way. After OSRAM established its own account three years ago, Siemens also held a full 17% stake. Moreover, Caesar and OSRAM CEO Boling has long been lost, the result is the latter part of November 2015 announced corporate relocation program. The stock market rebounded sharply, Osram's stock plunged. The market value of Osram shares held by Siemens shrank by 260 million euros overnight. The financial commentator believes that if San An Optoelectronics intends to acquire Osram, then it is likely to turn out to be a consensual deal: "These (about acquisitions) rumors shook Oster shareholders face" . Investors who bought Osram shares for the first time after the news came out can now see the stock rising 150%. If the merger war on Osram really started, then the stock surge is far from reaching its peak.

 

According to the German Institute for Economic Research, one of the reasons why Chinese enterprises obviously increase the intensity of their mergers and acquisitions in Germany at present is the current sluggishness of the Chinese stock market and the declining economic growth trend. Domestic demand is not sufficient and the development of enterprises is hindered. They want to take a place in the European market by investing in M ​​& A. On the other hand, it also helps German companies better access the Asian market.

 

In an interview with the German news agency, an expert from Germany's Western Union Law Firm specializing in the German M & A business said: "China is rich and must cast its money out." Against the background of the pressure of devaluation of the Renminbi, if Chinese enterprises do not invest overseas now, the investment cost in the future is likely to increase substantially.

 

German public opinion mixed

 

Chinese investors eyeing another laurel of German industry and for the first time involved in the well-known German consumer brand Osram, the German government has been nervous nerves become more sensitive.

 

Osram has 18,000 patents for lighting, including 1,700 patents for OLEDs and 6,600 LED chips, which is of great appeal to Chinese companies. The German government rejects the acquisition of Osram by the Chinese alone because there are no sufficient grounds for foreign economic law. The Berlin political community is aware of the need to take action to promote improved legislation from the EU level to limit China's investment. For this reason, German Deputy Prime Minister and Minister of Economy Gabriel wrote an article in the media calling for the enactment of an article on the protection of industrial policies in order to prevent important industries, which are related to the economic strategy of Europe, from falling into the hands of foreign investors.

 

However, the merger of Chinese companies Osram may progress in the coming weeks, the German government and the EU are unable to amend the law in a short time. However, a large amount of China's investment has drawn close attention from Germany and will consider case-by-case mergers and acquisitions on a case-by-case basis to ensure that important German technologies will not flow outside.

 

Woodcock, chairman of the European Chamber of Commerce in China, said that Europe welcomes fresh capital from China, but both should have equal opportunities and Chinese people can enjoy all-you-can-eat buffet, while Europeans have only four courses to choose from. In 2015, China's investment in Europe was in Europe Double the amount of investment, and the future of China's investment will continue to significantly increase the opening of Europe in contrast with China's restrictions.

 

According to the German n-tv television news website recently reported that San An Optoelectronic intends to acquire the German lighting company OSRAM news sparked the German government's unease. A spokesman for the Federal Ministry of Economy said the takeover was a corporate act, but the government's deep concern over China's enthusiasm for the acquisition of German companies. In principle, Germany is an open economy. Foreign enterprises are welcome to invest in Germany. However, "We did not enjoy the equal and open conditions they enjoyed in Germany, such as investment, in China. Therefore, we must consider how to deal with this situation."

 

German "Securities Online" commented in an article said that the German business community on China's large-scale investment mergers and acquisitions of different attitudes. Many business people are worried that Germany's core technology will be out of circulation, some corporate shareholders worried that the company's products in the future may be "cheaper prices" for sale. A spokesman for the German Association of Investors (DSW) appealed to people to look objectively at China's investment and M & A behavior and asked for a concrete analysis of specific issues. Enterprises should make their own assessment of the situation and the acquisition after a comprehensive analysis and then make a decision. DSW spokesman also stressed that "many Chinese M & A is a positive behavior, the so-called core technology loss has been exaggerated."