Drying equipment accelerates overseas mergers and acquisitions and combines policy advantages as the best policy

According to industry sources, if the M&A operation is likened to the â€œD-Norman Landingâ€ of many drying equipment companies in the European market, then the success of the merger is only to occupy the beachhead. Whether or not we can further expand our achievements and achieve our goal in depth depends on whether we can manage the newly formed company well and develop it quickly. This is also another severe test for many drying equipment companies in China.

Accelerating the pace of overseas acquisition of drying equipment In recent years, the development of drying equipment in China has been advancing by leaps and bounds. Some drying equipment companies have established themselves as the top five targets in the world's drying equipment industry. Therefore, seeking technological advancement through overseas mergers and acquisitions is an inevitable choice for the company's long-term development strategy.

From the perspective of foreign companies that have been acquired by Chinese companies, they have certain advantages in terms of products, technology, and brands. The people in the industry have had a deep understanding of the difficulties that they face after the merger and acquisition. Fortunately, prior to the acquisition of foreign drying equipment companies, domestic drying equipment companies have had 20 years of technical cooperation experience with them, and both sides have established a good basis for mutual trust.

Therefore, overseas mergers and acquisitions, China's drying equipment companies must weigh their own strengths and better serve the company's long-term strategy, but also combined with policy advantages to accelerate the pace of mergers and acquisitions.

Domestic drying equipment mergers and acquisitions boom for the choice of target drying equipment companies, to China's dry equipment companies trick, "acquisition of some foreign two or three flow drying equipment companies may be a shortcut." In fact, this "snakes" The argument has been adopted by many domestic drying equipment companies that try water transnational operations. "They tend to buy those smaller drying equipment companies." Mr. Zhang analyzed, "For the moment, the turnover is 200 million euros, and the acquisition The amount of foreign drying equipment enterprises with a value below 34 million euros is more suitable for the merger and acquisition of drying equipment companies in China. Of course, this is mainly determined by the different conditions of the drying equipment companies."

Some bankruptcy and insolvency companies seem to have become protagonists in some mergers and acquisitions. It is said that there are 30,000 to 60,000 drying equipment enterprises in foreign countries go bankrupt each year, which just gives foreign dry equipment companies opportunities. One of the businesses of many foreign law firms is to provide these drying equipment companies worldwide with buyers. In this regard, a drying equipment industry expert stated that lower prices are by no means the only considerations for acquisitions, and it is most important to obtain high technology to achieve the complementary advantages of technology, products, and markets.

Frequent mergers and acquisitions by drying equipment companies in the country once worried many foreigners, but this did not prevent foreign countries from continuing to open their arms to welcome Chinese investors. Investment promotion conferences in various regions have come and gone. According to statistics, the owners of about 700 foreign companies currently come from China, and the acquisitions are mostly concentrated in the industries of drying equipment, textiles and sewing machinery, auto parts and new energy, and other industries. â€œIn the eyes of the Chinese, foreign companies stand in the manufacturing industry. At its peak, it is not surprising that a large number of investments are concentrated in these areas."

The needs of the country and the market are the cornerstones of innovation for drying equipment companies. Drying equipment manufacturing companies must conform to the industry development pattern, identify new positioning, and constantly improve their competitiveness in competition with foreign manufacturers.

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