The impact of large-scale global mergers and acquisitions on the coatings industry.

China Coatings network
: From December 5, 2015 Beijing time, a series of large-scale transactions means that 2015 has officially become the largest ever merger and acquisition transactions. According to statistics, in 2015, the total global mergers and acquisitions are expected to reach $4.7 trillion. The result is not impossible because, according to merger and acquisition brokers, many large-scale deals are currently being planned. This year will be a very important year for the "chronicle" of mergers and acquisitions, during which the boards of directors of companies increased confidence, borrowing costs are relatively low, the
coatings companies
in the global economic growth slowdown will inevitably become very efficient, and hope to keep up with the pace of mergers and other factors such as the support of many
coatings
enterprises have reached mergers and acquisitions agreements at the same rate.
, China's paint industry has experienced decades of development, and now a large number of foreign capital, for the paint industry to play a role in promoting. Many paint companies have started to expand their capacity in order to make more profits, resulting in overcapacity in the paint industry today.
we are now in the background of global macroeconomic development is not optimistic, China's economy certainly can not stay out of the way. As things stand, there are now more than 4,000 domestic paint companies, and there is still a rising momentum. Therefore, in the current domestic paint market demand space is limited premise, the number of paint enterprises in the continuous rise, will inevitably lead to the domestic paint industry vicious competition. If we want to avoid this, we must carry out resource integration, reduce the number of coating enterprises, improve the comprehensive strength of paint enterprises and paint product quality.
According to the current situation, there are not many cases of mergers and acquisitions between domestic paint enterprises, but the industry believes that the domestic environmental protection policy continues to high pressure, downstream market demand continues to shrink, under such conditions, there will be a part of small paint enterprises forced to disappear, and this situation, for large and medium-sized paint enterprises between mergers and acquisitions to create a certain amount of space for development. Therefore, in the future for a period of time, mergers and acquisitions will become the main line of the development of the domestic paint industry, the domestic paint industry will also be upgraded from a large developing country to a paint power.
coating enterprises timely and strong enterprises to join forces is feasible.
At present, compared with foreign-funded enterprises, in terms of capital, technology, brand and so on there is still a big gap, in this case, some of the current difficult to break through the development bottleneck of medium-sized paint enterprises, or which have a skill of the characteristics of paint enterprises, may wish to consider with some strong domestic enterprises or foreign-funded enterprises, with the advantages of the other side to strengthen their own. Of course, these enterprises in addition to hardware equipment to maintain a certain advantage, the key is to have channels, choose the right regional focus on development, and strive to become a strong brand with characteristics. If you still hold the idea of making chicken heads inappropriate anchovies, then the market share of these paint companies can only get smaller and smaller.
merger and acquisition process must choose a strong coating enterprises suitable for their own
small and medium-sized paint enterprises also need to pay attention to things, in the process of mergers and acquisitions, we must choose suitable for their own enterprises, in order to achieve complementary advantages. Some domestic paint enterprises that have the ability to become bigger and stronger through mergers and acquisitions need to pay attention to, in the process of implementing mergers and acquisitions, it is very important to choose the appropriate partners, if the products and channels of both sides are the same, companies alone to expand production capacity, then it may play the opposite role, but also because management can not keep up, channel conflicts lead to each other's performance has declined.
In addition, the paint industry in the merger and acquisition process if the attention of listed companies must be careful, some small paint enterprises do not want to increase visibility or ring a little development funds and carry a heavy burden, if the enterprise itself has the ability to list may wish to consider.