Trina Optoelectronics and Hongshengxiang team up to launch the "first shot" of integration and mergers and acquisitions in 2016

"LED Screen Display World" News: On December 26, the merger signing ceremony and the first dealer conference between Shenzhen Trina Optoelectronics Co., Ltd. (hereinafter referred to as Trina Optoelectronics) and Zhongshan Hongshengxiang Optoelectronics Lighting Technology Co., Ltd. (hereinafter referred to as Hongshengxiang) opened grandly in Zhongshan City. As the most typical horizontal merger case at the end of 2015, this conference attracted the active participation of many government institutions, industry veterans, dealers, and suppliers.

At the meeting with the theme of "Working Hand in Hand to Create the Future", Huang Jun, General Manager of Trina Optoelectronics, delivered a year-end summary and outlook speech. He said that despite the current severe industry situation, Trina Optoelectronics' annual sales have still exceeded 320 million; and in the face of the current LED display industry situation, Trina Optoelectronics' integration with Hongshengxiang will play an important role in the future development and growth of the two companies. Both parties will further leverage their respective advantages in the future development layout, continue to make efforts to promote the two companies to become bigger and stronger, and truly achieve win-win cooperation.

Huang Jun, general manager of Trina Optoelectronics

At the same time, Xiao Wenyu, general manager of Hongshengxiang, delivered a wonderful speech. She was full of confidence in the development prospects of Hongshengxiang and Trina Optoelectronics after joining forces. Xiao Wenyu said that this cooperation is a new starting point. Both parties must work together and go hand in hand to strive to improve performance and create more brilliance in the new year.

Xiao Wenyu, general manager of Hongshengxiang

In addition, dealers, suppliers and other representatives from the industry also took the stage to speak, fully affirming the group integration and providing suggestions for future market development.

Trina Optoelectronics Chairman Huang Jun and Hongshengxiang Chairman Wang Chenhui signed a merger and acquisition agreement

During the dinner, Hongshengxiang signed a strategic cooperation agreement and an industry-university-research cooperation agreement with Guangdong Cinda Optoelectronics Technology Co., Ltd. (hereinafter referred to as Cinda Optoelectronics) and Zhongshan Torch Vocational and Technical College (hereinafter referred to as Torch Vocational College) respectively.

Huang Jun, chairman of Trina Optoelectronics, and Tan Yi, general manager of Cinda Optoelectronics, signed a strategic cooperation agreement

Xie Xiangwu, executive deputy general manager of Hongshengxiang, and Wang Chunxu, dean of Torch Vocational College, signed an industry-university-research cooperation agreement

It is understood that Trina Optoelectronics was founded in 2010 and is located in Bao'an District, Shenzhen City, where the LED industry is concentrated. It covers an area of ​​more than 10,000 square meters and is committed to providing global customers with the best solutions integrating professional LED display design, R&D, production, sales, and engineering services. In just a few years, Trina Optoelectronics has grown into a medium-to-large-scale enterprise with annual sales of 300 million yuan. Its products are sold in large and medium-sized cities, second- and third-tier cities across the country, and in more than 60 overseas countries. After the merger, Trina Optoelectronics' monthly production capacity may reach 700,000 pieces in 2016, and the total annual sales of the two companies are expected to exceed 650 million yuan.

Trina Optoelectronics dealers and supplier representatives took a group photo after the meeting

Zhongshan Hongshengxiang Optoelectronic Lighting Technology Co., Ltd. is located in the Zhongshan Torch Development Zone in the Pearl River Delta, the most rapidly developing frontier of the LED industry. It is a production and wholesale manufacturer specializing in the research and development, production and sales of LED display modules and small-pitch unit boxes. The company has strong financial strength and the most advanced SMT production equipment in the industry. Its performance has grown rapidly in recent years.

Attendees visited Hongshengxiang’s production workshop

It is reported that the main businesses of the two companies are highly overlapping. Through this merger and integration, Trina Optoelectronics and Hongshengxiang can be said to be "in the same spirit". Under the sincere cooperation model of sharing resources and channels, they will further improve their strategic layout in the field of LED display modules, which will help enhance their ability to resist risks and achieve win-win cooperation.

In the LED industry, where mergers and acquisitions are common, horizontal mergers and acquisitions with such a high degree of overlap in business, channels, and resources are rare. It is no wonder that this merger and acquisition signing ceremony and the first dealer conference have received widespread attention in the industry.

Under the general trend of "working alone, it is better to work together to stay warm", Hongshengxiang and Trina Optoelectronics have undoubtedly been at the forefront of the market and industry, and have also provided an effective reference for LED companies that are hesitant and have uncertain development prospects.

The horizontal mergers and acquisitions of these two companies can be said to have fired the first warm-up shot for the integration and mergers and acquisitions wave in the LED display industry in 2016. Perhaps, a new round of mergers and acquisitions integration wave in the industry is about to come.