China's software industry is in a period of rapid development. In 2010, the industry realized business income of 1,336.4 billion yuan, surpassing the trillion mark for the first time. Yesterday (November 16th) CCID Investment Advisors released the latest data show that in 2011 China's software industry average monthly growth rate of 30%, to the end of August, the entire industry has exceeded trillion trillion in revenue.
In addition, under the stimulation of the market, relying on IPO and equity financing channels, software companies have begun to diversify into business models. Many large-scale enterprises have cut their business into Other professional fields. The Chinese software industry has set off an upsurge of mergers and acquisitions.
Zhang Tao, president of CCID Consulting, publicly stated yesterday that the software industry will become an upsurge in mergers and acquisitions. Among them, software companies with business characteristics, enterprises with unique technologies and R&D capabilities, and outsourcing partners of customer IT systems will become M&A hotspots.
According to the "Daily Economic News" reporter, on January 28, 2011, the "Notice on Further Encouraging the Development of Certain Software and Integrated Circuit Industries Policies" issued by the General Office of the State Council showed that the government will be responsible for taxation, investment and financing, import and export, and Seven aspects such as intellectual property rights support the software industry. Therefore, the rapid development of China's software industry has a direct relationship with the incentives of related policies.
Xu Wei, a senior consultant of CCID Investment Consulting Department, said in an interview with the reporter of the “Daily Economic News†that the country broadened the direct financing channels such as equity financing and debt financing of the software industry, and promoted the accelerated integration of software companies and capital markets, greatly assisting the country. The development of the software industry.
According to data released by CCID Consulting, from 2010 to October 2011, there were 52 IPOs for software companies, including 43 IPOs in the Mainland, with a total financing of RMB 29.446 billion. The number of equity financing cases reached 74 cases, of which 45 were cases of disclosed amounts, and the financing amount was 6.554 billion yuan.
“Equity financing channels involve angel investment, VC/PE investment and strategic investment.†Xu Wei stated that VC/PE investment is the main channel, and there are 48 cases of financing through this approach.
According to the observation of the reporter of "Daily Economic News", along with the entry of numerous capitals, the rapid acquisition of advantageous resources through mergers and acquisitions, and the realization of business expansion and strategic integration have become the primary considerations for domestic software companies.
Data shows that from 2010 to October 2011, a total of 101 mergers and acquisitions occurred in software companies. Among them, the major areas of M&A were industry application software, software services, game software, and network and information services. There were 65 mergers and acquisitions in the four major areas.
It is worth noting that apart from mergers and acquisitions by domestic companies, the current cross-border mergers and acquisitions are also becoming increasingly active as the internationalization of software companies accelerates. From 2010 to October 2011, there were 16 cases of cross-border mergers and acquisitions, and the disclosed M&A funds were 1.76 billion yuan, accounting for 17.86% of the total amount disclosed. Among them, Shanda Games completed two cases of cross-border mergers and acquisitions in 2010, involving a total amount of 175 million US dollars.
In addition, under the stimulation of the market, relying on IPO and equity financing channels, software companies have begun to diversify into business models. Many large-scale enterprises have cut their business into Other professional fields. The Chinese software industry has set off an upsurge of mergers and acquisitions.
Zhang Tao, president of CCID Consulting, publicly stated yesterday that the software industry will become an upsurge in mergers and acquisitions. Among them, software companies with business characteristics, enterprises with unique technologies and R&D capabilities, and outsourcing partners of customer IT systems will become M&A hotspots.
According to the "Daily Economic News" reporter, on January 28, 2011, the "Notice on Further Encouraging the Development of Certain Software and Integrated Circuit Industries Policies" issued by the General Office of the State Council showed that the government will be responsible for taxation, investment and financing, import and export, and Seven aspects such as intellectual property rights support the software industry. Therefore, the rapid development of China's software industry has a direct relationship with the incentives of related policies.
Xu Wei, a senior consultant of CCID Investment Consulting Department, said in an interview with the reporter of the “Daily Economic News†that the country broadened the direct financing channels such as equity financing and debt financing of the software industry, and promoted the accelerated integration of software companies and capital markets, greatly assisting the country. The development of the software industry.
According to data released by CCID Consulting, from 2010 to October 2011, there were 52 IPOs for software companies, including 43 IPOs in the Mainland, with a total financing of RMB 29.446 billion. The number of equity financing cases reached 74 cases, of which 45 were cases of disclosed amounts, and the financing amount was 6.554 billion yuan.
“Equity financing channels involve angel investment, VC/PE investment and strategic investment.†Xu Wei stated that VC/PE investment is the main channel, and there are 48 cases of financing through this approach.
According to the observation of the reporter of "Daily Economic News", along with the entry of numerous capitals, the rapid acquisition of advantageous resources through mergers and acquisitions, and the realization of business expansion and strategic integration have become the primary considerations for domestic software companies.
Data shows that from 2010 to October 2011, a total of 101 mergers and acquisitions occurred in software companies. Among them, the major areas of M&A were industry application software, software services, game software, and network and information services. There were 65 mergers and acquisitions in the four major areas.
It is worth noting that apart from mergers and acquisitions by domestic companies, the current cross-border mergers and acquisitions are also becoming increasingly active as the internationalization of software companies accelerates. From 2010 to October 2011, there were 16 cases of cross-border mergers and acquisitions, and the disclosed M&A funds were 1.76 billion yuan, accounting for 17.86% of the total amount disclosed. Among them, Shanda Games completed two cases of cross-border mergers and acquisitions in 2010, involving a total amount of 175 million US dollars.
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