Since MediaTek announced its acquisition of Morningstar in June 2012, it has always been a hot topic in the industry.
The acquisition of Morningstar by MediaTek was considered incomprehensible at first, because the business overlap between the two parties was too high, and the market value of Morningstar was one-third of MediaTek. The acquisition was unnecessary, but later a friend familiar with the situation introduced that MediaTek was most worried about Qualcomm in the mobile phone field Not Spreadtrum but Morningstar. Although Morningstar ’s mobile phone business did not achieve impressive results until it was finally disbanded, Steven Yang ’s presence has always worried MediaTek, saying that Morningstar is a bit unlucky. According to Steven Yang ’s strength and TI ’s Leading the background of mobile phone chip development, Morningstar's mobile phone business is not so bad, but soon after the start of Morningstar's mobile phone business, Steven suffered from the pain and was unable to manage the company's mobile phone business. MediaTek worried that Steven's health would pose a great threat to himself. It is said that this is the key to MediaTek's acquisition of Morningstar to eliminate hidden dangers. Of course, this is just a family statement, believe it or not.
Some friends may ask Steven Yang to have such energy? In fact, the Morningstar business was far behind MediaTek at first. Later, it has already caused MediaTek to suffer a bit. It is said that Steven's body has returned to health now. Unfortunately, Morningstar is already the morningstar of MediaTek.
Steven did not agree with the listing of Morningstar because it would be controlled by the capital market after the listing, and later did not agree with the acquisition of Morningstar by MediaTek. Unfortunately, the company was unable to reverse it after the listing. Because the stock price after Morningstar listing was too stable, many shareholders lost patience and MediaTek announced the acquisition Soon after Morningstar, Steven Yang had left Morningstar to be an investor.
As of August 2012, MediaTek had acquired 48% of Morningstar ’s shares and became Morningstar ’s largest shareholder. It is reasonable that there should be no substantive actions before the merger of the mainland and South Korea ’s antitrust investigations was approved. However, this is not the case. MediaTek just announced that Morningstar, The consolidation of the mobile phone department has already begun. It is said that the consolidation is actually the abolition of the Morningstar mobile phone department. Basically, all employees of the Morningstar mobile phone department need to go to the MediaTek for an interview. After passing the qualification, they will be transferred to the MediaTek to work. Not many employees of the Morningstar mobile phone department in mainland China have moved to MediaTek to work. At present, Morningstar has no mobile phone department, and only has TV and automotive electronics business.
It cannot be said that MediaTek initially planned to acquire Morningstar in order to maintain the current status quo, otherwise MediaTek will not sell all of Ali ’s equity, because Ali ’s business overlaps with Morningstar, but midway through the acquisition of Morningstar, which already holds Morningstar After the 48% stake and the abolition of the mobile phone department, MediaTek executives may think that this is actually very good. On the one hand, if MediaTek Morningstar really merges, it will occupy 80% of the market share in the field of TV chips, and it may be even higher in the mainland. It is suspected of being a monopoly. Even after anti-monopoly investigations, TV customers will introduce other suppliers as candidates after the merger. It is true that the merged mobile phone business is 1 + 1 less than 2, and maintaining the status quo may be the best for the two teams to compete. Ending.
At present, there are many opinions about the mainland and South Korea's anti-monopoly investigation and review of MediaTek. Taking the mainland's current treatment of Taiwan's company policy, even if it is suspected of monopoly, Lao Yao does not think that the review will be held until the last day. It is not necessary for the mainland ’s review department to pass the cooperation and let it pass. Therefore, it is not surprising if the mainland finally rejected MediaTek ’s acquisition of Morningstar on the grounds of monopoly. As for South Korea, the impact of MediaTek ’s acquisition of Morningstar on Korean companies is far greater than that of mainland China. Color TV companies are much smaller and there is no need to obstruct their mergers.
If the mainland vetoes the merger, MediaTek just stopped the acquisition to maintain the status quo. It seems that the failure of the acquisition is actually the best ending. As for the acquisition of Morningstar through MediaTek, as long as MediaTek does not want the overall acquisition, it can find various reasons to maintain the status quo. The possibility of overall acquisition.
The reason for maintaining the status quo is a win-win result for the following reasons: 1. For MediaTek, it has reached the current level, eliminating the competitors most worried about in the mobile phone field; 2. For Morningstar, most shareholders have cashed out or transferred the shares of MediaTek, holding MediaTek Of shares are much safer than Morningstar. 3. Morningstar got rid of the mobile phone business and moved forward lightly; 4. MediaTek's acquisition of Morningstar will cause harm to the TV business, and it is good to maintain the status quo as a major shareholder.
Since Procter & Gamble can have Hyflux and Rejoice, and since Duan Yongping can be used by OPPO and Backgammon, it is not bad for Cai Mingjie to have MediaTek and Morningstar.
The above analysis is purely speculation, and the specific results may soon be known.
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