Proceedings of the 4th Management Science Informatization and Economic Innovation Development Conference, MSIEID 2022, December 9-11, 2022, Chongqing, China

Research Article

Research on M&A Valuation and Synergy Effect Measurement of Artificial Intelligence Enterprises -Taking GigaDevice Company's M&A of Silead Company as an Example

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  • @INPROCEEDINGS{10.4108/eai.9-12-2022.2327609,
        author={Mengting  Li},
        title={Research on M\&A Valuation and Synergy Effect Measurement of Artificial Intelligence Enterprises -Taking GigaDevice Company's M\&A of Silead Company as an Example},
        proceedings={Proceedings of the 4th Management Science Informatization and Economic Innovation Development Conference, MSIEID 2022, December 9-11, 2022, Chongqing, China},
        publisher={EAI},
        proceedings_a={MSIEID},
        year={2023},
        month={3},
        keywords={artificial intelligence synergistic effect mergers and acquisitions},
        doi={10.4108/eai.9-12-2022.2327609}
    }
    
  • Mengting Li
    Year: 2023
    Research on M&A Valuation and Synergy Effect Measurement of Artificial Intelligence Enterprises -Taking GigaDevice Company's M&A of Silead Company as an Example
    MSIEID
    EAI
    DOI: 10.4108/eai.9-12-2022.2327609
Mengting Li1,*
  • 1: Wuhan University of Technology
*Contact email: 15327213792@163.com

Abstract

With the support of national policies and the growth of market demand, the artificial intelligence industry has developed rapidly. In order to enhance enterprise value and competitiveness, mergers and acquisitions have become the choice of many artificial intelligence enterprises. In order to further explore whether M&A can have a positive impact on the development of artificial intelligence enterprises, this paper selects GigaDevice 's acquisition of Silead as a case to explore the M&A valuation and synergy effect measurement methods of artificial intelligence enterprises. Based on the business data before and after M&A, this paper makes a comprehensive analysis from three dimensions: static synergy effect, dynamic synergy effect and short-term synergy effect under event research method. The results show that M&A can promote the value of the company in the short term, but too high a premium may bring greater losses and risks to the company. Finally, based on the research results, this paper provides suggestions for mergers and acquisitions of artificial intelligence companies and provides reference for the development of the artificial intelligence industry.