The company announced that it will merge and form a round, and the TSMC in the LED industry will be formed. This will make the price of the company more healthy and the upstream epitaxial plant will benefit. Jingdian announced last week that it will merge with Yuanyuan in the form of a share swap, and the end of this year is the conversion base date. In the future, the new crystal power accounted for 40% of the global LED epitaxial production value, not only in the world's crown, but also because of the simple production of epitaxial, unlike the Japanese manufacturer Nichia, and its downstream packaging, international manufacturers Philips, Osram, Branch Sharp will rely more on the foundry of crystal power, and TSMC in the LED industry has almost produced. Zhou Mingjun, general manager of Jingdian, said that Q3, Q4 and even next year, the production capacity is still in a state of explosion, so that Jingdian Q2 can select high-margin orders and transfer orders to Yuanyuan. Jingdian is about to announce its revenue in June. The legal person estimates that it will be about 3 billion yuan (NTD, the same below). The accumulated revenue in the second quarter will exceed 8 billion yuan, and the quarter will increase by about 30%. The round Q2 will still be at a loss, mainly because the unit price of the previous orders is low and the cost is high. However, due to the assistance of the crystal power, the round has already increased the selling price, and strives to turn the profit in Q3 in a single season. The market is more worried about China's mainland chip maker Sanan entering the crystal power through its holdings. However, Li Bingjie, chairman of Jingdian, said that Sanan’s three holdings are difficult to access the board of directors, and it is impossible to obtain business secrets or technical information. According to the M&A Law, Sanan has two choices. One is to convert the existing Yuanyuan shares into a shareholding in Jingdian, or to ask Yuanyuan to buy back the shares at the market price, with the temporary shareholders of Jingdian Yuanyuan on September 1. The price of the day will prevail. The legal person believes that after the crystal power and the roundness are completed, the crystal power will benefit from the economic scale in the long run, but in the short term, it is necessary to work hard to adjust the education. However, since the consolidated stock conversion benchmark date is scheduled for December 30, the two are currently in a flood season, and the personnel of Jingdian are still unable to fully enter. In other words, the adjustment of the round body constitution is completed, and it may take half a year to one year. The short-term benefit is the third century in the LED epitaxial factory in Taiwan. In the past, the new century must follow the price of the round, and now the two strong mergers, the price of the upstream epicenter is stable, and normal profits will also appear. The legal person estimates that the Q2 revenue in the new century is expected to increase by more than 10%, exceeding 1.2 billion yuan. Downstream packaging plants including Yiguang, Ronda and Dongbei have benefited from LED lighting this year, and the second quarter revenue performance is good. In June, Ronda’s revenue was doubled in the light of backlight backlighting, creating a new monthly high; Dongbei expanded its bulb production capacity to meet European and American big orders.