Recently, under the support of a series of new policies, the activity of mergers and acquisitions (M&A) and reorganizations of state-owned enterprises (SOEs) has continued to increase. Major reorganizations have emerged in various fields such as energy and power, mineral resources, and strategic emerging industries like new energy vehicles, new materials, and artificial intelligence are heating up in terms of M&A integration. From the relevant arrangements, it is expected that in the future, SOEs will increase the intensity of strategic reorganizations, professional integration, and forward-looking layouts, carrying out more high-quality M&A around new technologies, new fields, and new tracks, to create a second growth pole for the development of strategic emerging industries.

Gansu Energy announced on the evening of October 14 that the Shenzhen Stock Exchange's M&A Reorganization Committee reviewed and passed the company's share issuance to purchase asset project. The company previously announced its plan to purchase 66% of the equity of Gansu Electric Power Investment Changle Power Generation Co., Ltd., held by Gansu Electric Power Investment Group Co., Ltd., through the issuance of shares and cash payment, and at the same time, it plans to issue shares to specific objects to raise supporting funds. After the implementation of the reorganization, the company will achieve expansion into the peak load power business field related to new energy power generation, significantly enhancing the profitability of the listed company.

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This reorganization is the first M&A reorganization project approved by the A-share market after the issuance of the "Opinions on Deepening the Reform of the M&A Reorganization Market of Listed Companies" and is also a microcosm of SOEs leveraging integration to exert strength in new tracks.

In fact, whether it is based on the development of new quality productive forces or from the perspective of deepening the reform of SOEs and optimizing and adjusting the layout of the state-owned economy, M&A reorganization is an important means.

On September 30, the State Power Investment Corporation (SPIC) fired two "arrows" in succession, successively defining the nuclear power operation asset integration platform and the domestic hydropower asset integration platform; on September 18, the reorganization plan of China Shipbuilding to absorb and merge China Shipbuilding Heavy Industry was announced, which is expected to become the largest M&A transaction in the history of A-shares; on September 8, Salt Lake Co., Ltd. announced that its controlling shareholder Qinghai State Investment and China Minmetals planned to jointly establish China Salt Lake Group, with China Minmetals indirectly taking over the listed company.

The intensity of local SOE reorganizations and integrations has also been further increased. For example, Sichuan Province recently clarified that it will promote the optimization and structural adjustment of the layout of the state-owned economy, deploy characteristic advantage industries and strategic emerging industries with greater strength, and orderly promote the strategic reorganization and professional integration of SOEs. The integration and establishment of Sichuan Science and Innovation Investment Group and Sichuan Data Group.

"With the full promotion of the new round of SOE reform deepening and upgrading actions, the integration and reorganization of SOEs will continue to accelerate, and emerging industries will become an important direction. SOEs will promote the rapid development of emerging industries by integrating advantageous resources and technical forces, injecting new momentum into the economy," said Zhou Lisa, a researcher at the China Enterprise Reform Research Association, when accepting记者采访.

This trend can also be seen from the relevant policy orientation and actions. At the recent Central Enterprise Professional Integration Promotion Meeting, Wang Hongzhi, a member of the Party Committee and deputy director of the State-owned Assets Supervision and Administration Commission of the State Council, said that it is necessary to aim at key areas and core products, innovate integration methods, grasp strategic directions and timing according to the characteristics of industry development, use M&A means, and achieve substantial breakthroughs as soon as possible to create a second growth pole for the development of strategic emerging industries.

On the same day, 12 groups of 26 units' professional integration projects were signed in a concentrated manner, most of which belong to strategic emerging industries such as new energy vehicles, new materials, and artificial intelligence. These include the cooperation project between FAW Group, China North Industries Group, Dongfeng Corporation, and China Chengtong New Energy Vehicle Power Battery, the cooperation project between Aviation Industry Corporation of China and China Aero Engine Corporation on composite materials, and the artificial intelligence cooperation project between China Green Development and iFLYTEK Co., Ltd.

"The professional integration and reorganization of this time can form a central enterprise power battery industry resource platform that synergistically implements national major strategies and undertakes new industry tasks, further enhancing the innovation, research and development, control, and discourse power of the central enterprise new energy vehicle industry chain," said a person in charge of FAW Group.At the subsequent third special promotion meeting of the Deepening and Enhancing Action for the Reform of State-owned Enterprises in 2024, the State-owned Assets Supervision and Administration Commission of the State Council once again emphasized the need to intensify strategic restructuring, professional integration, and forward-looking layout. More high-quality mergers and acquisitions should be carried out around new technologies, new fields, and new tracks. Post-merger integration should be well managed, and the orderly exit of "two non" and "two capital" should be actively promoted. The green channel for exit should be improved to free up more resources for the development of emerging industries and the promotion of scientific and technological innovation.

Zhou Lisha suggested that the integration and reorganization of state-owned enterprises should focus on practicality and sustainability. The actual situation of the enterprises and the market environment should be fully considered to ensure that the integrated enterprises can continue to develop healthily and enhance overall competitiveness.