Core Points - The Shenzhen Municipal Financial Management Bureau and other departments have launched an action plan to promote high-quality development through mergers and acquisitions (M&A) for local listed companies from 2025 to 2027, aiming for a total market value of over 20 trillion yuan and the cultivation of 20 companies with a market value of over 100 billion yuan by the end of 2027 [1][2] Group 1: Focus on New Quality Productivity - The action plan emphasizes the integration of M&A with Shenzhen's "20+8" strategic emerging industry clusters, supporting leading companies in sectors like integrated circuits, artificial intelligence, new energy, and biomedicine to enhance their supply chains through acquisitions [2] - The plan aims to replicate successful M&A models seen in tech giants like Amazon and Nvidia, which have achieved growth through continuous integration and technology upgrades [2] - Successful cases such as BYD's acquisition of Jabil's mobile electronics business and Luxshare Precision's acquisition of Qorvo's semiconductor assets illustrate the value of M&A in expanding customer boundaries and deepening industry integration [2] Group 2: Building a Patient Capital System - To address funding challenges for M&A, the plan proposes a comprehensive financial support system, encouraging the use of various financing tools such as cash, shares, and convertible bonds [3] - The establishment of a "patient capital" system is highlighted, with initiatives to involve industry funds in quality M&A projects and support the cultivation of acquisition targets through angel and seed funds [3] - The plan aims to create a virtuous cycle of "exit-reinvestment" to provide stable, long-term funding for valuable M&A projects, avoiding short-term profit-seeking behaviors [3] Group 3: Connecting with Hong Kong Market - The action plan identifies the connection with the Hong Kong capital market as a key task, supporting enterprises in conducting cross-border mergers and acquisitions through various investment methods [4] - Encouragement for collaboration between Shenzhen and Hong Kong to establish equity investment funds for industrial acquisitions is included [4] - The plan also emphasizes the need for cooperation between Shenzhen Stock Exchange and Hong Kong Stock Exchange to explore interconnected mechanisms for M&A and financing [4][5]

Core Viewpoint - The Shenzhen Municipal Financial Management Bureau, in collaboration with the Shenzhen Development and Reform Commission, has issued an action plan aimed at promoting high-quality development of mergers and acquisitions (M&A) from 2025 to 2027, targeting significant growth in the local economy and corporate landscape [1][3]. Group 1: Goals and Targets - By the end of 2027, the total market capitalization of listed companies in the region is expected to exceed 20 trillion yuan, with the aim of nurturing 20 companies with a market value of over 100 billion yuan [3]. - The plan anticipates completing over 200 M&A projects with a total transaction value exceeding 100 billion yuan, alongside establishing a series of industry demonstration cases [3]. Group 2: Focus Areas for M&A - The action plan emphasizes M&A activities centered on new productive forces, particularly in strategic emerging industries such as integrated circuits, artificial intelligence, new energy, and biomedicine [4]. - It encourages leading companies to engage in upstream and downstream M&A to enhance supply chain capabilities and improve key technological levels [4]. Group 3: Support Mechanisms - The establishment of a project database for M&A targets is proposed to ensure comprehensive coverage of key industries in Shenzhen [5]. - The plan outlines the creation of a supportive capital system for M&A, including expanding financing channels and encouraging the use of various financial instruments for M&A transactions [6]. Group 4: Cross-Border M&A Resources - The action plan aims to connect domestic and international M&A resources by leveraging cross-border asset transfers and investments [7]. - It supports collaboration between the Shenzhen Stock Exchange and the Hong Kong Stock Exchange to enhance M&A financing mechanisms and promote innovative M&A cases [8].

Core Objectives - The Shenzhen Municipal Government aims to enhance the quality of listed companies, targeting a total market capitalization of over 20 trillion yuan by the end of 2027, and to cultivate 20 companies with a market value of over 100 billion yuan. The plan includes completing over 200 merger and acquisition (M&A) projects with a total transaction value exceeding 100 billion yuan [6][23]. Focus Areas for M&A - The plan emphasizes M&A activities in strategic emerging industries such as integrated circuits, artificial intelligence, new energy, and biomedicine. It encourages leading companies to acquire quality, unprofitable assets that can strengthen supply chains and enhance key technological capabilities [7][24]. Establishment of M&A Project Database - A project database for M&A targets will be established, covering key industrial sectors in Shenzhen. A mechanism for project recommendation will be created to facilitate the identification and selection of M&A projects [8][24]. Financing Channels for M&A - The plan encourages companies to utilize various financing methods, including cash, shares, and convertible bonds, to support M&A activities. It also promotes bank loans and innovative financing solutions for technology-driven enterprises [10][25]. Development of Patient Capital System - The initiative supports the involvement of angel funds and government investment funds in identifying and nurturing technology-driven small and medium-sized enterprises (SMEs) for M&A opportunities [13][26]. Encouragement of Social Capital Participation - The plan supports corporate venture capital and private equity funds in participating in M&A activities, emphasizing the importance of strategic investments and the establishment of a reverse linkage mechanism for investment terms [14][27]. Connection with Hong Kong Capital Market - The initiative aims to facilitate cross-border M&A by supporting qualified companies in listing or refinancing in Hong Kong, thereby enhancing the efficiency of cross-regional M&A activities [15][27]. Establishment of M&A Service Platform - Shenzhen Stock Exchange will develop a comprehensive service system for M&A projects, providing one-stop services throughout the project lifecycle [16][28]. Optimization of M&A Market Ecosystem - The plan encourages financial institutions to enhance their professional service teams for M&A, aiming to create leading service providers in the industry [17][29]. Risk Prevention in M&A Activities - The initiative emphasizes the importance of risk monitoring and compliance in M&A transactions, aiming to prevent unethical behaviors and ensure financial security [19][30]. Strengthening M&A Work Mechanisms - A special coordination mechanism will be established under the leadership of the municipal financial committee to facilitate M&A activities and streamline processes for key projects [31].