This article is reprinted from the Semiconductor Industry (ID: ICVIEWS), by21st Century Business Review
Exhibiting financial skills to expand scale.
Yangzhou’s female CEO, Liang Qin, is about to acquire an electronic components company.
In mid-September, her controlled company, Yangjie Technology, announced plans to acquire 100% of Better Electronics for 2.218 billion yuan in cash. The two parties signed the agreement on September 11, and the share transfer will be completed within two months.
After the completion of this transaction, Better Electronics will become a wholly-owned subsidiary of Yangjie.
According to a reporter from 21CBR, who consulted the securities department of Yangjie Technology regarding the reasons for the acquisition, the response was that the products of both companies are related, and there is customer synergy that can create mutual advantages.
Liang Qin, 53 years old, is from Yangzhou and is the founder and chairman of Yangjie Technology. She has led her team in multiple acquisitions to expand the business landscape, establishing a leading company in power semiconductors.
As of the close on September 17, its market value was 36.57 billion yuan, having increased by 12.9 billion yuan this year.
Quick Resolution
The price offered by Liang Qin’s team is quite sincere.
As of the end of March, Better Electronics had a net asset of 590 million yuan. The evaluation company used the income method to assess its market value, considering the company’s future profitability and corresponding risks, giving it a valuation of 2.2 billion yuan.
The final transaction price determined by both parties was 2.218 billion yuan, which represents an increase of over 270% compared to the net assets of the target company. In terms of amount, this is the largest acquisition initiated by Liang Qin.
In March, Yangjie Technology announced that it would fully acquire Better Electronics.
“As the chairman, I must take responsibility for the company’s strategic direction.”
In September 2024, Liang Qin mentioned in an interview that she needs to focus on major issues, with investments at the billion level, while also paying attention to some details as a female entrepreneur.
Source: Better Electronics
Reporters from 21CBR noted that to address investors’ questions, Liang personally communicated with them regarding this acquisition.
In a July online communication meeting, she and three executives collectively answered 39 questions. Liang Qin’s team explained the value of Better Electronics to the company, covering strategic and product synergy aspects.
The transaction progressed rapidly. From the official announcement of the acquisition to finalizing the amount, payment methods, and other details, Liang Qin’s team took only 182 days.
When disclosing the acquisition intention, Yangjie Technology originally planned to acquire by paying shares. However, Better Electronics has 67 shareholders, each with different demands, making it more difficult.
To smoothly advance the transaction, they switched to a cash payment method.
Liang Qin’s team set performance commitment clauses in the agreement, requiring the target company to achieve a net profit of no less than 555 million yuan over three years from 2025 to 2027.
Collaborative Efforts
Liang Qin is focused on Better Electronics, which mainly manufactures power electronic protection components.
Its products include power fuses, self-resetting fuses, etc. In 2024, its revenue was 837 million yuan, with a net profit of 113 million yuan.
This aligns with the key business focus of Yangjie Technology.
Yangjie has over-voltage protection devices such as transient voltage suppressor diodes and electrostatic discharge protection diodes, and is expanding into over-current protection components like power fuses.
“There is both functional overlap and the ability to jointly provide current and voltage handling services for electrical scenarios and devices,” mentioned a Yangjie Technology executive, adding that after the acquisition, the product matrix will be more complete, resulting in a good synergy effect in end applications.
Better Electronics has a comprehensive range of products, with sales in automotive electronics, photovoltaics, energy storage, etc., and major clients including Galanz, Luxshare Precision, BYD, etc.
This is precisely the key area for Yangjie Technology.
In the first half of the year, Liang Qin’s team focused on automotive electronics, artificial intelligence, and photovoltaic energy storage, securing top industry clients, leading to a surge in automotive electronics performance.
In 2024, Better Electronics’ revenue growth rate is 33%, and based on this calculation, its revenue in 2025 will reach 1.1 billion yuan. After the share transfer is completed, the revenue will be consolidated into Yangjie Technology’s accounts.
By expanding through acquisitions, Liang Qin’s team excels in this area.
As early as 2015, Yangjie Technology acquired a 14.95% stake in Guoyu Electronics, a holding company of Nanjing 55th Institute; that same year, it acquired three semiconductor sales companies in the U.S., including MCC; and in 2017, it acquired 60% of Chengdu Qingyang, a single crystal silicon company.
A person from its securities department told 21CBR that this is not the first time the company has implemented an acquisition, continuously building new factories and expanding personnel, with ample experience. They emphasized that different targets have different styles, and previous management experiences cannot be completely applied.
By absorbing different targets and combining with its own business growth, Yangjie Technology’s scale continues to expand. In 2014, when it was listed, its revenue was 650 million yuan, and by 2024, it had grown to 6.03 billion yuan.
“We have grown tenfold in revenue and profit over the past ten years,” Liang Qin proudly stated.
Hard Work Pays Off
Liang Qin is one of the few female entrepreneurs in the semiconductor field.
In 2000, she left a Taiwanese-funded electronics company and, together with ten partners, founded Yangjie Technology in a coffee shop in Yangzhou, acting as a semiconductor brand agent.
“At that time, Yangzhou encouraged everyone to shift to the real economy, and we transformed from trade to manufacturing.”
Liang Qin stated in a media interview that Yangjie Technology entered the manufacturing sector in 2006, focusing on electronic component packaging, later building its own wafer production line and increasing R&D investment, and went public on the Growth Enterprise Market in 2014.
“Liang Qin means diligent, and my parents hoped I would be diligent; the saying ‘hard work pays off’ is also hung in my office.”
She summarized that power semiconductors originated in the U.S., then spread to Europe, Japan, and finally to the Chinese market. As a follower, surpassing benchmarks requires more effort and diligence.
When dealing with clients, she humbly accepts suggestions. Liang Qin mentioned that Yangjie Technology’s entry into the automotive electronics field was driven by customer demand.
Technically, Liang Qin’s team has made significant investments, with R&D expenses of 220 million yuan from January to June, representing a 6.38% R&D expense ratio.
Abandoning trade, building production lines, and reinvesting in R&D, Liang Qin has led her team to achieve significant milestones.
After 25 years of operation, Yangjie Technology has gradually grown into a leading company in power semiconductors, with product lines including discrete device chips, MOSFETs, IGBTs, and power modules.
In the first half of the year, its revenue was 3.45 billion yuan, with a net profit of 600 million yuan.
As the actual controller, Liang Qin holds 34.7% of the shares, with considerable wealth. According to the Hurun Rich List, Liang Qin and the Wang Yi family have a combined wealth of 10 billion yuan.
Liang Qin’s team has set a goal of achieving revenue of no less than 10 billion yuan by 2027. The acquisition of Better Electronics will help the team meet this target.
The target company is located in Dongguan, with over 2,000 employees. How to integrate it into Yangjie Technology and maximize synergy will test Liang Qin’s integration capabilities.
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