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Mergers and acquisitions in cultural and media industryIn the evening of May 13, the Jiangsu Phoenix Publishing Media Inc. announced that its wholly-owned subsidiaries, the Jiangsu Phoenix Education Press Co., Ltd, planned to purchase all the children’s book business assets of Publications International,LTD.The objects of this transaction include design, production and sales of children production, which is mainly on publication of children’s books (creativity on content) and electric talking books. At present, it has held the publication right of well-known image license relating to children’s book in the main cities over the world, and owns mature overseas operation branches in the United Kingdom, France, Germany, Spain, Australia and Mexico, being able to publish multilingual children’s reading materials. Phoenix Media also claims that it is an expensive purchase and is the largest cross-border merger and acquisition of Chinese publications ever since. Through this acquisition, the company will get international resource of children’s books and selling channel, which is beneficial for successful entrance of Chinese publication to main international markets.According to incomplete statistics, 56 mergers and acquisitions happened in cultural media industry in Shanghai and Shenzhen in 2013, relating to movie, TV series, publication, advertising and game, and the accumulating capital is more than 40 billion yuan. It was truly the year of “merger and acquisition” for cultural media industry. In 2014, that trend goes even hotter than 2013 and the object of merger and acquisition is much higher. Till now, there are already over 80 that kind of transactions in Shanghai and Shenzhen, including movie, publication, advertising, wired and satellite TV and game, with the capital reaching over 70 billion yuan. Take publication and distribution enterprises as the example. Besides the above mentioned expensive cross-border mergers and acquisitions, Phoenix Media has also signed
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