Analysts see the cause of the merger of Group F and Peng Network

First, the event background: June 26, the Group F and High friends formally announced the merger, the uproar passed for a long time the news finally became reality. The two sides will be merged into a new E-commerce company focused on local life services, both the domain name will continue to be retained, F Group CEO Rynning will be the new company Ceo,f Group and senior friends will assume different strategic tasks. Two of the relatively leading group buying sites chose to merge, causing extensive discussion in the industry. Whether the merger can achieve the effect of "1+1>2" is different from all walks of life. China Electronic Commerce Research Center is an analysis of this incident. Second, the incident analysis: The business model is complementary and easy to produce chemical effect F Group is the top six in the domestic group buying enterprise, Tencent's two rounds of capital injection has proved to the F Group development prospects and potential of optimistic. F Regiment In addition to operating its own F group business, but also responsible for the operation of Happy group purchase and part of the QQ group purchase business. Therefore, the merger of both sides has aroused wide concern of the whole society. Among the merged companies, Groupon, one of the main shareholders of the new company, will continue to plough the Chinese market. However, compared to the electricity dealer price war in several major mainstream platform, group buying transactions are limited to the same city life services. This way can form a natural barrier in the short term, for the enterprise to win the development time; China Electronic Commerce Research Center Analysis Room Xuefei that, F Group and high peer network on the user and business resources positioning is different, can play a complementary effect after the merger, business model is expected to play a 1+1>2 effect. Point two: Buy cold winter valuation to reduce financing difficulties is the main reason for domestic group buying Web site to cancel the U.S. IPO application, the United States Group purchase site Groupon shares fell back to "9 yuan era." Indicates that the peak period of group buying site has passed, F Group and high friends can no longer get financing, merger is inevitable choice. In the past half a year, the group buying industry suffered an unprecedented winter, valuation lower, the wind stops, thousands of group buying enterprises in the cold wind fell. In this case, the tide of mergers and acquisitions may soon come to achieve better integration of resource advantages. In the parties generally pessimistic about group buying, F Group and high friends of the merger can be seen as a winter in the holding group heating. In this regard, China's E-commerce Research Center, assistant analyst Zhou that the Chinese group is limited market size, and group buying enterprises are too large, has presented an "oversupply" phenomenon, although the current group buy company valuation lower, but still not the best investment opportunities. The risk of group buying companies has not yet been fully released. Point three: or trigger a new round according to China's E-commerce research Center monitoring, there are still 3,000 or so buy sites, but also active only more than 200, the industry shuffle into a critical phase. In the past half a year, the group buying industry suffered an unprecedented winter, valuation lower, the wind stops, thousands of group buying enterprises in the cold wind fell. In this case, Tencent and other companies with sufficient cash flow can be in the group buying site underestimated value of the period, the acquisition of some quality group buying companies. Tencent's shareholding will be increased to the dilution of 50%,groupon's holdings, GRoupon into financial investors, by the Group F to the high peer control and operation. In this regard, China's E-commerce Research Center analyst Xuefei that Tencent has been in the field of electrical business has not been very successful, failed to stand in the industry commanding heights. Therefore, the success of group buying is more important to them, if the operation is good, this will be they again into the electricity business an effective way. Third: Contact analyst about Us: China e-Commerce Research Center (E-BUSINESS), founded in 2006 at the end of "China electronic Commerce Capital", is China's first founder, and is currently the only one to study, disseminate and service E-commerce, Network Marketing, small and medium-sized enterprises to use the responsibility of the Third-party industry research, service agencies. • Center website: www.100ec.cn Expert service: www.100ec.cn/about/rz.html journalist Service: www.100EC.cn/jizhe/(free registration) • Research report: www.100EC.cn/zt/ baogao.htm (free download) Contact analyst: Xuefei: Analyst of China e-commerce Research Center · tel:0571-85337326 E-mail:wxf1#netsun.com Msn:wxfnetsun#hotmail.com Zhou: Assistant analyst of China e-commerce Research Center · tel:0571-85337218 E-mail:zhouxiang#netsun.com Msn:piease002223#hotmail.com