Research On M&A's Financial Effect Of Listed Companies In China

The developed western finance capital market brought five times well-known merger and acquisition (M&A) curves. And each time, it helped develop the capital market. During the more than 100 years, M&A is so prolonged because of the profound economy motivation. It accumulated abundant experience as well as great wealth. In the 21 century, with the economy spreading the world, the global M&A would make great influence to our country's economy.M&A is the transferability of the ownership of the company. Under the modern enterprise system, M&A is the ownership trading behavior by buying the whole or part of the other company's stock shares in order to obtain the control of the company. It is the main method of capital operation. The research on M&A is always the important and hot topic in the finance area. The core is the research on the value growth of M&A. From the achievements of the researchers in and abroad, we can classify the achievements into three kinds. The first is the research on the motivation of M&A. The second is the research on the value evaluation and choice of the target company. And the third is the research on the changes of the financial performance and enterprise value of the M&A enterprise after the M&A transaction. Then it looks for the reasons of the advantages and disadvantages after the M&A transaction. Due to the important influence to the economy of the M&A, and the ultimate aim of obtaining economic benefit and improving enterprise value, this thesis will do some research on the financial effect of M&A. In order to explain the financial influence, it will use the demonstration research method based on the empirical data. And the thesis belongs to the third category.Specifically, in order to do the research well, this thesis divides into six chapters. Chapter one is the introduction, including the background and significance of the research and the current study. Chapter two is the summary of M&A, including the motivation, process and effect of M&A. Chapter three is the financial effect definition of M&A, including the analysis of financial performance and enterprise value. Chapter four is the construction of the financial effect model, including explaining the choice of the financial index and constructing the usual model. It is one of the keys of this thesis. Chapter five is also the key part. It determines the coefficient of the model by using the financial data of the listed companies. And then, according the model, it will calculate the financial effect using the financial data in different years before and after M&A. At last, this thesis will draw a conclusion if M&A brought financial effect to the M&A enterprise with the comparative analysis. Chapter six is the conclusion by concluding the whole thesis and putting forward prospects.