Study On M & A Activities Of Chinese Listed Companies Based On Behavioral Corporate Finance Theory

Based on Behavioral Corporate Finance theory and M & A activities of Chinese listed companies, this article aims to prove the applicability of Behavioral Corporate Finance theory in Chinese M&A Market. The methods of this research include normative study and empirical study. To be specific, this article uses the method of normative study on M & A theory and Behavioral Corporate Finance theory, and empirical study on the performance of Chinese acquiring listed companies.Firstly, this article summarizes and analyses the M & A theory in chronological order and the author think that in-time theoretical and empirical study on new theory has its value. Secondly, it analyzes the variables based on Behavioral Corporate Finance theory and M & A theory to select appropriate variables. Thirdly, based on Behavioral Theory, the article has made empirical study on M & A activities of Chinese Listed Companies in two independent ways. The results show that investors'heterogeneous expectations have positive influence on companies'performance, but over-confident managers do not influence their companies'performance. Finally, this article makes conclusions and gives further consideration to similar studies in the future.