A Study On Merger And Acquisition Performance Of Extractive Industries Listed Companies

This paper studies the performance of mergers and acquisitions of listed companies inChina’s extractive industries. A review on the basis of M&A performancemethodology of empirical research, describes the development status of China’sextractive industries, extractive industry company mergers and acquisitions at thetheoretical level characteristics grouped into the following four points: First,extractive industries listed companies in mergers and acquisitions mostly need thegovernment to come forward; Second tend to upstream mergers and acquisitions ofmineral resources; Third, the acquisition of the whole industry chain is graduallyincreased; Fourth, the global layout.And then using the accounting method in2008listed companies in the extractiveindustries which occur M&A business, M&A performance of the empirical analysis.The first to use SPSS to many financial indicators, factor analysis, based on factoranalysis results, the required financial indicators, then according to the classificationof indicators, the use of DEA-Malmquist Index to calculate the sample of enterprisesin the total factor productivity in the post-merger progress, technical efficiencyprogress, scale efficiency change and technological progress, and finally integrated tomeasure the performance of listed companies in mergers and acquisitions. Extractiveindustries in China listed companies in mergers and acquisitions data, empiricalresults show that the company M&A activity in the short term, enterprises will causenegative impact on the financial, but in the long term M&A more pronouncedincrease of the performance of the enterprise.Finally, according to research findings, a four-point policy recommendations: First,the government should be more guidance mergers and acquisitions rather than throughadministrative means to intervene; Second, corporate M&A should focus on long-termvalue to enhance and strengthen the company’s mergers and acquisitions strategicplanning; enterprises in mergers and acquisitions should not only to consider thelong-term development strategy, but also to accurately grasp the macroeconomicoperation and capabilities; Fourth, corporate M&A should focus on improvingmanagement and control capability.