Research Of Serials Mergers And Acquisitions Performance On State Holding Listed Company

Serials mergers and acquisitions are also known as frequent mergers and acquisitions, refers to the behavior of the same company making many mergers and acquisitions deals in a short period. As more and more listed companies consider mergers and acquisitions to be an important strategy for capital operating and industrial integrating, serials mergers and acquisitions phenomenon is found in capital market of many countries, the study of this behavior has become a hot topic in mergers and acquisitions research.The main force of China’s economic development is the state holding listed companies, most of the state holding listed company are restructured by the original state-owned enterprise, state-owned shares and state-owned legal person share possesses absolute advantage. The enterprise’s operational control are controlled in the hand of the management by the government, Because of the serious absence of the “owner”——the government. Therefore, state holding listed companies are easier for serials mergers and acquisitions.This paper defines serials mergers and acquisitions as more than 3 times in study period. In 2009-2013, 104 state holding listed company is as the research object, In 2008-2014, 347 events of serials mergers and acquisitions are as basic. Reference to predecessors’ study theory and achievements, put forward three hypotheses that’s the managers are over-confidence or learning effects or both cross the overconfidence and learning effects. Then through empirical test, establish a multiple regression model, to verify what kinds of behavior to drive the managers making the serials mergers and acquisitions.The results found that, when only use order as independent variable, mergers and acquisitions performance is decreased gradually as the rise of the order. When put in the relevant control variables, mergers and acquisitions performance is also decreased gradually as the rise of the order. Then put in order2, find that the regression is not significant. So serials mergers and acquisitions is driven by managers over-confidence. In addition, the study also found that the serials mergers and acquisitions excessive use cash payments. And the higher the proportion of cash payments, The higher the specific value of mergers and acquisitions transaction amount and total assets at the beginning of that year. According to the researchconclusion of this paper, put forward to strengthen the training of managers, strengthen internal and external supervision mechanism, improvement the relevant laws and regulations and related system construction and so on, in order to provide references to improve the phenomenon of serials mergers and acquisitions.