Research On The Merger Performance Of CSR And CNR

As a kind of business activity which can complete the industrial layout in the short period of time and enhance industrial strategy,M&A plays a very important role in the integration of the industry and the formation and improvement of the corporate next goals,as well as promote economic development. In several M&A waves in European and American developed countries,we can realize more clearly that developing the company through the mergers and acquisitions is an effective way to sharpen the corporate edge.Since the 21 st century the government in China gives more and more attention to corporate M&A,and has introduced a number of policy documents to promote the merger and reorganization of enterprises,with a wish to achieve the consolidation of the industry and the transformation of economic growth to accelerate economic growth through mergers and acquisitions.With the deepening of the reform,the market economic system has been more and more perfected,the market has played increasingly prominent role,and the resource allocation has also had a growing tendency on the market optimal configuration.Enterprise merger and acquisition provides a theoretical reference for performance evaluation of the results of it,and is able to regulate and avoid blind merger as an important way to adjust the market allocation of resources.This article is a case analysis which aims to analyzing the performance changes after M&A. In the theoretical part,simple elaboration about the M&A theory has been made firstly,then,briefly introduces about the background of the M&A of CSR and CNR is presented. For the research method,the financial analysis method is used at the beginning,by analyzing the changes of the financial index before and after the merger of the CSR and CNR and determining whether it brings the positive performance for shareholders;Secondly,analyzing the core financial indicators by DuPont analysis method. Due to the constraints of the financial analysis method and the Du Pont analysis method,this paper selects the EVA performance evaluation index for further verification,which considers the corporate cost of equity and the cost of debt problems integratedly, making the performance evaluation more convincingly. In the fifth chapter,the paper introduces the concrete application method of the EVA index and the analysis of the performance after M&A. Based on theoretical analysis.This paper makes analysis and calculation of the performance combined the case by using the method of EVA index before and after the M&A of CSR and CNR,comparing the performance changes of CRRC for nearly 5 years,using the factor analysis method of EVA to do the chain replacement analysis,and finally draw the following conclusions:(1)mergers and acquisitions of CRRC improved its performance significantly,and the acquisition is a successful M&A example;(2)the M&A promotes the expansion of the scale of CRRC,realizing the scale effect;( 3) the M&A strengthens the gathering of rail transportation manufacturing industry in our country.(4)internal integration after M&A is not perfect. Finally,according to the research and the understanding of this M&A,prospects of CRRC has been set forth.