Analysis Of Motivation And Performance Of Listed Companies' Transnational M&A

Since the industrial revolution,western developed countries have gone through five waves of transnationalmergers and acquisitions,thus leading to a batch of famous transnational corporations all over the world.In 2007,the outbreak of financial crisis caused economic downturn to developed countries,so transnational mergers,acquisitions and investment slowed down.On the contrary,emerging economies led by China presented unprecedented vitality in transnationalmergers and acquisitions.China being a world economic big power,after more than 30 years of reform and opening up,problems brought by economic growth also become increasingly prominent.In the face of economic transformation pressure,in order to realize industrial structural adjustment and consumption upgrade,China's global strategy changes from “attracting foreign investment” to “going global”.Under the circumstance of economic globalization,more and more Chinese enterprises walked on to the path of transnational mergers and acquisitions.In recent years,there are few domestic researches on theories and practices of transnational mergers and acquisitions.Besides,in the analyses and researches of motivation and performance of transnational mergers and acquisitions,most cases focus on state-owned enterprises,but there lack researches on transnational mergers and acquisitions cases of private enterprises.In terms of research contents,more researches focus on performance improvement of transnational mergers and acquisitions,but neglect the influences of transnational mergers and acquisitions on the creation of enterprise value.In the new normal economic status,state-owned enterprises face pressure from reform.With the improvement of policy environment and constant completion of capital market,private enterprises gradually become the main force of transnational mergers and acquisitions.Therefore,researches on the motivation and performance of private listed companies' transnational mergers and acquisitions are of more effective and practical reference value.Tianqi Lithium is the largestlithium product processing private enterprise in China,while Talison Lithium isits long-term raw material supplier.Tianqi Lithium's acquiring and merging Talison Lithium is a typical case of transnational merger and acquisition,which realizes“throwing out a minnow to catch a whale” through capital market.Combining with practice,the research in this thesis on the case mainly focuses on the motivation and performance of transnational mergers and acquisitions.Besides,the value created by transnational mergers and acquisitions to the merger & acquisition enterprises and the integrated cooperation brought by merger and acquisition are emphatically analyzed.In the first part,the researchbackground,purposes,significance and methods as well as thesis structure are illustrated and relevant literatures are summarized;in the second part,this thesis reviews,organizes and summarizes the concept of merger and acquisition and relevant theories of the motivation and performance of transnational mergers and acquisitions.In the third and fourth part,a case analysis and performance evaluation of Tianqi Lithium's acquiring and merging Talison Lithium are carried out.Based on the industrial situation and the enterprise's operating characteristics,from three perspectives of shareholder wealth effect,integrated cooperation effect and economic value added,multiple research methods including event study method,financial analysis method and EVA index analysis method are adopted to conduct in-depth analysis and evaluation of Tianqi Lithium's motivation and performance of acquiring and merging Talison Lithium.Lastly,according to previous analysis results,problems existing in enterprises' mergers and acquisitions as well as integration and experience in improving performance of transnational merger and acquisition are summarized,so as to provide reference and suggestions to Chinese private enterprises' improving the performance of transnational mergers and acquisitions.