Analysis Of Value Creation In M&A Operations Betweenhuayi Brothers Media Corporation And Yin Han Game

At the end of draft of China's 12 th Five-Year Plan,2015,the government issued series of favorable policies of cultural media industry,largely contributing to the strong development of culture media industry.Also in Internet + background,the rapid development of culture media industry depend on the support of the capital market.More and more media companies achieve rapid development of enterprises through mergers and acquisitions.Huayi Brothers Media Corporation,as the leading integrated film and television media group,has formed her film and television empire from a series of acquisitions of capital market approach.Therefore this article selects 2013,when Huayi Brothers entered the mobile online game industry access M&A Yinhan Game,as case study time.The article analyzes three aspects of M&A motivations before the occurrence,the transaction risk in the M&A process and the M&A performance after M&A.First of all,we analysis why Huayi Brothers wanted to M&A Yinhan Game and find it is probable of Huayi Brothers' acquisition from the perspective of the company's own development.In short time,it'sto seek new profit pointand obtain short-term wealth effect,as well as in the current Internet + background,acquire the synergies between cultural media industry and game industry.In the long time it's to open up the whole entertainment industry chain,and enhance the overall value of the business.Secondly,through specific analysis during the target company valuation methods and mode of payment transactions,we show the risk undertaken of both sides in the case of mergers and acquisitions.Finally,through event research and financial data,the paper evaluates the short-term wealth effect and the synergistic effect of Huayi Brothers before and after M&A.In order to further eliminate the influence of culture media industry itself in the medium and long-term performance evaluation,we use the factor analysis and establish 28 samples of the company's comprehensive performance score model.According to Huayi Brothers before and after the merger in the specific industry rankings,we get comprehensive judgment Huayi Brothers before and after the acquisition of the overall value of the situation.Finally,we find that Huayi Brothers M&A Yinhan Game can achieve intended purpose.