Century Huatong Merger Performance Analysis

In the 21 st century,with the rapid development of new and high technologies,the state has vigorously supported the development of innovative industries and put forward the concept of "Internet+".Due to the impact of the financial crisis and resource constraints,the development of traditional industries encountered bottlenecks and joined the ranks of transformation.With the improvement of people's living standard,the demand for entertainment consumption is increasing,and the Internet user group keeps growing.Along with our country in 2014 put forward and carried out some policies conducive to the development of cultural industry company better,in a good environment,most of the manufacturing industry enterprise want to business transformation through the acquisition of cultural industry company,but there is no lack of among them the case of failure,so we will focus on manufacturing enterprise m&a performance study,study how to get positive promote the positive development of enterprise m&a performance.Therefore,this paper takes the acquisition of Tianyou software company and Qiku network company by Huatong company in 2014 as an example,and evaluates the performance of the acquisition by analyzing whether the economic benefits realized in this acquisition meet the expectation.In manufacturing by mergers and acquisitions in recent years under the background of transformation,this article selects in the automobile manufacturing industry Huatong company merger and acquisition software and Internet game industry days seven cool network this event as the research object,mainly using literature research,case study and comparative analysis for further analysis and research of the m&a.First,the thesis briefly describes the topic selection background,significance,concepts and theories involved.Secondly,the situation of the two companies,the motivation of the merger and acquisition process for further analysis and description.Thirdly,the paper conducts an in-depth analysis and evaluation of the performance of Huatong company in this m&a.Firstly,it analyzes the wealth effect of the m&a activities obtained by the shareholders from the perspective of the maximization of shareholders' wealth by using the event study method,and studies and evaluates the short-term market performance brought by the m&a activities.Then,the financial index research method is adopted to analyze the changes of various financial indicators of Huatong from 2012 to 2018 and the completion of the performance commitment during the merger and acquisition process to explore the long-term financial performancebrought by the merger and acquisition activities.Then,the economic value realized by m&a is analyzed with the method of economic added value.Finally,it draws a conclusion and puts forward some Suggestions for future manufacturing enterprises to acquire Internet enterprises according to the case of Huatong.Through analysis and research,this paper believes that Huatong's cross-industry mergers and acquisitions of Tianyou software and Qiku network have produced better merger and acquisition performance.It is hoped that the conclusions and Suggestions obtained from the research on this case can provide some references for similar merger and acquisition cases in the future.