Research On Financial Integration Of M & A In Pharmaceutical Enterprises

Under the general environment of market economy operation,various industries can realize the expansion and enhance the market competitiveness through M&A activities.The continuous improvement of living standards has enhanced people's pursuit of health.This has not only promoted the great development of China's pharmaceutical industry,but also enriched China's pharmaceutical industry's M&A market.However,obtaining control of acquired companies is only the first step in completing the M&A target,the subsequent integration activities are also crucial.An empirical study of the success rate of M&As by domestic scholars shows that despite the M&A market in China is activity,the success rate of M&A is relatively low.The reason is that integration after M&A has not been implemented.Based on the theory of domestic and foreign financial integration,this paper sums up the problems that China's pharmaceutical industry is currently faced with.Selecting the case of China Meheco M&A of Henan Tianfang Pharmaceutical Industry.First of all,starting from the essence of M&A enterprises.It is found that both China Meheco and Tianfang Pharmaceuticals are subsidiaries of a group,based on the realize of the development of China Meheco “full industry chain” and avoiding competition with the industry.For the purpose,completed the M&A in 2013.However,after the M&A,it was discovered that there are differences in financial management,differences in accounting systems,and differences in performance appraisal systems between each other.To address these issues,we combine the characteristics of China Meheco and Tianfang Pharmaceutical,China Meheco.After the M&A,a series of financial integration measures were taken.This article enumerates these specific measures and analyzes them.Finally,the effectiveness of the financial integration of China Meheco is evaluated.The relevant index method is mainly used for analysis.Through analysis,this article believes that the financial integration of China Meheco M&A has had a positive effect and achieved the goal.The purpose of this article is to analyze the successful case of financial reorganization in the pharmaceutical industry,hoping that Chinese pharmaceutical companies can focus on the financial integration after M&A,so as to realize the long-term development of the pharmaceutical industry.