Research On Mergers And Acquisitions Performance Of Chinese Medicine And Tianfang Pharmaceuticals

With the rapid development of the capital market,mergers and acquisitions have become an effective mean for more companies to expand their scale and achieve their strategic goals.As a country with a large population base,Chinese pharmaceutical market has developed rapidly and has become the world's largest emerging pharmaceutical market.However,compared with foreign markets,Chinese pharmaceutical market has a relatively low degree of industrial concentration,and has a large number of occupations,which generally has the problems of insufficient innovation capacity,low management level,and waste of resources.In recent years,the state has issued many measures for the consolidation and restructuring of the pharmaceutical industry,hoping to improve this situation and pave the way for the future development of the pharmaceutical industry.Therefore,in-depth and effective research on mergers and acquisitions cases in the pharmaceutical industry has strong theoretical and practical significance.This article selects the Chinese medicine mergers and acquisitions Tianfang Pharmaceutical as a typical case to conduct research.The main research idea is to analyze the influence of mergers and acquisitions on corporate performance,and explore the changes that the corporate value will undergo after mergers and acquisitions and restructuring.After briefly describing the current situation in China's pharmaceutical industry,the significance of the topics selected,the review of relevant literature,and the theoretical basis related to mergers and acquisitions performance,this article focuses on the analysis of mergers and acquisitions of Chinese medicine and Tianfang Pharmaceuticals,and describes the causes of mergers and acquisitions,specific plans,implementation process,and some subsequent integration etc.focusing on whether the mergers and acquisitions behavior can bring positive effects to the company.In terms of research methods,first the event research method is used to evaluate the degree of influence of mergers and acquisitions activity on short-term performance,and use financial indicators toexamine the long-term performance of mergers and acquisitions,finally measures the overall performance of mergers and acquisitions in terms of comprehensive market share,human resources,and research and innovation.It was finally concluded that the short-term performance of the mergers and acquisitions activities of Chinese medicine and Tianfang Pharmaceuticals performed well,and the long-term performance was gradually improved during the process of continuous integration,indicating that the mergers and acquisitions was successful.Summing up the experience and inspiration of mergers and acquisitions.First,the integration of pharmaceutical resources under the same control achieves a synergistic effect;second,the merger of stock exchanges and absorption is more conducive to production and operation;third,the incorporation of target companies enhances innovative R&D capabilities;forth,the control over period costs increases.The company's development capabilities.Afterwards,it has provided some constructive suggestions on the selection of target companies,payment methods,formulation of integration plans,disclosure of related information,and management of costs for other listed companies in the pharmaceutical industry,hoping to learn from the future development of the pharmaceutical industry.