Study On Performance Evaluation Of Mergers And Acquisitions Between BTG Hotels And Homeinns

With a gradual improvement in capital markets in China,many overseas listed companies have accelerated the pace of their privatization return.Ten years ago,the scale of mergers and acquisitions of domestic enterprises and cross-border mergers and acquisitions continued to expand.Enterprises from all walks of life tried to merge and reorganize by acquiring shares or assets of other companies.With the vigorous development of the tourism service industry,the hotel industry closely related to tourism also ushered in their spring.However,the competition between hotels and hotels is becoming more and more day-to-day.In order not to be submerged by the fierce market competition and continue to develop,transformation is imperative.As an important means of capital expansion,mergers and acquisitions are also the main ways to enable enterprises to achieve the objectives of optimizing the allocation of resources and strategic transformation in a short time.Based on the research status of M&A motivation and M&A performance by scholars at home and abroad,this paper chooses Home Hotel Group as a case to study.Through the analysis of hotel industry background and the introduction of related theories such as M&A performance and its evaluation methods,this paper builds the research foundation of the article.Firstly,this paper introduces the context of research and the importance of the Theme.At the same time,it summarizes the literature on the influencing factors of M&A and the evaluation of M&A performance.Then,combined with literature research and case analysis,this paper analyzed the influencing factors of the first hotel merger and acquisition such as Home Hotel.This paper analyses the performance of M&A from short-term and medium-term and long-term perspectives.From the short-term performance point of view,after the merger and acquisition,the performance indicators of the First Hotel declined,but with the deepening of integration,the indicators showed an upward trend.In the medium and long term,the M&A has had a positive impact on the first hotel,promoted the implementation of the diversification strategy of the first hotel brand,improved the level of operation and management,and played a coordinating role.This paper analyses the changes of financial indicators such as solvency and profitability before andafter mergers and acquisitions,evaluates the performance of market share and potential development ability of companies,and analyses why the performance will change after mergers and acquisitions.Finally,it comes to the conclusion that this M&A has certain reference significance for the hotel industry or other horizontal M&A.Combining with the actual situation of China's capital market,it puts forward corresponding suggestions for the hotel industry M&A.