A Case Study Of RH Company's Acquisition Of JK Company

The 21st century is the information age,and the software industry is the core of the development of the information industry.It has become the commanding point of the strategic layout of countries in the new round of international competition and has been strongly supported by national policies.In recent years,China's information technology industry has entered a period of rapid development.As a way for enterprises to achieve rapid development and growth,mergers and acquisitions have begun to speed up.Especially listed software companies,they have really accelerated the acquisition of outstanding assets of unlisted software companies,enabling their business to be effectively expanded,and at the same time achieving strategic distribution.Bureau,and then the effect of mergers and acquisitions is affected by many factors.In this paper,the first step of the layout of RH company,a well-known listed software company,in the field of financial informatization,is the case of acquisition of JK company.This M&A case is representative and typical in the software industry.The main motivation of M&A is that the merger company RH seeks new revenue growth points to enhance IT market share and industry competitiveness.This paper combines the theory of M&A with the actual case of RH company acquiring JK company through the study of relevant theoretical knowledge of M&A cases at home and abroad,and carries out in-depth analysis.Through the analysis of M&A motivation and post-M&A integration,this paper concludes that the M&A has brought positive impact on enterprises.RH company has rapidly transformed from the original weak growth of smart terminals,smart supply chain,smart grid and other business areas into the financial information business areas with huge market space by means of mergers and acquisitions.The market share of IT business has expanded rapidly,and the business operation capacity,growth capacity,profitability and synergy ability of RH company have gradually increased.Through mergers and acquisitions,the strategic transformation of enterprises has been realized rapidly,which has laid a solid foundation for further development in the field of financial informatization.This paper finds that the key factor for the success of this M&A case is to continue to do business integration,financial integration and cultural integration after M&A.Through summarizing,this paper gives the corresponding enlightenment,including defining the enterprise's own development strategy,accurately selecting the target of merger and acquisition,reasonably pricing the target of merger and acquisition,effectively integrating the target of merger and acquisition,deepening the decision-making leadership's recognition of the importance of each stage and link before and after merger and acquisition,and promoting the synergy of the two enterprises in the process of integration.Exhibition to achieve the expected performance.This case study is helpful for RH company to lay a theoretical and practical foundation for the next phase of M&A,and also can provide reference for the horizontal M&A of software companies in the industry.When making horizontal merger and acquisition plans,similar enterprises should pay attention to the integration after merger and acquisition,and pay attention to the comprehensiveness and rationality of merger and acquisition plans.