An Empirical Research On The Influencing Factors Of M&A Premium In Internet Game Industry

In recent years,with the prosperity and development of the Internet game industry and the increasingly fierce market competition,more and more enterprises accelerate integration in order to occupy the leading edge,and their mergers and acquisitions in the capital market become more and more frequent.However,the high premium level in M&A transactions has been widely criticized.What factors affect the pricing decision of enterprises,which factors should be paid attention to in the decision-making of M&A in the Internet game industry,and how to determine the value of the target enterprise reasonably and improve the efficiency of M&A deserve our consideration.Asset evaluation,as an independent organization,has the important function of reasonably and fairly evaluating the value of the subject matter based on the formation mechanism of M&A value,and its evaluation conclusion is often used as an important reference basis for transaction pricing.Therefore,based on the evaluation,this paper empirically analyses the influencing factors of the M&A premium in the Internet game industry,taking the M&A events of the Internet game industry listed on A shares in China from 2014 to 2018 as samples.Finally,19 listed companies in the Internet game industry and 59 merger and acquisition data were screened out.Through literature research and theoretical analysis,combined with the characteristics of the Internet game industry,this paper chooses asset size,ROE ratio,asset-liability ratio,P/E ratio,payment method,IP output capacity and R&D strength as explanatory variables.The results show that there is a significant positive correlation between the size of assets,the ratio of ROE and IP output capacity of the merged party and the premium rate of mergers and acquisitions.Finally,this paper tries to give relevant suggestions on the decision-making of M&A in the Internet game industry,promote the improvement of enterprise value evaluation system,provide reasonable reference for transaction pricing,and promote enterprises to conduct M&A transactions more rationally.