Research On Value Creation Mechanism And "Listed Companies + PE" M&A Fund

In recent years,China’s economic development has entered the "new normal" period.The "supply side" reform has accelerated the adjustment of the market structure.The enterprise development model has shifted from endogenous to extension,which has triggered large-scale M&A activities.As a major investor in the M&A market,the M&A fund has also shown a trend of continuous growth.Based on China’s economic development background,government department has actively introduced relevant policies to encourage the development of mergers and acquisitions.Since 2017,the introduction of new policies such as refinancing and reduction has shown a trend of stricter regulation.Because the IPO meeting rate reaches historical low value,PE’s exit channel was blocked.In this context,the "listed company + PE" model of M&A funds was born.Since the establishment of the first "listed company + PE" model of M&A fund "Tiantang Dakang" in 2011,the M&A fund of this model has developed rapidly and has become the most popular mode in M&A funds.The academic community has also conducted large-scale discussions on the M&A funds of this model.The current research is mainly based on qualitative research and case studies,and there are few empirical analyses.Based on the existing research,this paper studies the issue of "listed company + PE" model of M&A fund and enterprise value creation.Based on the research methods of the empirical school,this paper combined with the operation process of the "listed company + PE" model of M&A fund,firstly constructs a model of value creation mechanism.Then,through the case study method,Aier Ophthalmology was selected as the research object of the article.Based on the operation process of Aier Ophthalmology’s "Listed company + PE" model M&A fund,the relationship between M&A fund and enterprise value creation was deeply analyzed.Using financial indicators,non-financial indicators and event research methods to analyze the company’s value.Through this analysis,it is judged whether the M&A fund has created value for the company.Then the paper further analyzes the mechanism of value creation and explores how the "listed company + PE" model M&A of fund creates enterprise value.Finally,combined with case analysis,improve the value creation model of the "listed company + PE" model of M&A fund.Providing reference for the healthy development of this M&A fund,and further improving the development of China’s M&A market.The results of this paper show that the "listed company + PE" model of M&A fund has created value for the company,and the value creation starts from every aspect of the M&A fund operation process.In the establishment stage,on the one hand,it is important that the M&A fund strategy is highly fitted to the enterprise development strategy.On the other hand,listed companies should choose PE institutions that meet the strategic development of M&A funds for cooperation.These can generate strategic effects and then create enterprise value.In the investment phase,keeping the investment progress consistent with the corporate development strategy can also have a strategic effect.In the incorporation stage,selecting the appropriate M&A point and payment amount for listed companies can reduce the M&A cost of the company and promote the value creation of the enterprise.In the integration stage,early integration helps listed companies reduce the risk of mergers and acquisitions,and effective integration after mergers and acquisitions can achieve companies’ synergy.