Research On The Influence Of Policy Uncertainty On M&A Transactions Of Listed Companies

At present,China’s macroeconomic operation is in a critical period of transformation,facing the internal system is not sound,the lack of development momentum and other issues.In addition some developed countries to our country’s economic constraints,so that our economy by the larger impact.In order to smooth the transition of economic operation,the Chinese government has issued a number of policies to enhance economic intervention.However,frequent policy changes and introduction have virtually increased the uncertainty of China’s macro-economic environment,and micro-economic entities are inevitably affected in the process of development.Many scholars believe that the policy uncertainty hinders the investment of listed companies and thus delays the stimulation of economic vitality.Merger and acquisition,as an investment method of a company,has certain particularity compared with the fixed asset investment and r&d investment of the company.For example,there are more transaction subjects involved and the transaction process can be captured through the information disclosed by the listed company.Therefore,this paper attempts to study the influence of policy uncertainty on the M&A behavior of listed companies under the theory of real option and financing constraint.This article mainly analyzes the possibility of a policy uncertainty on mergers and acquisitions of listed companies of direction,this paper studies in mergers and acquisitions of listed companies in mergers and acquisitions in the process of implementing policy uncertainty,and analyzes its influence on the listed company merger and acquisition took,and irreversibility on the basis of the analysis of investment and financing constraints of policy uncertainty and mergers and acquisitions of listed companies relationship adjustment.This paper selects the M&A data of listed companies from 2013 to 2017,and USES Probit model and mixed panel least square method to empirically test the hypothesis proposed in this paper,anddraws the following conclusions: first,policy uncertainty significantly inhibits the possibility of M&A of listed companies;Secondly,the increase of policy uncertainty during M&A prolongs the M&A duration of listed companies.Thirdly,the higher the irreversibility of investment,the more significant the inhibitory effect of policy uncertainty on the possibility of M&A of listed companies,and the more significant the prolonging effect of policy uncertainty on the duration of M&A.Fourth,the higher the financing constraints of listed companies,the more significant the inhibitory effect of policy uncertainty on the possibility of M&A of listed companies,and the more significant the prolonging effect of policy uncertainty on the M&A duration of listed companies during M&A.This paper not only expands the research on the investment of listed companies under policy uncertainty under the theory of real options,but also deepens the research on the process of M&A while analyzing the M&A behavior of listed companies at the macro policy level.Secondly,from the perspective of investment irreversibility and financing constraints,the paper analyzes the mechanism of policy uncertainty on M&A transactions of listed companies.It is revealed that the government should not only care about the role of the policy itself,but also the stability of the policy.