Research On The Impact Of M&A Fund On M&A Performance From The Perspective Of Risk Filtering

With the impact of China's economic transformation and upgrading and the government's encouragement and support in national policy,China's M&A market is increasingly active.Domestic listed companies have realized enterprise scale expansion and industrial structure adjustment and upgrading through M&A activities to carry out market value management.In this wave of M&A,by virtue of its unique advantages,the M&A fund founded by the listed company has risen to prominence in the capital market and become a force that cannot be ignored.It has also been favored by many investors in the capital market.The development momentum of this mode of M&A fund is very strong in China.With regard to the local emerging financial instruments in our country,the current domestic academia on M&A fund research is mainly qualitative analysis or through specific case analysis of this kind of M&A fund's unique advantages,operation mode,the potential risk and the wealth effect,lacking the study of the specific path on M&A fund influencing the performance of M&A.From the perspective of risk filtering,this paper tries to restore the theoretical model that the relationship between M&A fund founded by listed companies and the M&A performance.As one of the intermediaries in the M&A market,the M&A fund plays an important role in risk filtering.Through the analysis of the role of M&A funds in corporate M&A,this paper attempts to analyze the role of M&A funds playing in the M&A process and the mechanism of risk filtering from the three dimensions of information,financing and integration.This paper mainly uses the case method.By analyzing the case of Baofeng company acquiring the control power of MPS company,this paper intends to analyze the role M&A fund playing in the process of M&A and its filtering effect for M&A risks and proceeds the further supplement of the original theoretical model.This study shows that:M&A fund founded by listed company can use its professional information gathering and information comprehension ability,and its strong financing ability,and its risk isolation function and comprehensive post-investment management services,to filter out the specific risks which may be produced in the process of M&A of the listed company,so as to promote enterprise M&A performance.But the process needs both listed companies and PE achieve strategic synergy and complementary advantages while they set up the M&A fund,as well as the listed companies should give continuous supervision and incentive to PE as a guarantee for the M&A fund to function better from the M&A planning stage to the integration stage.The research of this paper is innovative in both theory and practice.First,the paper innovatively discusses the role M&A funds funded by listed companies plays in the process of M&A from the perspective of risk filtering.Second,the paper analyzes the mechanism of M&A fund influences the M&A performance,and establishes the theoretical model of the value creation function of M&A fund,which enriches the theoretical research on M&A fund funded by listed companies.Thirdly,the research conclusion of this paper provides relevant experience and lessons for listed companies to better play the advantages of M&A fund in practice and avoid possible pitfalls,so as to promote the improvement of M&A performance and realize the growth of enterprise value.The Suggestions put forward in this paper are of great pertinence and reference significance,which are conducive to promoting the development of M&A fund to be more specialized and standardized,so that M&A fund can better serve the listed companies and the financial capital can better serve the real economy.