A Case Study Of Blue Cursor M&A

At present,many enterprises have seen the development of the m&a market and have invested in it to realize their own transformation.The number of m&a transactions in China increased from 1157 in 2011 to 2584 in 2018,and the amount of m&a increased from 442.3 billion yuan in 2011 to 1265.3 billion yuan in 2018.In recent years,due to the inclination of national policies,the frequency and scale of m&a in the cultural media industry are increasing.M&A among enterprises is no longer limited to single m&a,but presents continuity.The blue cursor is a typical representative of this kind of continuous m&a phenomenon,but is continuous m&a good or bad for enterprise performance? Therefore,this paper takes the blue cursor as an example to analyze its m&a motivation,long-term market response,performance and existing problems in the m&a process,expecting to have new cognition.This paper first introduces the situation of blue cursor company and the development of its business segments,and sorts out the successive mergers and acquisitions of blue cursor for nearly nine years.Secondly,it analyzes the m&a payment method and m&a motivation of blue cursor.Thirdly,tobin's Q coefficient was used to analyze the long-term market reaction of continuous mergers and acquisitions of the blue cursor.And then from the financial perspective,it analyzes the profit,the capabilities of debt,cash generation,operation and growth.Finally,from the perspective of motivation,this paper analyzes whether the blue cursor's m&a goal has been achieved,so as to evaluate its long-term m&a performance.The conclusions of this paper are as follows: firstly,in terms of market reaction,the continuous m&a activities in the early stage of blue cursor have a good market performance and have been recognized by the market,but in the later stage,the m&a transactions are more frequent,and the radical expansion of blue cursor has been questioned by investors,resulting in the decline of its market performance.Secondly,from the perspective of continuous m&a financial performance,blue cursor's profitability has declined,its solvency is fragile,its capital adequacy and security are hidden dangers,its operating efficiency is not optimistic,and its growth ability is strong.Thirdly,from the perspective of m&a motivation,the m&a goal of blue cursor has beenachieved,which eliminates the pressure of over raising,completes the strategic goal,improves the communication chain,enhances the competitive advantage,and realizes the complementation of resources.Finally,based on the problems existing in the continuous m&a activities of blue cursor,this paper puts forward several suggestions: carefully select the target enterprises,set up a reasonable payment method,set up a reasonable bet agreement,pay attention to risk prevention,and enhance the ability of M & A integration.