Financial Performance Evaluation Of M Company Merged By BH Co.,Ltd

At present,the development of the means of transportation has greatly reduced the time used for people to travel and improved the efficiency of people.Driven by the development of the automobile industry,the auto parts industry has developed faster than the automobile industry,and the industrial scale is expanding continuously.But just depend on the size of the large is not long,the auto parts industry in our country is also facing a series of serious problems,such as high-end parts on the market share in China is far less than foreign companies,some of the core techniques,there is still no related patents parts enterprises in China,such as market access to foreign parts more difficult.These problems are relatively fatal for China's auto parts enterprises.If these problems cannot be solved,the development of China's auto parts industry will always be limited to the large-scale production of the low-end market.Based on this background,China's auto parts enterprises will turn their development direction to merger and acquisition of some foreign excellent enterprises with technology and market.On the one hand,this development mode can solve the problem of lack of technology in the parts industry,and on the other hand,it also reduces the difficulty for Chinese parts enterprises to enter foreign markets,which is beneficial to the development of Chinese auto parts enterprises to a certain extent.However,M&A involves many factors,such as the motivation of an M&A and whether the latter stage of the M&A has brought positive benefits to the enterprise,which all need to be studied and analyzed in detail.After reading and sorting out a large number of literature on M&A,this paper summarizes the research methods and theories of M&A motivation and M&A financial performance evaluation,and understands the current research progress of scholars.Then,according to the literature,the theory used in this paper is summarized and sorted out,forming the research theoretical system of this paper.In the process of reading the literature,it is found that most of the scholars' researches on the financial performance evaluation of M&A are based on the overall financial performance to evaluate the financial performance of M&A,without considering the impact of non-M&A factors on the financial performance of M&A.Therefore,the research direction of this paper,the use of propensity score matching method and differential method to the case enterprise M&A performance evaluation has a certain application value.This paper adopts case analysis method,taking BH Co.,Ltd.Merger M Company as an example to analyze.Mergers and acquisitions in the financial performance evaluation,the propensity score matching method is used to select the same industry scale,the age difference and capital intensity and enterprises in a specific time period there have been no m&a enterprise as a comparison,and then use the double difference method for comparing the two groups of the company's financial performance,by comparing the difference to study the effects of mergers and acquisitions of financial performance.It is found that,for BH Co.,Ltd.,M&A has brought about an improvement in the growth ability of the enterprise,but has no significant improvement in other capabilities,so the later integration needs to be improved.The company selects the method of payment for acquisition as full loan payment,which may affect the profit and loss of the company in the future.At the end of this paper,the enlightenment brought by the merger and acquisition is expounded,hoping to provide some reference value for the merger and acquisition of Chinese auto parts enterprises.