Research On The Path Of Financial Integration Of China's Iron And Steel Enterprises

In 2020,the national development and Reform Commission,the Ministry of industry and information technology and the Ministry of environment will issue relevant documents to urge the iron and steel industry to sort out the iron and steel production capacity recorded in2016,promote the implementation of iron and steel production capacity replacement plan,pay attention to the development of environmental protection technology,and promote the merger and reorganization activities of the iron and steel industry.The purpose of these policies is to reduce the excess capacity of the steel industry and promote the competitiveness and profitability of the steel industry.Merger and reorganization,as a means to resolve excess capacity,has attracted much attention.However,it is worth noting that not all mergers and acquisitions can resolve capacity.Many companies do not pay attention to integration after merger and acquisition,which leads to the independent development of the two companies and the failure of merger and acquisition.As an important part of integration,financial integration determines the result of integration,so this paper will select a representative enterprise in the industry to conduct a specific research on the path of financial integration after M & A.Baosteel is a large-scale iron and steel enterprise in China.WISCO also has advanced production technology.After the merger,the strength of the company has been greatly improved.The two companies are both large state-owned enterprises.The merger of the two companies provides a good idea for the iron and steel enterprises to be merged in the future.Therefore,this paper selects the case of Baosteel's merger and acquisition of WISCO,summarizes the key points of integration through the analysis of its integration status,evaluates the results of integration,and concludes that the effect of Baosteel's integration is obvious,and then summarizes several elements of integration,hoping to play a reference role for other similar enterprises' financial integration after merger and acquisition.In the writing process of the whole paper,the methods of literature research,comparative research and case analysis are mainly used.In the analysis of the integration effect,the methods of event research,factor substitution and financial index are used.First of all,the background of the research is roughly studied,and then the current research situation at home and abroad is analyzed,and the relevant theories about M & A integration are understood.In the process of writing,three theories are mainly used,and the main concepts are defined;Then,it introduces the M & A cases and analyzes the motivation of M &A;Finally,through the analysis of the overall scheme after financial integration,this paper explores the specific implementation process of financial integration,and constructs a financial integration path of enterprise merger and acquisition;Through the analysis of the effect of the integration,the paper puts forward the path optimization measures for the deficiencies;Finally,four conclusions of financial integration after M& A of iron and steel enterprises are drawn: "overall planning base,integrated procurement,production R & D integration,financial marketing system integration".Through the experience of M & a financial integration of Baowu,it is expected to provide reference for M& a financial integration of iron and steel industry in the future.