Study On Synergistic Effect Of Goldstone Orient Cross-industry Mergers And Acquisitions

At present,our country’s economic development has entered a new normal,economic growth has slowed down,economic structure has been optimized,and economic growth momentum has changed from investment-driven to innovation-driven.Therefore,more and more enterprises began to seek transformation and upgrading in order to tap new economic growth points and improve enterprise competitiveness.At the same time,with the vigorous development of our country’s M&A market,more and more enterprises choose M&A to realize the transformation.In this context,this paper uses Goldstone Orient’s M&A of Asia Pharmaceutical as a case study to analyze the industry background,M&A motivation and detailed M&A process of the two parties,and analyzes the synergistic effect through the combination of event study,financial index and non-financial index from three aspects of business synergy,management synergy and financial synergy.Through the analysis,this paper concludes that the main reasons for Goldstone Orient to choose cross-bank mergers and acquisitions are as follows: first,to seek strategic transformation of enterprises;second,to enhance the company’s ability to resist risks;third,to seek new profit growth points.The reasons for Asian pharmaceuticals to accept the merger mainly focus on the capital side of the promotion and broadening of financing channels.In the aspect of synergistic effect,M&A makes enterprises achieve certain synergistic effect,but there are also many problems.Through the analysis of synergies,this paper draws three conclusions: First,cross-bank M&A makes Goldstone Orient complete the strategic transformation,second,cross-bank M&A makes Goldstone Orient achieve synergies to a certain extent,and third,the "integration without harmony" after M&A is difficult to bring long-term synergies to Goldstone Orient.According to the problems of Goldstone Orient in the M&A,this paper puts forward some corresponding suggestions.First,enterprises should make full preparation and strategic planning before the M&A;Secondly,the target companies should be evaluated reasonably to avoid the risk of goodwill impairment brought by high premium;Thirdly,enterprises should pay attention to the effective integration of resources after the M&A;Finally,we should strengthen the introduction of talents and the training of existing employees.