Research On Motivation And Performance Of Mergers And Acquisitions Of Sports Companies

In recent years,M & A activities in sports market have attracted much attention.On the one hand,with the steady development of China’s economy and the state’s encouragement of M & A of listed companies,many M & A cases of sports companies have emerged.On the other hand,in the process of socialization and marketization,many sports enterprises are trying to expand their own scale with the help of capital and pursue excess profits,so M & A has become a hot topic in China It is a hot spot in the domestic sports market.In this paper,Wuhan contemporary Mingcheng culture and Sports Group Co.,Ltd.M & A of four sports target companies from 2016 to 2019 as the research object,combined with China’s sports industry development background,investment trend and enterprise development strategy layout,using literature,expert interviews and other methods to analyze the M & a motivation of contemporary sports.And from the shortterm market performance and long-term market performance,this paper analyzes the impact of M & A on contemporary literary style.Using the event study method,this paper analyzes whether M & A has brought short-term shareholder value wealth to contemporary literary style by calculating the excess return rate and cumulative excess return rate;through the financial index analysis method,this paper studies whether M& A has improved the long-term business performance of enterprises from four dimensions of solvency,profitability,growth ability and operation ability.Then,combined with the motivation of M & A,it analyzes whether a series of M & A activities of contemporary literary style achieve the purpose of M & A.The main conclusions are as follows: first,through a series of M & A activities,contemporary style has achieved the extension and expansion of the industrial chain,and achieved a certain degree of synergy;second,the excess return rate and cumulative excess return rate of contemporary style before and after the announcement have rising process,which can be considered that the M & A target company has great influence on contemporary style in the short term Third,through analysis and calculation,it is found that the solvency and profitability of contemporary literary style are gradually declining,the operational capacity is steadily rising,the growth capacity is gradually increasing,and the long-term performance of enterprises has the potential to further improve;fourth,in the merger and acquisition cases of contemporary literary style,a series of business behaviors triggered by merger and acquisition transactions have a negative impact on the long-term performance of enterprises There is a leading effect in the performance of M & A,and the motivation of M & A is an important factor affecting the performance of M & A.In response to the conclusions,the following suggestions are put forward: First,according to the company’s development strategy,rationally select the target company for mergers and acquisitions,take post-merger resource integration and business matching as the focus of mergers and acquisitions,and formulate safeguards and measures in advance to avoid possible adverse effects after mergers.Second,accelerate the integration of resources after mergers and acquisitions,and improve the efficiency of asset operation.It is recommended that sports listed companies should pay attention to the adjustment and expansion of the organizational structure after mergers and acquisitions,strengthen the connection and integration of upstream and downstream resources in the industry,and build a sports with high growth and high added value.Business segments.Third,optimize the business management model and enhance the company’s operating capabilities.It is recommended that sports listed companies adopt the management strategy of parental overall management and independent operation of subsidiaries.Through the combination of extensional mergers and acquisitions and internal accumulation,the coordinated development of resource elements is promoted to realize the company High-quality development in the future.Fourth,to enhance their core competitiveness and resist external risks.Listed sports companies integrate capital and operating resources to continuously enrich the content business sector horizontally,increase market share and influence,and vertically,vertically and widely open up.The industrial layout enhances core competitiveness and increases the ability to resist risks.