Research On The Performance Of Continuous Mergers And Acquisitions Of Listed Companies In The Environmental Protection Industry

With the transformation and modernization of economic structure,"green economy" has become the new normal of modern development,the degree of environmental protection is constantly improving in China,and relevant policies are frequently issued,so the development of environmental protection industry is concerned.Based on the policy dividend,the competition among environmental protection enterprises represented by listed companies is more and more fierce.In order to have a place in the field of environmental protection,the merger and acquisition activities of environmental protection enterprises have become more and more frequent.However,performance is the key point of the evaluation of M & A events.The frequent M & A of environmental protection enterprises is worth exploring.In this paper,Willy group is taken as the research object.Firstly,based on the relevant literature and theory of continuous M & A,combining with the development status of environmental protection industry and the current situation of M & A,the author analyzes the motivation and trend of M & A of environmental protection enterprises.Secondly,the paper combs 8 times of extended M & A in the four years from 2013 to 2016,and analyzes the motivation of M & A.Then we use event study method to analyze short-term market performance,financial index method to analyze long-term financial performance,and factor analysis method to analyze comprehensive financial performance.Through the analysis,we find that:(1)From the perspective of short-term market performance,six of the eight M & A activities carried out by Welle group from 2013 to 2016 have achieved positive short-term market performance.As a whole,the short-term Neville group's continuous M & A has been favored by investors in the market and increased the wealth of shareholders.(2)From the perspective of long-term financial performance,the operation ability of Willy group's continuous M & A is poor;The ability to profit and grow has been greatly improved.;In spite of the solvency has been greatly reduced,it is within a reasonable range.At the same time,although the comprehensive financial performance of Welle group decreased in the early stage of M & A,its comprehensive financial performance after M & a continued to rise.Therefore,the continuous M & A of Welle group can improve the financial performance of enterprises.(3)Through the continuous merger and acquisition of Willy group,the business tends to be diversified,and the group management mode is established,initially realizing its development strategy.Finally,this paper puts forward suggestions from five aspects: defining the target strategy of M & A,rationally choosing the opportunity of M & A,establishing the risk awareness of M & A,choosing the appropriate payment method and focusing on the integration work after M & A,hoping to provide valuable reference for the follow-up development of Willy group and the enterprises that want to develop through continuous M & A.