Research On Mergers And Acquisitions Performance Of Chinese New Energy Enterprises

New energy is one of the most promising high-tech industries in our country,and the photovoltaic sector,new energy vehicle battery sector,and wind power sector covered by it are all growing.Every year,my country issues a series of policies to support the production and operation of new energy projects.The sunrise industry is often accompanied by a large influx of capital.Enterprises in all links of the industry chain tend to expand rapidly in order to seize market share and gain scale effects.Mergers and acquisitions have always been one of the important ways for companies to enter new fields and achieve rapid expansion.However,with the rapid increase in the number of mergers and acquisitions of Chinese enterprises in 2015,the problems arising from mergers and acquisitions have also emerged in many places.Under the dual background of active capital markets and broad industrial prospects,the management of mergers and acquisitions companies tends to be irrationally optimistic about mergers and acquisitions,which has spawned a series of high-premium mergers and acquisitions with performance promises.Such mergers and acquisitions in the follow-up period will often cause huge losses to the company because the performance commitment of the acquired company does not meet the target,or even if the performance commitment period is completed,it will change its face instantly after the performance commitment period.In view of the above-mentioned problems in the process of new energy enterprise mergers and acquisitions,this paper uses the EVA performance evaluation system to analyze the performance of the company before and after the merger,and judge whether the company has brought real performance growth before the merger,during the performance commitment period and after the commitment period.This paper selects JW company in the new energy industry that have made performance commitments during mergers and acquisitions as the analysis object,and evaluates the performance of the case companies through the EVA evaluation method.It is found that the merger and acquisition companies will also experience shareholder wealth reduction under the premise of fulfilling their performance commitments.Secondly,for new energy companies that are heavily influenced by policies,the excessively high valuations of the acquired companies are more likely to reduce shareholder wealth,because part of their income depends entirely on the strength of subsidies.Finally,the economic value added after mergers and acquisitions is not as obvious as traditional financial indicators in terms of the extent and duration of improvement.Therefore,the author suggests that new energy companies should maintain proper rationality when conducting valuations before mergers and acquisitions.It is best to adopt a variety of methods for comprehensive analysis during performance evaluation during mergers and acquisitions.The time and amount of the performance commitment period need to be based on their actual conditions.The situation is formulated.The author hopes that when the new energy industry develops and expands rapidly in the future,other companies in the industry can obtain some reference opinions when facing mergers and acquisitions with similar characteristics to promote better development of the company.