Research On Motivation And Effect Of Zhengmei Machinery’s Acquisition Of Bosch Sg Under The Background Of The Belt And Road

In China,coal,steel and other industries are in the predicament of overcapacity,and many enterprises in it are facing with the difficult problem of transforming to other industries.However,with the upsurge of anti-globalization in the world,the overseas M&A activities of Chinese enterprises have been seriously affected.The risk of overseas mergers and acquisitions is increasing,the failure rate of mergers and acquisitions and the cost of mergers and acquisitions are surging,and The Chinese enterprises that hope to transform into other industries through overseas mergers and acquisitions are caught in a dilemma.In this situation,Zhengzhou Coal Mining Machinery Group Co.,Ltd.(hereinafter referred to as Zhengmei Machinery’s)chose the M&A target suitable for the enterprise’s own development strategy at the right time,and successfully reduced the M&A risk by skillfully using the policy advantages brought by the "The Belt and Road Initiative",thus achieving the goal of getting rid of overcapacity and transforming to other industries.This thesis selects Zhengmei Machinery’s acquisition of Bosch SG as the research object.Firstly gives a brief overview of the entire case,including The policy background of "The Belt and Road Initiative",The profile of both parties and the transaction process.Then,the motivation of this merger is analyzed from the inside and outside of the enterprise,The excess capacity of the coal mining industry leads to the decrease of the benefits of Zhengmei Machinery’s.Just at this time,Bosch group,which has strong R&D capabilities and high-quality market resources,issued a global tender offer to sell SG Company.So Zhengmei Machinery’s seized the opportunity to transform and upgrade the company.This thesis analyzes the risks of enterprises and the measures taken by enterprises facing the risks from the perspectives of valuation,financing and financial integration.Finally,from the perspective of market response,financial indicators,non-financial indicators and comprehensive performance,the event research method,financial indicator analysis method and EVA performance evaluation method are selected to evaluate the effect of this M&A.The research conclusions of this thesis show that: First,Zhengmei Machinery’s makes full use of the "The Belt and Road Initiative" policy to deal with the multiple risks faced by overseas M&A activities of enterprises.Second,Zhengmei Machinery’s overseas M&A successfully realized the transformation and upgrading of the enterprise.Third,Zhengmei Machinery’s merger and acquisition has significant economic effects and provides valuable experience for manufacturing enterprises to transform and upgrade through overseas mergers and acquisitions.