Case Study Of Limin’s Merger And Acquisition Of Weiyuan Asset Group

Under the sweeping tide of global M&A,there are also rounds of M&A upsurge in China.Now,with the high development of market economy,Chinese enterprises are facing or will face the problem of transformation and upgrading.In order to improve the profitability and future development potential of enterprises,most enterprises choose to expand their strength and influence by means of M&A.In particular,in 2019,the CSRC updated and revised the measures for the administration of major asset restructuring of listed companies,which restricts the behavior of enterprise M&A activities at a higher level,provides new favorable policies for enterprise M&A activities,and stimulates the enthusiasm of enterprise M&A.In recent years,domestic listed companies take the initiative to carry out M&A activities in combination with their own situation and future development direction.With the continuous and in-depth development of M&A activities,there are more and more use of VAM in M&A.The code of conduct for the use of VAM and the effectiveness of VAM have aroused extensive thinking of scholars.Using the method of case analysis,the paper combines the research results of domestic and foreign scholars on M&A,and takes this as the theoretical basis to study the M&A case of Limin’s M&A of Weiyuan asset group.Firstly,the paper briefly introduces the research background and significance,summarizes and arranges the relevant literature and abroad according to four parts.It also describes the relevant theoretical basis and concepts of the paper.Then is the part of the case description,this part firstly describe about both merger and acquisition companies,give an account of the process of the transaction and the situation of merger.Next,this paper in the light of the M&A motivation,the role and effect of gambling agreement,how the M&A fund plays it’s role,analyzed about the long-term merits and short-term merits and Non-financial merits,to carried out a all round analysis.Finally,the following conclusions are drawn,there are many reason for a company to implement M&A.The flexible design of gambling agreement framework and M&A fund framework is conducive to the completion of M&A,and M&A has brought a more positive impact on the performance of enterprises.The research of this paper can provide a certain reference for the M&A activities of both listed companies,and help enterprises improve their competitiveness and seek long-term development.