Research On Valuation Of Biomedical Enterprises Based On Real Option Method

Entering the period of the 14th Five-Year,the people are more and more concerned about their health issues.However,along with the national strict control of the biomedicine industry,the policies introduced one after another have caused a certain impact on the development of the biomedicine industry.For example,since2001,China implemented the policy of not approving new blood product production enterprises,so now there are only 28 blood product production enterprises,the industry threshold is high,the access barrier is strong,Therefore,enterprises are bound to expand their scale through merger and reorganization in the process of development,which requires understanding the value of enterprises.Therefore,we need to explore a reasonable evaluation method to evaluate the value of such enterprises,show the value of enterprises,and help enterprises to better promote merger and reorganization.In the current evaluation of the value of biomedical enterprises,the basic use of market method,income method and other traditional evaluation methods.The traditional evaluation method can only be based on the existing assets of the enterprise and the data reflected in the financial statements.However,the key factors that affect the value of biomedical enterprises,such as strong uncertainty,big risk and long cycle,are not taken into account.Therefore,the traditional evaluation method cannot accurately reflect the value of biomedical enterprises.This paper divides this kind of enterprise value into two categories,namely entity value and potential value.Overall enterprise value = entity value + potential value.The discounted cash flow method is used to calculate the entity value,and the real option method is used to calculate the potential value.When the real option method is used to evaluate the potential value,there is a hypothesis that financial assets have no dividend or other income within the validity period of the option.After searching the data,it is found that this hypothesis has been abandoned in the later verification.Therefore,on the basis of abandoning this hypothesis,this paper considers that enterprise dividend will have a certain impact on enterprise value.Therefore,a parameter dividend payout rate(h)is introduced to optimize the B-S model to a certain extent,so as to further improve the accuracy of potential value evaluation.In this paper,choosing Pailin Biological as an example to apply in this methods.We will compare with all kinds of results.The assessment results show is more close to the actual value of the enterprises,so the evaluation results were more reasonable and could provide an accurate reference for such enterprises.