Integration Path And Performance Analysis Of Li Min Shares’ Acquisition Of Wei Yuan Asset Group

China’s adjustment of pesticide industry policies and the normalization of environmental protection and high pressure have accelerated the integration of pesticide industry.Although there are many cases of mergers and acquisitions and integration in China every year,the success rate of integration is very low,and the risk of mergers and acquisitions is still very high,which also reflects that China’s merger and acquisition integration model is not yet perfect,and the path of merger and integration needs to be optimized.In 2018,in order to improve the product structure,strengthen the ability of sustainable operation,expand the operating market,increase sales channels,and enhance the competitiveness of the industry,Li min acquired Wei yuan Asset Group.As a result,Li min broke the barriers to entering veterinary drugs,expanded the range and output of pesticide products,shared sales channels between the two parties,and obtained the expected merger and acquisition benefits.Based on the M&A synergy effect and balanced scorecard theoretical model,this paper analyzes the practices and effects of the M&A integration path of case enterprises by using principal component analysis and comparative analysis,and compares and analyzes the performance of Li min in the five years from 2017 to 2021 before and after the merger.Finally,combined with the specific data indicators and chart changes of Li min Shares’ acquisition of Wei yuan Asset Group,the following conclusions are finally drawn:(1)After the merger and acquisition,Li min has gained scale advantages in the pesticide industry,broken through the barriers of veterinary drugs,achieved strategic intentions,and greatly improved profitability in the short term.(2)In the M&A path,Li min adopts the \ "listed company + PE\" model,and introduces the M&A fund Xin rong Ren he and MBO(management)model of M&A fund Sun way Investment,which improves the probability of successful M&A and reduces the risk of overestimating the value of M&A targets.On the path of integration,a series of actions such as dispatching board members to the target enterprise,reappointing senior managers,and providing institutional guarantee for the company’s development are taken to achieve the effect of synergistic development.(3)Using the balanced scorecard to analyze the performance of mergers and acquisitions,the performance of Li min shares rose and fell in four dimensions,but overall,this merger and acquisition met the expectations of mergers and acquisitions,and brought the expected effect to the company.This paper divides the M&A integration process into two parts,the M&A path and the integration path,which expands the scope of integration and makes the integration path clearer,which has certain theoretical and practical significance for M&A events.Based on the research content and conclusions,this paper hopes to improve the theoretical framework related to M&A,and at the same time hope to provide practical experience for enterprises implementing M&A at home and abroad.