Study On Goodwill Impairment Under M&A Of Light-Asset Enterprises

With the rapid development of our economy,the competition in the capital market is more and more intense.Many enterprises enhance their competitiveness through mergers and acquisitions.However,with the increasing frequency of merger and acquisition activities,the scale of goodwill is gradually expanded,and the impairment of goodwill is gradually obvious,which has attracted the attention of the society.Therefore,the research of goodwill impairment is imminent.Asset-light enterprises in the Internet,cultural media,biopharmaceutical and other industries account for a relatively high amount of goodwill,and the problem of goodwill impairment has become the focus of their attention.On the basis of summarizing previous studies,this paper analyzes the existing problems,causes and impacts of goodwill impairment under the merger and acquisition of Suzhi Technology Company through case analysis,providing some references for asset-light enterprises to deal with the problem of goodwill impairment.This paper first analyzes the connotation and related theories of asset-light enterprises and goodwill,which lays a theoretical foundation for the writing of the paper later.Then explain the overall status of goodwill impairment under the merger and acquisition of asset-light enterprises,and analyze the characteristics of goodwill impairment of asset-light enterprises;Then,the case of Suzhi Technology is introduced,and the motivation,process and goodwill impairment after the merger are expounded.On this basis,the paper analyzes the existing problems of goodwill impairment under the merger and acquisition of Suzhi Technology,including the inflated goodwill of the merger and acquisition with high premium,insufficient disclosure of goodwill impairment information and the delay in the provision of goodwill impairment,and then analyzes the causes,including the merger and acquisition with high premium under the income method,the "big change of face" after the acquired party completes its performance commitment and the earnings management motivation of the management.And through the analysis of financial indicators,the influence of goodwill impairment under the merger and acquisition of Suzhi Technology is studied.Finally,from the perspective of corporate mergers and acquisitions and regulatory authorities,this paper puts forward the coping strategies of goodwill impairment under the light asset merger and acquisition.Based on the research,this paper draws the following conclusions: the main causes of goodwill impairment include high-premium acquisition under the income method,the delayed development of subsidiaries after the end of performance commitment,and the manipulation of operating performance by corporate management through earnings management.Goodwill impairment has a negative effect on long-term solvency,profitability and development ability.In order to deal with the consequences of goodwill impairment,asset-light enterprises should determine an appropriate valuation method for mergers and acquisitions,design a reasonable performance commitment period,timely conduct goodwill impairment testing,improve the information disclosure system,and strengthen the supervision of the management.It is hoped that through the above research,some help can be provided to the merger and acquisition of asset-light enterprises and to deal with the problem of goodwill impairment.