Research On The Motivation And Effect Of Sinotrans Limited Merger And Acquisition Of Sinotrans Air Transportation Development

The report of the 20 th National Congress clearly proposes to focus on improving the resilience and security level of the supply chain.It can be seen that the importance of the supply chain has been raised to a new height.As an important part of the supply chain,logistics has become increasingly important.At present,with the fast growth of the Internet economy,the market size in China has steadily expanded,and the level of logistics demand has reached a new high.At the same time,the logistics industry in China has also encountered new challenges while developing rapidly.Traditional logistics models are no longer able to meet the needs of rapid material transportation.The logistics industry must break through bottlenecks,further optimize resource allocation,and create an integrated supply chain logistics service system.To achieve this goal,driven by the market and supported by relevant policies,many logistics enterprises choose to improve their logistics system construction through mergers and acquisitions,focusing on creating a full process logistics service system for the supply chain."Integrated Logistics Services" has become an important development direction in the industry,and integrated logistics has become a hot area for M&A in the industry.Therefore,analyzing and researching such mergers and acquisitions is of great significance for building a resilient and secure national supply chain system.Based on the above research background,this thesis selects Sinotrans,a leading integrated logistics company,as a case study to analyze the motives and effects of Sinotrans’ merger and acquisition of Sinotrans Air Transportation Development.It is hoped that the conclusions drawn can provide experience for other logistics enterprises’ mergers and integration.This thesis is divided into six parts.First of all,it introduces the background of the case,presents the meaning of this thesis,compares the domestic and international research literature on the motivation and performance of M&A,and presents the research ideas and methods of this thesis.Secondly,the concepts of M&A are introduced,and the theoretical foundations such as synergy theory,market power theory and economies of scale theory are elaborated.Then,the industry situation of this M&A and the basic information about the companies are outlined,and the transaction plan and final results of this M&A are introduced in detail.Then,using the SWOT analysis method,combined with the background of the logistics industry and the theoretical basis of mergers and acquisitions,analyze the motivations for this merger and acquisition.After that,this thesis uses of event study and other methods to conduct a analysis and evaluation of the effect of this M&A from market reaction,financial effect,economic value added,and non-financial effect,and finally draw conclusions and insights from this thesis.This thesis draws the following conclusions through case studies: Sinotrans merger and acquisition of Sinotrans Air Transportation Development cannot be achieved without the support of national policies and market drivers.Through mergers and acquisitions,Sinotrans aim to achieve thetrategic goals.The market effect brought by this merger and acquisition is relatively significant,with optimized financial indicators,positive growth in economic value added,comprehensive integration of business,further expansion of financing channels,and improvement of the company’s governance ability,which is basically consistent with the merger and acquisition motivation and has achieved good results.Based on this,this thesis draws the following inspiration: Enterprises should be good at using policy forces to promote mergers and acquisitions activities;Enterprises should choose merger and acquisition methods that are suitable for their own development;Enterprises need to do a good job in integrating subsequent resources.