Research On The Synergy Effect Of Yingfeng Environment’s Merger And Acquisition Of Zhonglian Environment

With the rapid development of economy,the problem of ecological environment governance in China needs to be solved urgently,and the environmental protection industry has emerged.At present,the government has recognized the important impact of environmental protection work on economic and social development.In the relevant documents issued by the State Council in 2010,environmental protection enterprises are regarded as the focus of the cultivation and development of emerging strategic industries.At present,China’s environmental protection industry is in the stage of transition from the initial stage of development to the mature stage.In order to reduce the risk of information asymmetry in the same industry,expand the market share of the environmental protection industry,and have more say in the market,M&A has become an expansion operation mode preferred by environmental protection enterprises.An important factor to measure whether M&A activities achieve the expected effect is to see whether it can play the synergy effect of M&A.Therefore,how to maximize the synergy effect of M&A after the completion of M&A has become a focus of environmental protection enterprises.This paper takes the case of Yingfeng environment’s merger and acquisition of Zoomlion environment company as the research object,and uses the methods of literature research,case analysis and comparative analysis to sort out the transaction process of this merger and acquisition.On the basis of relevant theories,according to the financial statements of Yingfeng environment and Zoomlion environment in recent years,this paper analyzes the reasons for the merger and acquisition decisions of the two enterprises A series of financial indicators and non-financial indicators,respectively,from the perspective of management synergy,operation synergy and financial synergy,study and analyze the synergy effect after the end of M&A,and use the event analysis method to make a simple empirical analysis,so as to measure the synergy effect after the end of M&A.After the analysis,it is found that the M&A of Yingfeng environment to Zoomlion environment is successful on the whole,which not only plays a positive role in management coordination,operation coordination and financial coordination,but also helps Yingfeng environment to take the lead in the highly competitive environmental sanitation market by using Internet technology,firmly occupy the leading position,rapidly improve the profitability of the enterprise,and realize the expected profit of the enterprise Profit target,expand the market scale,improve the core competitiveness of enterprises.However,it is not difficult to find that this M&A has also produced some negative effects,which can be further optimized.This paper puts forward some suggestions for improvement,and also provides some reference for other enterprises in the industry to carry out M&A activities.