Research On Enterprise Value Evaluation Of Cultural Enterprises’ Merger And Reorganization

With the continuous development of China’s economy and society,people’s spiritual and cultural needs grow rapidly,which promotes the vigorous development of cultural industry.As an important means for cultural enterprises to grow rapidly,mergers and acquisitions are common in the capital market,and even set off a wave of mergers and acquisitions.However,due to the particularity of cultural enterprises,the value-added rate of their valuation results is generally high,or even too high.The premium generated in the process of M &A will become goodwill and become a part of enterprise value.In general,the acquirer will sign performance commitment with the other party for high premium M &A.once the other party’s future business performance is not up to standard,it will often carry out goodwill impairment and obtain compensation to reduce the risk.In recent years,many cultural enterprises have suffered from large-scale goodwill impairment due to the failure of performance commitment due to the expiration of M &A agreements,which has aroused great concern of the regulatory authorities.Intangible assets are not only the profit source of cultural enterprises,but also their core competitiveness.These intangible assets include copyright,trademark,copyright and business qualification,which means that the income of cultural enterprises is highly uncertain and risky.If traditional evaluation methods such as cost method and income method are used to evaluate the value of cultural enterprises in M &A,it is difficult to reflect its uncertain value and decision-making flexibility value,which determines that its value evaluation is no less difficult than other types of enterprises.Moreover,due to the fact that most of the acquired cultural enterprises have been established for a short time and are non listed companies,the lack of historical financial information makes the evaluation more difficult.Therefore,it is particularly important to explore the evaluation method of combining real option method and grey prediction method for the value evaluation of M&A of cultural enterprises.Based on the actual case of Beijing Herun detang Cultural Media Co.,Ltd.being merged,this paper puts the merged cultural enterprises into the evaluation framework of real option model,and brings the uncertain factors into the evaluation scope.At the same time,aiming at the characteristics of less available historical data,it introduces the grey prediction method to predict its cash flow,and obtains a more reasonable value evaluation result.This method is a useful exploration of the traditional evaluation method,hoping to be further promoted in practice,so as to improve the accuracy and scientificity of the evaluation results,and provide more scientific professional consulting services for enterprise M &a valuation.