Research On The Motivation And Economic Consequences Of Related Mergers And Acquisitions Of YK Energy Listed Company

The coal industry is an important traditional energy industry in China,which directly promotes social and economic development.At the same time,it faces the reality of overcapacity and state-owned enterprise dominance.Against the backdrop of continuous promotion of supply side structural reform,the number of mergers and acquisitions in the coal industry continues to increase,with the process of related party mergers and acquisitions becoming more complex and involving larger amounts.In order to maintain the high-quality development of the coal industry and the stability of the capital market,achieve the overall performance improvement and transformation and upgrading of enterprises under the "dual carbon" policy environment,enrich the relevant research on related party mergers and acquisitions of state-owned coal listed companies,supervise and regulate reasonable mergers and acquisitions in the coal industry,and reduce violations during the merger and acquisition process,it is necessary to clarify the motives of related party mergers and acquisitions,and analyze the positive economic consequences of whether they can be obtained.The article takes YK Energy’s listed company’s related party mergers and acquisitions as a case study to explore the motivations and economic consequences of related party mergers and acquisitions.Firstly,the background of the topic selection and research significance of the thesis were elaborated,and relevant literature at home and abroad was organized.Secondly,the basic theories of affiliated enterprises,affiliated mergers and acquisitions,and merger performance were introduced,and summarized the related theories of synergistic effect theory,market competition theory,and signal transmission theory in affiliated mergers and acquisitions.On the basis of introducing the current situation of China’s coal industry and related party mergers and acquisitions,YK Energy is introduced as an analysis case to explain the process of related party mergers and acquisitions.From the general motivation of related party mergers and acquisitions in the coal industry,the specific motivation of related party mergers and acquisitions in the case enterprise is analyzed.Furthermore,the economic consequences of related party mergers and acquisitions of case enterprises are studied from four perspectives: short-term market effects,long-term market effects,financial performance,and non-financial performance.Through case studies,it has been found that a complete related party merger should include determining the target of the merger,formulating a plan for the merger,signing an equity or asset transfer agreement,paying the merger consideration,equity delivery,and post merger integration.From the perspective of related party mergers and acquisitions,the main motivations for related party mergers and acquisitions in the coal industry are the motivation for synergy,avoidance of industry competition,and market value management;From the perspective of economic consequences,YK Energy has basically achieved synergistic effects after implementing related party mergers and acquisitions,and its short-term and long-term performance has shown significant overall growth;The asset liability ratio has decreased,and its long-term debt repayment ability has improved;The management level of YK Energy has been improved without any adverse consequences for the company’s operations;Both profitability and growth ability have increased.Although the related party mergers and acquisitions of the case enterprise have achieved overall good economic results,starting from the practical needs of the coal industry to become bigger and stronger,there is still a need for continuous optimization of related party mergers and acquisitions in the coal industry.This article proposes optimization suggestions such as scientific prevention of financial risks,selection of appropriate financing plans,disclosure of evaluation and transaction information,and strengthening supervision of related party mergers and acquisitions,hoping to promote the high-quality development of the coal industry.