The Research On Objective Corporation Value Assessment In M&A

In recent years, with the unceasingly fast development of market economy, the activity of corporation M&A(merger and acquisition) is increasingly fierce in our country. M&A is the necessary result of the development of market economy, it is more and more important in our economic life. As a measure that can rapidly gather capital, expand the enterprise scale, M&A became the inevitably choice that the domestic corporations can participate in the intense international competition. In the market of M&A, making correct evaluation of objective corporation value is a crucial link. In view of the fact that the theory and method of corporation value assessment are still insufficiently perfect and unsystematic, this paper will make them an effective combing and try to explore a set of suitable theories and methods in our country.This paper firstly reviewed the development and present situation of domestic and foreign corporation value assessment theory and method ,then explained corporation value from economics ,discussed the motive of M&A and introduces synergy of M&A emphatically, which is considered as the original driving force of implementation of M&A. On the specific methods of corporation value assessment, this paper has made some simple introductions some traditional ones which were common used in our country and has pointed out its good and bad points. Then introduced computation and the utilization process of the entity cash flow mode of DCF(discounted cash flow) method ,and used this model to do research on the Tang steel stock, evaluating its market value. Many researches indicated that, DCF is most complete, mature, applicable in theory at present, it has overcame the main malpractice of cost method, paying more attention to the latent value of corporation, so it can evaluate the objective corporation value better. But this method has not actually be used very good in our country, the reasons are various, doing further studies to this method and using it with the special condition in our country is extremely valuable. In addition, as a new method, the use of EVA method overcame the limitation of traditional accountant target in assessment of corporation value. OPM is a perfect graft from the finance field, it has developed a new world in corporation value assessment method, and poured it infinite vigor. The paper introduced the simple application of OPM. And in last chapter, the author attempts to study the corporation value by using AHP (analytic hierarchy process) to seek suitable methods in our country.Generally speaking, as a emerging service in our country, the corporation value assessment has not still formed a complete system, but we can predict that the corporation value assessment will have broad development space with the further development of market economy in our country, the theory and method of corporation value assessment will be innovated and consummated continually.