The Evaluation And Analysis Of The M & A Performance Of Listed Companies

With the constant deepening of China's reform and opening up, as well as development of economic globalization, China's economy gradually become an important component of the word economy, while mergers and acquisitions activity is also becoming the key factor in the process of China's economic development. In the topic of wether the performance of enterprises has improved after the occurrence of M&A activity,foreign scholars has made a large number of academic researchs, using different methods in the past few decades,but the conclusion is also no agreement. With the further development of China's socialist market economic system,the continuous improvement of M&A activities of our enterprises will be gradually showing the characteristics of standard and marketization.However,the performance after M&A activity and wether it creates value for our enterprises and society also needs in-depth discussion of domestic scholars.In this context, this thesis conducts a thorough theoretical analysis about M&A activities of listed companies,and establishs the M&A performance evaluation system by choosing appropriate research methods suitable for the concrete conditions of our country.Then the performances of M&A of Chinese Listed Companies of 2003 are analyzed by using a score function with the Factor Analysis method from StatisticalAnalysis. It is concluded that the effect of M&A is not satisfactory in general terms. Most M&A activities haven't increased the business performance of enterprises, instead make the performance worse.From the viewpoint of the relationship between the two sides of M&A,the performances of the diversification M&A is relatively better, the performance has a slight performance in the second year of the occurrence of M&A.After two years'significant decline,the performance of the vertical M&A shows a sign of rebound in the third year.In constract,the performance of the horizontal M&A is the worst of the three.There has been a significant decline in the exact year of the M&A.Although in the next year the performance showed a little better,this improvement didn't last into the next year.Finally, according to the findings above, this thesis analyses the problems of China's M & A market which influence the performance of M&A systematically, and then makes some policy recommendations for the improvement of our country's M&A performance,which I hope is benefical to the health development of China's M & A activities.