A Study On The M&a Financing Preference And Governance Performance Of Listed Companies Under The Complete Circulation Situation

Merger and Acquisition (M&A) which is an effective approach to adjust industrial structure and expand corporation running scale rapidly has been developing for more than 100 years in western, there are gone through five rounds of the wave of M&A, in the sixth wave of M&A among quietly silent way. However, split shares structure existing in China capital market for a long time, hindered the development of M&A markets in china in a way. The problem of Equity Ownership Reform has been solved, and the realization of Complete Circulation makes the cost and the barrier of M&A in the secondary market largely reduces, and improves the number of M&A greatly. We can foresee that there will be a great change in the width, depth, motivation, method, method of payment and financing method and so on of M&A after the complete circulation in the capital market.This paper summarizes the financing theory and the empirical research results of financing preference home and abroad, and then empirical study the M&A financing preference of listed companies in the complete circulation market based on it. The results show that the listed companies prefer endogenous financing, and in the external financing the listed companies are more preferred equity financing, followed by the issuance of bonds, again for short-term borrowing, the last for the long-term borrowing. The financing preference of listed companies which are at different levels of scale, profitability and debt is always not the same.As the governance performance indicators commonly used now are either single, or existing strong subjectivity, so this paper used the factor analysis to build the governance performance evulation model of listed companies.According to the research results fore, we study the effect of M&A financing preference on governance performance based on BP neural network. The study found that effect of endogenous financing and short-term borrowing on governance performance is first increase and then decreased. The effect of equity financing and long-term borrowing to governance performance is also shown a form of curve, first fall and then promote. The long-term bond is reverse impact of performance. The important order of factors which effect the governance performance is long-term bond, long-term borrowing, endogenous financing, short-term borrowing, equity financing.