An Analysis Of The Performance Of Overseas Acquisitions Of Jien Nickel Industry Co.,Ltd

2008 global economic crisis make a strong shocks on international market .Chinese companies caught the time, and made frequently transactions in the overseas market, setting off a burst of mergers and acquisitions boom.2009 was to be known as the"years of overseas acquisitions."But looking at so many overseas mergers and acquisitions events , how M & A Performance, scholars have not got a unified conclusion.So this article sets Jilin Jien Nickel Industry Co., Ltd.'s overseas acquisitions as an example, using case study method to study the foreign acquisition's performance of Chinese enterprises under the challenges of the global economic crisis.This case compares the financial condition of JiEn Nickel before and after overseas mergers and acquisitions .Within the company, I use financial indicators method, focuing on the company's viability, profitability, solvency, cash generation, wealth value-added ability and so on to measure company's medium-term and long-term performance of post-mergers and acquisitions.In the market,I set four acquisitions as the time point, making use of the event study to explore market reaction on corporate mergers and acquisitions, futher to explore company's short-term performance of post-mergers and acquisitions.In addition,fore and after Performance of the company's overseas M & A will be compared by the industry average value.This study found that, in strategic terms, JiEn Nickel Industry Company's mergers and acquisitions enhance the company's industry competitiveness and sustainable development.After the merger, company size could be expanded, at the same time,it can also learn advanced foreign technology, leading the company more competitive in the industry. Mergers and acquisitions meet the company's strategy to promote the company's international operations process.But from a financial perspective, the merger did not increase in value for the company. In the financial indicators, the company's profitability, operational capacity and solvency became worse than before the merger,only the company's growth is getting better than before .This indicats that the company's overseas acquisition degrades the company performance in the medium to long term,and reduces the ability of absorbing gold. Company will face financial difficulties,business risk will also increase. From the market perspective, the short-term performance of mergers and acquisitions is not obvious, the market reaction is not qualitative, M & A market performance is not obvious.Overall, the company's grow ability becomes stronger, I believe that giving the company a longer period of grace, the company can play a greater potential.Through this study on the mergers and acquisitions,enrichs the previous academic motivation and performance of M & A research,having important theoretical significance. In addition, under the particular environment-the economic crisis, the industry of resources mergers and acquisitions is huge. Research on resources industry M & A Performance has great value, This article deeply studys overseas expansion performance under the economic crisis , proving the continued ongoing domestic overseas expansion a practical reference.