M&A Performance Study Of Chinese Listed Manufacturing Companies Based On EVA System

The M&A of corporation in developed countries has been developed over ahundred years, experienced a total of five large-scale M&A wave. Since the1990s, therapid development of Globalization and the Internet break the existing economicstructure once again. The fifth wave of M&A comes into being. The large corporationsin the United States and the United Kingdom as the locomotive, lead the enthusiasm forM&A of other developed countries. The M&A wave is characterized mainlymanifested in: cross-border M&A, well-capitalized, large amount of the transaction,broad areas, same of new industries and traditional industries.M&A appears in China after the reform and opening up, has relatively short history,experienced a total of three stages of development. With the2002, China formally joinedthe WTO. Development of economic globalization, the gradual improvement of thecapital market China has also set off a new round of mergers and acquisitions wave. As apillar industry of China’s national economy, manufacturing is the dominant sector ofChina’s economic growth and economic restructuring. Research of China’s manufacturingindustry M&A performance of listed companies is important to keep long-term stabledevelopment of manufacturing companies.In this paper, China’s manufacturing industry M&A of listed companies in2008asthe research object. using EVA as indicators of listed companies on the performance, bycalculating the value of the Listed Manufacturing Companies EVA in2007to11years,comparative analysis the EVA’s trend, get the following conclusions:(1)M&Aperformance of listed manufacturing companies decreased significantly in the mergeryear, the first year after the merger, has increased, but is still below the pre-merger year,the performance of the second and third years after the merger more than pre-mergeryears;(2) State-controlled, M&A type and related transactions have varying degrees ofimpact on the listed manufacturing companies.Due to the limitations of the author knowledge structure, the study period hasty andthe special circumstances of related fields in China, this article has the followingdisadvantages in EVA research on M&A performance of listed companies:(1) EVA performance evaluation model although it is better than the traditional accounting method,but the model is still built on the basis of financial indicators, not take into account non-financial indicators of performance evaluation. In the empirical research, the paperlimited to the companies of M&A No research of the target company.(3) Due to the limitof the sampling, Influencing factors less.