Case Study Of Mergers And Acquisitions Performance Of Chinese Cement Industry Listed Companies

With the development of the companies in China, merge and acquisition have become the heat topic among the companies, and become an effective way to be bigger and improve the core competition. Our cement industry commonly exists some problems, like overcapacity High energy on per unit of production、serious environment pollution, industry concentration is too low and so on. So we find merge and acquisition is an important way to generate economic of scale, eliminate backward production, and adjust the structure of the product.,to make our cement industry develop sustainably. From2003, cement industry has stepped into the tide of merge and acquisition, and the number of companies in cement industry will be reduced from6000to1000. Under this background, our cement companies accelerate the step to merge and acquisition, to make cement industry more healthy. But not every acquisition could improve the performance of the company, and in the past exist some failures. It will not only waste much resource, but even eliminate the company. So this paper will analyze the performance appraisal of jidong cement and qinling cement after their merge, and evaluate if they achieved their desired goals and hope other companies can get some lessons in the future merge,This paper includes five chapters.The first chapter is instruction. This chapter first introduce the research background and the meaning, then illustrate the ideas and means, namely case analysis.The second chapter is theoretical analysis. Mainly illustrate the meaning and types of merge and acquisition, the motive theoretical foundation and performance evaluation method of M&A, the event study methodology and financial analysis.The third chapter is case analysis. Mainly illustrate the background and motivation of M&A, and the specific process. The fourth chapter is performance evaluation. Mainly use the event study methodology and financial analysis to evaluate the perforce of Jidong Cement and Qinling Cement after M&A.The fifth chapter is revelation and recommendation. Include the revelation and recommendation of this M&A, including choosing the reasonable target of M&A, choosing the reasonable buyer, and doing the right resource integration.