The Research In Business Valuation Of Hualan Biological

IMS Health data shows that China has become the world’s third largest pharmaceutical market in2011, Chinese drug consumption market has great potential, and biological pharmaceutical industry that based on biological technology is considered to be one of the most development potential of the industry in twenty-first century, so the bio-pharmaceutical shares of listing corporation attracted investors’ attention. Bio-pharmaceutical listing corporation in the high-speed development also will face a great risk, managers and investors are increasingly concerned about the true value of the enterprise, so the bio-pharmaceutical listing corporation’s enterprise value assessment has become a key factor.Business value assessment theory is the key developing field in international evaluation industry, its development in developed countries has a long history, China has a late start, but the theory and effectiveness has been widely recognized by the scholars in our country. Business value assessment is the process of the enterprise overall economic value evaluation, the evaluation results not only conducive to investment decision and management of companies, but also provide a basis for the merger and reorganization.Hualan Biological Engineering Inc.(hereinafter referred to as HuaLan Biological) is China’s biopharmaceutical industry leader. According to the above discussion, the author combines the actual situation of HuaLan Biological, selecting the appropriate evaluation method to assess the business value. The assessment results not only conducive to the promotion of HuaLan Biological enterprise value, and also help improve the value of company management concept.This paper first focuses on HuaLan Biological industry situation, business, financial condition to analyze, then according to the actual situation of enterprises to choose the value assessment methods, choose EVA and market method finally. EVA method is a new type of enterprise performance assessment that can compensate for the lack of traditional accounting profit targets, in recent years, EVA is not only used for the evaluation of business performance, but also widely used in the enterprise value appraisal. In many developed countries, comparative market method is the most frequently used method, this method is evaluated by the financial analysis and value analysis of the similar companies on the stock market, the evaluation value based on the open market, so the evaluation values are considered to be fair, reasonable, and can be accepted by the public. EVA assessment is the intrinsic value, the author uses the two methods of HuaLan Biological evaluation, the results can reflect the enterprise’s comprehensive value. In the end, the author carries on the analysis to these two kinds of results, the average value of two methods are used for the final value of the enterprise valuation. Through the evaluation result, we can see that HuaLan Biological development foreground is very good, and suitable for investment.This paper focuses on the HuaLan Biological enterprise value assessment, from the actual situation of the original enterprise, in the middle of the paper, according to theoretical knowledge to choose reasonable evaluation method, then draws the appraisal conclusion. The result can provide investment advice to investors, and make the enterprise managers know more about the situation of companies. So the overall structure of this thesis is very close, from the actual situation, the final return to the actual situation, so the full paper keep the balance between theory and practice.