Impact Of Equity Structure On MA Performance From Insight Of EVA

China has been involved in the wave of M&A (Merger&Acquisition) with its accession to the WTO (World Trade Organization) and interconnecting with global economy. As a shortcut to fast growth and scale management of companies, M&A attracts so much attention of aspiring entrepreneurs. At the same time, the party and state scheduled culture industry and gave it strong support, which is a matter of national culture security and economic development strategy. After more than10years of development, the cultural industry has taken shape in our country, and gradually began into internal restructuring and integrating, resulting in a growing number of M&A events. However, many decisions of M&A are not rational and wise, so produced a large number of failures. Ownership structure is the foundation of corporate governance structure, and closely related to the performance and even M&A performance of enterprises. This paper catch a research on impact of equity structure on M&A performance of Chinese cultural companies on the basis of predecessors’ explorations, in order to do my bit for the efficient integration of cultural industry.This paper takes59M&A events of Shanghai and Shenzhen A-share listed companies from2009to2012in the cultural industry as an example, first uses financial data to calculate economic value added (EVA) and rate of EVA of enterprises to evaluate the M&A performance and change trend of the acquiring firms. Next, it utilizes the multiple linear regression method to carry out empirical analysis on the relationship between equity structure and M&A performance of the acquiring firms. The empirical results show that the overall sample enterprises’ M&A performance is negative, the enterprises’ value is damaged. For the acquiring firms in the cultural industry, the proportion of tradable shares and executives’ shareholding are positively related to M&A performance. Appropriate state ownership will not produce negative effect on M&A performance. Moderate concentration of ownership structure is conducive to the improvement of M&A performance. Check-and-balance ownership structure is significantly and positively related to M&A performance. Finally, the paper puts forward the following proposals for reference according to the empirical results. With the building of a sound capital market environment, the cultural enterprises themselves should speed up to realize the full circulation of their stocks in the market, maintain appropriate state ownership to obtain the relative superiority in allocation of resources of market, improve executives’ shareholding reasonably according to enterprise reality, keep moderate shareholding concentration to facilitate efficient decisions in a rapidly changing market, and establish a delicate balance between shareholders to ensure the decision of M&A is totally for enterprise development. In a word, in order to get superior earnings, the cultural enterprise should be realistic to constantly promote the rationalization of equity structure, and at the same time pay attention to the various integration after M&A.As M&A performance is a research hotspot, there are so much exploration and thinking related to it. This paper takes a different approach to measure M&A performance by EVA changes before and after M&A. At the same time, this exploration focuses on cultural industry, which is thought as the most promising field at present. In addition, with the rational selection of data sample which is the most recent period, this research keep pace with The Times.