Analysis Of The Mixed Ownership Merger Valuation Of Target Corp On Y Owned Enterprises And N Private Enterprises

Mixed ownership can deepen the reform of property right of state owned enterprises, improve market competitiveness of state-owned enterprises and economic benefits, to enable the sharing of public ownership economy and non-public economic resources, the advantage is complementary. The key factors of M & A is mixed ownership economy one of the ways, in mergers and acquisitions to choose a proper valuation method of target enterprise valuation analysis, determines the valuation of target enterprise is reasonable, but also in the success of mergers and acquisitions.This paper firstly reviews the evolution process of property right reform of state-owned enterprise system, expounds the state-owned enterprises because of the literature of all brake mixing, introduces the enterprise mergers and acquisitions motivation and method of evaluation of target enterprise value; then, theory and practice, using case analysis method, the Y N merger of state-owned enterprises of mixed ownership of private enterprises with the analysis of the case company of mixed ownership merger motives and valuation methods, including:first, the introduction of the case company mixed ownership; second, from the diversification of property rights and resources advantage complementary two aspects analyzes the case companies to implement a mixed ownership motivation; third, from the three aspects of the target company’s business advantage, business risk and nearly three years of financial condition analysis the operating situation of the target company, this paper expounds the discounted cash flow method is adopted as the feasibility of the method of valuation of the target company; fourth, detailed calculated the target company expected net profit, owned by the parent net profit, future cash flow, discount rate and so on, and by discount cash flow method to calculate the equity value of the target company. Research results help to government regulators and institutional investors understand the enterprise implementation of mixed ownership motivation and how to take proper valuation methods of target company, so as to improve the mixed ownership acquisition results provide a theoretical basis and reference.