Evaluation On The Performance Of The Asset Restructuring Of Gansu Jingyuan Coal Industry And Electricity Power Co., Ltd.

In recent years, under the promote and implement of the policy of the state and the government, China’s coal enterprises are accelerating the work of mergers and acquisitions. Through the integration of the coal resources, promote the reform of coal enterprises, achieve the optimal configuration of resources, to gradually improve the market concentration of coal enterprises. At the same time, coal enterprises are also facing the severe external environment. On the one hand, control the total amount of coal consumption in China, change the development mode of the coal enterprises,adjust energy structure, strengthen the air pollution control, has become a hot spot of common concern to all sectors of society, the environmental pressure of coal enterprises is increasing day by day. On the other hand, since 2012, the world economic downturn, domestic economic slowdown, affected by overcapacity, falling prices, imported coal, and the supply and demand factors, most coal enterprises in China have a sharp decline in profits or even losses.Therefore, the coal enterprises should to look for life in the crisis, and seek development in the plight. Through asset restructuring activities, which is common in the Capital markets, to bigger and stronger the main industry, integration the advantages of capacity, eliminate backward production capacity, integrating more capital and better resources, improve the core market competitiveness of enterprises,provide time and funds to ensure that post-restructuring and development. Whether the assets reorganization of coal enterprises can realize the goal and produce the expected value is not only an important issue to be studied, but also a hot spot in the field of current research.This paper use Gansu Jingyuan Coal Industry and Electricity Power Co., Ltd. as the research object, analyzed the short-term and long-term performance changes before and after the reorganization of assets. The results show that: In the short term,the event is obtained a high cumulative abnormal returns in the whole event window,indicated that the investors have positive expectations, and bringing the shareholders a significant increase in wealth, enhance the value of the enterprise. The analysis on the long-term performance before and after the Jingyuan Coal and Electricity’s asset restructuring of five years, found in the asset restructuring year, Jingyuan Coal and Electricity’s production capacity, sales revenue and profitability has significantly improved, and enhance the ability to resist the market risk, solvency has also improved. But after the reorganization of assets, this period has also affected by themacroeconomic factors, the financial indexes has suffered different degrees of decline,and returned to the level before the reorganization, the persistent is poor. The above results indicate that the Jingyuan Coal and Electricity’s assets reorganization has failed to make a stable enhance of the enterprise performance, the recombination efficiency is not high. Therefore, the paper finally puts forward several policy suggestions: enterprises should strengthen the efficiency of integration after the reorganization, at the same time, the government should also focus on the development of the coal enterprises after the reorganization.