An Empirical Study On The Performance And Influencing Factors Of M & A Of China GEM Companies

From a global perspective,the western developed countries have experienced 5 M & A waves.And every time the tide will be elevated to a higher level.The world top 500 enterprises in their development process also went through mergers and acquisitions to rapid expansion,integration of resources and markets.But as 2001 the economic growth of USA began to slow down and the influence of "9.11" incident,M & A in western countries started to slow down.Mergers and acquisitions started late in China.Until 1993,Shenzhen Baoan Group placarded through the secondary market extension of the Industrial acquired Shanghai,China's capital market M & A event was officially staged.Although mergers and acquisitions China started late,with the continuous improvement and development of the market economy,the capital market for the allocation of resources and continue to strengthen the capital market mergers and acquisitions become very active.From 2009 to the opening of the GEM the end of 2015,the total number of companies listed on GEM has reached 493,the total market value reached 5.5916 trillion Yuan.With the increase in assets as well as its optimization and restructuring needs of GEM listed companies,coupled with the raised funds drive,our GEM listed company M & A activities have become very frequent,has become a hot issue of China's capital market.This paper selects from 2010 to 2011 of companies listed on GEM of the major M & A events as the research object,selects the pre-merger occurred one year after the merger occurred that year and an acquisition occurs three years of performance of the original index by a factor analysis and means tests to study sample before and after the occurrence of mergers and acquisitions business performance whether a significant change.This study finds that the overall sample of companies,mergers and acquisitions cannot result in significant changes in performance.For the occurrence of lateral and vertical mergers acquisitions of businesses,the level of performance before and after the merger did not significantly change.The mixing of the sample M & A companies,in the post-merger performance has been significantly improved.At the same time,we find that for the pre-merger performance better sample companies,after the acquisition occurred performance showed remarkable decline;and for the poor performance of the sample M & A companies,M & A enables enterprise performance is greatly improved.From this perspective,acquisition of China's GEM is successful.Finally,continue the factors that may affect the M & A performance using panel data analysis finds that some industries can have a significant impact on M & A performance,pre-merger performance whether better have a significant negative impact on M & Aperformance,which also factor analysis provides robustness test.We also finds that the concentration of ownership for enterprise acquisition performance has a significant negative impact.This paper analyzes the GEM acquisition performance and influencing factors of theoretical and practical significance.On the one hand,this study examined the theory from the merger application problems in western countries in development and transition in China;the other hand,this study also provides a reference for future planning and implementation of M & A GEM.