Effect Of M&A Of Listed Companies On The Stock Price Of GEM

Wind Info data shows that in 2015, the Chinese M&A had got to a new peak, totaling rose to 30,587 yuan, compared with in 2014 total 26,054 billion acquisitions, it had a rise of 17.4% over the same period; mergers and acquisitions involving Chinese companies since 6460, the number of record M & A record number of events. 2015, is China’s mergers and acquisitions bumper.It is noteworthy that, after six years of development, representing the high-tech and high growth GEM gained great development. As of December 31, 2015, the number of GEM listed companies has reached 498, with a total market value of 5.5916 trillion yuan. At the same time, China’s GEM listed companies is very strong willingness to expand, since 2015, GEM companies more active mergers and acquisitions, Wind Info data show China M & Library, 2015, the GEM listed companies has been the main buyer merger announcement a total of 769 single event. Among them, the mergers and acquisitions industry is the largest information technology industries. In economies in transition in China, the industry is the one of the highest reported rate in the industry. Therefore, the current study GEM listed companies in M & A theory meaning very much.In this paper, the GEM listed companies merger announcement event a study as a research object, Wind information from the Chinese financial terminal access to research sample library acquisitions, data 2015 period January 1 to December 31, taking the theoretical research and events research methods to each 20 days after the observation period for the first time before the merger announcement event, examine M & A events impact on stock prices. The authors conducted a merger-related theory first settlement on the M & A performance-related literature was reviewed, and the reasons for domestic and foreign scholars combing stock abnormal reaction analysis. Then, on the growth enterprise market M & A for a special theory. Next, define the research methods to establish empirical study mathematical model and determine the window of this article, to M & A announcement, based on(-20, 20) for the event observation window,(- 120,-21) for the event estimation window; Finally, the model results cumulative abnormal returns for statistical T test, and draw conclusions. In this paper, the following conclusions: no change of control of mergers and acquisitions throughout the event period, the share price of the acquisition buyer has a significant negative effect. The acquisition of control is changed during the entire event on the merger affect the buyer’s stock price is not significant, but in the vicinity of merger announcement, as have a significant impact within the [-7, + 5] of the time window in which the [- 7, the stock price effect + 1] period of significantly negative, while the [+ 1, the stock effect + 5] period significantly positive. Outbound mergers and acquisitions in the territory of the entire event period, the buyer of the stock acquisition had no significant effect. Group related party transactions, non-related party transactions set period of mergers and acquisitions throughout the event the buyer had no significant effect on the share price.