The Research To The Influential Factors Of Chinese Listed Companies Overseas M&a Premiums

Since the 1980s,concept of globalization is widely spread in the global scope,between the countries all over the world gradually increased in the political,economic interdependence,the enterprise not only expand their business in the domestic market,also began to the direction of foreign investment,China as the largest developing country have joined the tide of globalization,and developed quickly,the foreign direct investment on the amount or quantity is the largest.Since 2013,Chinese President Xi Jinping,put forward the strategic plan of "area",for China's enterprises offer a lot of regional cooperation platform,let enterprises to "go out" and have more opportunities to carry out overseas investment and overseas mergers and acquisitions,the idea that more state companies together,gradually formed a huge system of the world economy,more important is also led to the rapid development of economy in our country.But on the face of overseas expansion situation is very spectacular,careful analysis found that the result of the overseas M&A is not as good as I thought,on the one hand,invested a lot of manpower material resources,and ultimately failed,on the one hand,though a merger is successful,but the results did not improve,or even decline,while the high price of mergers and acquisitions lead to excessive costs of mergers and acquisitions is a more important cause of failure,the premium is not only huge,but also a high premium phenomenon is widespread,China's overseas M&A itself with "Chinese characteristics",is now known as the "Chinese premium" special labels.The whole process of overseas M&A is a complicated and lengthy process,from making plans for the development of the enterprise,the due diligence on the target company,to determine the trading price,each of these applications are possible factors caused the overseas M&A premium,to solve the problem of Chinese enterprises overseas M&A high premium,must first find its influence factors and influence degree.Based on the research status quo of overseas M&A premiums,and combed the related basic theories,such as the coordination effect theory,theory of value underestimate,free cash flow hypothesis and overconfidence hypothesis,combined with the present situation of overseas mergers and acquisitions in China,finds out the factors may affect the overseas M&A premiums,12 research hypotheses are put forward.Empirical research part,in 1999-2015,collected 178 samples of overseas mergers and acquisitions,lead to overseas M&A premiums from seven aspects:the influence factors,including free cash flow,the information asymmetry,the managers the average cost of capital,and three kinds of synergies.Through regression analysis found that the free cash flow,information asymmetry,overconfidence and financial synergies four factors were positively correlated with overseas M&A premium rate,and operating synergies are negatively related with overseas M&A premium rate,indicating the increase of free cash flow,the presence of the asymmetric information,the managers of the blind confidence and synergistic effect of led to China's overseas M&A premium rate rise,the average cost of capital and management synergy and premium rate had no significant correlation between the overseas M&A.