Research On The Influencing Factors Of M&A Payment Method

China is committed to grasp the balance of steady growth and structural adjustment under the new normal.After the background of the financial crisis,mergers and acquisitions have been widely recognized as an important way for enterprises to achieve growth.In recent years,mergers and acquisitions among well-known enterprises emerge in an endless stream,and entrepreneurs are more and more aware of the significance of mergers and acquisitions for enterprise development.The rational choice of M&A payment is an important guarantee for the success of mergers and acquisitions.At present,scholars at home and abroad have done more research on M&A behavior and M&A performance,but there are few achievements about M&A cost.This paper aims to help enterprises to make reasonable payment decisions,simplify the decision-making process and reduce the negotiation costs through the relevant research on the influencing factors of the payment methods of M&A enterprises.The research makes up for the deficiency of the research field of M&A cost.In this paper,on the basis of the existing empirical research on the impact of financing constraints,mergers and acquisitions and the shareholding ratio of three factors on the payment methods,and the main purpose is to solve the financing level enterprises may encounter payment options and the level of corporate governance issues.This paper takes 653 merger events of Listed Companies in the past 2014-2016 as the research object,and uses the logistic regression model to empirically test the impact of the above three factors on the payment methods.The conclusions are as follows: the existence of financing constraints enterprises tend to use stock to pay;M&A larger and more companies use stock to pay the price;the proportion of the first largest shareholder in 30%-50% range of the main and the company have greater concerns about equity dilution,using the probability of cash payment more.The innovation of this paper is as follows:(1)how to choose the payment mode under different financing constraints,shareholding structure and scale of mergers and acquisitions.Compared with the existing research,more comprehensive consideration is given to the financing level and corporate governance level of the master and concurrent enterprises in the process of payment decision making.(2)select the interest guarantee multiple as the financing constraint substitution variable,which is different from the international dividend payout ratio.Because many domestic listed companies will not continue to pay dividends,the interest guarantee ratio to measure the financing constraints is more in line with China's national conditions,but also more objective.(3)in view of the fact that domestic listed companies generally have financing constraints,it is instructive to use the interaction term to investigate the impact of M&A scale on payment methods under the condition of financing constraints.This paper draws the following views: first,in terms of the specific operation of the enterprise level,we can choose mergers and acquisitions payment method based on the visual scale of mergers and acquisitions.In the case of large scale mergers and acquisitions,stock payment will be a rational choice;secondly,interest coverage ratio can be used as a measurement of the degree of financing constraints of the index;again,major shareholders in the controlling stake in the middle level,paying cash is more favorable,can effectively avoid the dilution of control.