Research On M & A Performance Of GN Group Merging D Group Based On Vertical Integration Of Coal And Power

In recent years,against the backdrop of structural reforms on the energy supply side of China,both the coal and thermal power industries have been included in the list of capacity reductions.Since thermal power is the most important downstream industry in the coal industry,there is often a "zero-sum game" between industries.Changes in coal prices will always allow one party to enjoy dividends and the other to bear performance pressure.In order to resolve the contradiction between coal and power and optimize resource allocation,under the government's promotion and the demand for industry capacity reduction,China's leading coal company GN Group launched a merger with D Group,one of the five major power generation groups,and the two companies joined forces to form coal power The integration of large-scale energy group enterprises,this event opened the prelude to the "marriage of coal and power".The GN Group M & A case is supported by the government and the industry,and is expected to resolve the conflict between coal and power.However,from the perspective of the capital market response,the merger of GN Group and Group D has not been favored by investors.Based on this,this article will conduct a study on the case of GN Group merged with D Group,comprehensively analyze the performance and causes of postmerger mergers and acquisitions,and explore how vertically integrated coal and power mergers and acquisitions can bring performance improvements to enterprises?The research idea of this paper is to establish an M & A performance evaluation index system from a business and financial perspective based on the perspective of vertical integration,evaluate and analyze the performance of GN Group before and after M & A,and deeply explore the degree of vertical integration to market power,management efficiency,and cost The impact of the four performance indicators of level and asset specificity,so as to put forward suggestions and countermeasures on the integration path of coal power industry chain carried out through mergers and acquisitions.The research conclusion of this paper is that although the short-term market response caused by the merger of GN Group and D Group is not optimistic,from the financial indicators,after one year of merger and acquisition integration,the two groups have basically achieved the "1 + 1> 2" Synergies.At the same time,through this merger,GN Group internally resolved the contradiction between coal and electricity in the external market,and the smoothness of performance was significantly improved.From the perspective of vertical integration,internal integration and external integration paths have different impacts on related business indicators.Vertical integration through internal integration will cause a decline in management efficiency and market power,but external integration helps improve management efficiency and Market power;whether it is internal integration or external integration,vertical integration can increase the specificity of corporate assets.In the follow-up integration,GN Group should pay attention to the overall planning of internal and external integration paths,rationally select industrial chain integration areas,improve risk resistance by optimizing internal settlement mechanisms,rationally plan coal-power integration projects,and give full play to coalpower integration operations Synergy advantage.The innovation of this article is that,first of all,this article innovatively establishes the measurement index of the vertical integration degree of coal and electricity,and constructs the M & A performance evaluation index system from the perspective of vertical integration of coal and electricity,and innovatively proposes the vertical integration and financial performance of M & A.And business performance.Secondly,this article deeply analyzes the typical coal-fired M & A case of GN Group M & A Group D,analyzes the impact of vertical integration on corporate performance and influencing factors,and proposes an integrated integration path based on it,providing case companies with follow-up industrial chain integration Reference basis for decision-making.The application value of this article is that based on the transaction cost theory,market power theory,and scope economy theory,combined with the characteristics of the coal power industry chain,this paper proposes four influencing factors of vertical M & A performance,and makes a deeper interpretation of vertical M & A performance.Existing research on M & A performance.