Research On The Impact Of Payment Methods On Financial Performance Of Mergers And Acquisitions Of Domestic Listed Enterprises

As China's economy goes into the new normal,mergers and acquisitions(M&A)are significant methods to optimize the allocation of resources,to gain scale effect and to improve the efficiency of resource using.It has become an important way for domestic enterprises to adapt to the new normal,to accelerate industrial upgrading,to achieve rapid expansion,and to occupy the market share.Meanwhile,more and more attentions are attracted to payment methods because it is one of the important factors that affects the success or failure of M&A.Different payment methods involve the financing strategy and capital cost of the enterprise,and the long-term and short-term interests of both shareholders.This dissertation reviews the research on the impact of M&A payments on financial performance by domestic and foreign scholars,and explains the related concepts of M&A payments.First,a comprehensive evaluation model of financial performance is established by selecting M&A events disclosed in Shanghai and Shenzhen stock market in 2014 and as the research object and representative financial indicators.Factor analysis is carried out to study how different payment methods to affect enterprise finance,and offering reasonable suggestions to domestic companies according to current problems of the payment methods they using to M&A.Next,exploring the change trend of development capacity,solvency,profitability and operational capability by using the trend analysis of financial indicators.The main conclusions are as follows:(1)Hybrid payments can bring greater medium-term benefits to companies than cash payments;(2)China's capital market is underdeveloped,the financing cost is high and the risk is large,which limits the diversified development of payment of M&A;(3)Domestic enterprises have the phenomenon of single payment method and blind merger.At the same time,this paper analyzed the problems existing in the present domestic M&A payment and put forward reasonable Suggestions according to the empirical results.It is important for enterprises to select better payment methods of M&A and the diversification of the payment method of M&A in future.In this paper,compared with former research,more stringent selection criteria are used,and enterprises that have M&A more than once are deleted.Therefore,it reduces the influence from other M&A events;and increased the impact of hybrid payment on financial performance.This dissertation includes five chapters:The first chapter is introduction.It elaborates the backgrounds and meanings of the topic and reviews related domestic and international literature about payment methods of M&A.In addition,it summarizes the research methods and contents of this paper and points out its innovations.The second chapter introduces basic concepts and characteristics of M&A and payment methods of M&A,the theory of M&A payment and its influencing factors.At the end of this chapter,there are the commonly used research methods of how M&A payment methods affect financial performance.A comprehensive evaluation model of financial performance is established in chapter three.It not only explains the data source,criteria of sample and financial index selection,but also provides data and model support for empirical research in chapter four.This chapter analyzes data in the last chapter via factor analysis and financial index analysis in this chapter.Moreover,suggestions are offered by analyzing the results of empirical research.The fifth chapter are conclusions,innovation and shortcomings of this paper,which makes a prospect for the next stage of research as well.