Research On The Short-term Performance Of Group A's M&A

In recent years,with the reform of interest rate marketization,the development of Internet finance and the deepening of financial disintermediation,the competition among various financial institutions dominated by commercial banks has been increasing,and various financial institutions are actively engaged in financial innovation,To open up new financial business and to find new profit growth point.With the continuous progress of the reform of the financial industry and the implementation of national integrated management pilot,a number of financial institutions in order to expand the scope of business and to achieve economies of scale,actively take measures to expand.Compared with the new establishment of relevant institutions,most of the financial enterprises have taken M&A activity to expand,the enterprise aims to reduce the operating costs through the merger,on the other hand to achieve rapid expansion and access to economies of scale.However,due to the late start of China's financial industry itself,the current face of financial reform,M&A activity lack of guidance and experience in the current financial environment,whether mergers and acquisitions can bring financial performance improvement has become an urgent problem to study and to solve.On the basis of summing up relevant literatures at home and abroad and related factors of M&A,M&A performance theory and M&A short-term performance,this paper analyzes the largest cross-business category of China's financial industry since the 21st century---"Group A acquires B Bank".This paper analyzes the motivations of A Group's M&A and uses the event study method to examine the short-term performance of the M&A event on the event bulletin period[-40,40].The M&A activity did not improve the short-term performance of both parties,and even reduced the short-term performance of both parties.Finally,this paper summarizes the results of the case analysis,starting from the point of view,for China's financial industry M&A activities to provide reasonable and reliable reference.This paper is divided into five parts.The first part is the introduction,analyzes the background and significance of the topic,introduces the main content of this article,the logical framework,the main research methods,and literature review.The second part is the theoretical basis,reviews the concept of M&A,the theory of M&A performance,the meaning and evaluation method of short-term performance,and summarizes the related literatures at home and abroad,summarizes the influencing factors of mergers and acquisitions short-term performance.The third part is the description and analysis of the M&A case of Group A.The internal and external environment,M&A background and process of Group A Mergers and acquisitions are introduced.The M&A motivations of Group A are analyzed,and event study method is used to analyze the M&Of the short-term performance impact,the conclusion is the Group A M&A short-term performance is negative.In the fourth part,the author analyzes the factors influencing the short-term performance of Group A's M&A,and points out that the M&A payment,the management's overconfidence,the strategic integration of the merger and the market environment lead to the short-term performance of Group A's short-term performance.The fifth part is the countermeasures and suggestions.On the basis of the research of this paper,some countermeasures and suggestions are put forward to summarize the experience of A group M&A case,and to provide feasible suggestions and points for M&A activities in China's financial industry enterprises.