Research On The Financial Effect Of Tianqiao Crane's Acquisition Of Huaxin Electromechanical

Mergers and acquisitions are also known as mergers or mergers.It means that two or more independent companies have formed a company through the merger of property rights.Generally,a disadvantaged company is absorbed by a dominant company.Corporate mergers and acquisitions are also a very critical governance mechanism that can make the combined company value greater than the sum of the simple arithmetic of the acquisition company and the value of the target company.M&A is an important capital tool for listed companies.Whether the listed company itself is the acquirer or the acquiree,the impact of mergers and acquisitions is enormous.Hoisting machinery manufacturing is a branch of machinery manufacturing.The analysis of the business structure of the top ten mobile crane companies in the world is characterized by a relatively obvious degree of professionalism and seldom involves other category engineering machinery.China's crane manufacturing industry has different characteristics from foreign countries.The major crane companies in China are all integrated engineering machinery companies that also operate a number of construction machinery businesses.Zhuzhou Tianqiao Crane Co.,Ltd.is one of the few manufacturers of specialized lifting machinery in the industry and has long been engaged in research,development,manufacturing and sales of various lifting equipment.It is one of the key enterprises in the domestic lifting machinery manufacturing industry.Starting from the research background,the article integrates the theoretical basis of mergers and acquisitions,and clarifies the classification,basic concepts of mergers and acquisitions,and a review of relevant theories at home and abroad.Then,for the two parties with different roles in mergers and acquisitions,a basic introduction was made,the process of mergers and acquisitions was outlined,the changes in equity before and after the merger and acquisition were combed,and the SWOT analysis and specific motivation analysis were conducted.Then for the M&A event,four methods,namely the financial indicator comparison research method,economic value added,principal component analysis,and event-based market reaction analysis,were used to observe the impact of this merger.At the same time,in the use of methods,the same industry comparison company was introduced to more objectively evaluate the financial impact of mergers and acquisitions for the company.Through the above-mentioned analysis and research,it can be seen that M&A can inject high-quality assets for listed companies,expand the scope of operations,and increase profitability.The innovation of this paper is to study Zhuzhou Tianqiao Crane Co.,Ltd.,which is a listed company that is mainly engaged in lifting manufacturing industry and has certain characteristics.At the same time,in conjunction with the State Council officially promulgated the "Restructuring and Revitalization Plan of the Equipment Manufacturing Industry," it has formulated policies and measures to encourage cross-regional,cross-industry and cross-ownership restructuring of domestic enterprises.Studying the benefits brought by mergers and acquisitions can bring a certain reference value to the merger and acquisition of companies in the same industry and the effect of national support policies.