Is The High-price Merger Of Palm Technology A Benefit Transfer Or A Synergy?

Since China's reform and opening up in 1978,three large-scale mergers and acquisitions have emerged,which has far-reaching significance for the upgrading of corporate structure and sustainable development,and has become an important issue in the capital market.Mergers and acquisitions are listed companies that acquire some companies with development potential but insufficient funds to improve the company's operating quality,optimize resource allocation,gain core competitiveness,and occupy more market share.High-value mergers and acquisitions are not fair to the valuation of the underlying companies,initially conveying positive signals to investors,but also giving major shareholders the opportunity to obtain excess returns.Large shareholders use the concept of mergers and acquisitions to reduce their holdings to obtain a large amount of funds,and unfinished performance commitments also bring huge risks of goodwill impairment,which have become “boosters” for the transfer of interests,which is not conducive to the “1+1>2” of the merger and acquisition parties.Synergistic effect.There may even be a series of negative results such as failure to meet performance targets,falling operating profits,and shrinking market value.This not only increases the burden and risk of the company's future management,but also seriously damages the interests of small and medium investors.In this paper,the interest synergy and benefit transfer in the M&A motivation are put into the same research framework,and the case is compared and analyzed to further study the realization degree of the synergy effect of high-purity mergers and acquisitions,and further a series of behaviors with the motivation of large shareholders' interests.determination.This paper takes the high-price mergers and acquisitions of listed companies as the focus,and takes the case of continuous acquisition of the company's technology as the research object.From the two perspectives of interest synergy and interest transfer,this paper analyzes the positive and negative effects of high-value mergers and acquisitions on listed companies.Firstly,the research background and research significance of this paper are expounded,and the literature is combed from three aspects: premium merger,merger and acquisition synergy and interest transfer.Secondly,based on the theory of information asymmetry,manager over-confidence hypothesis and large shareholder short-selling theory,analyze the interaction between high-value mergers and acquisitions,synergies,and the possible motives of interest transfer,means of benefit transfer and economic consequences Analyze.Thirdly,it briefly analyzes the three M&A transaction process of Palmtech,and based on the theoretical basis and case comparison of the nature of mergers and acquisitions,compares the company's pre-,post-,and post-performance analysis,and analyzes the nature of M&A.Finally,combined with the conclusions of this paper,in order to reduce the negative effects of high-value mergers and acquisitions,the risk structure of the internal equity structure is more optimized,the performance commitment is strengthened,the asset evaluation institutions are more specialized,and the regulatory environment is more perfect.Suggestions from four angles.Through the study of the high-price mergers and acquisitions of Palm's technology,the following conclusions are drawn:(1)The synergy effect of interests is not ideal: the management synergy level,the capital operation capability has not been improved,and the management cost ratio has not decreased but increased;the management synergy level,profitability Without improvement,the growth capacity decreased significantly,and the number of users of major products also showed a downward trend;the financial synergy level,solvency did not change significantly.(2)Based on the theoretical basis of the nature of interest transfer,combined with the comparative case,for the unreasonable valuation of the palm of interest in the acquisition of the target,a number of performance commitments failed to meet the standard,change the performance compensation agreement,the major shareholder reduced the cash out of office,the business performance fell sharply,etc.A series of performances determine that its high premium mergers and acquisitions are interest transfer behaviors.Through the analysis and summary,the following suggestions are proposed: First,the listed company should establish a more reasonable shareholding structure,strengthen the power balance to improve corporate governance;second,strengthen the risk mechanism of all aspects of performance commitment;third,based on the principle of professional value assessment To improve the professional level and professional ethics of the evaluation agencies;Fourth,improve the regulatory environment and strengthen the protection of the interests of small and medium investors.This paper is based on case study and comparative analysis,and selects representative companies in high-value mergers and acquisitions to conduct specific analysis.However,since the data used in the analysis is only up to the 2017 annual report information,the undisclosed content may have an impact on this article,so the conclusions formed are not rigorous and have certain limitations.In order to study more deeply,we can pay attention to the performance and strategic transformation planning of the company,or combine the industry background to compare and analyze the motives and economic consequences of high-value mergers and acquisitions.