Analysis Of Financial Synergy Effect Of Yuantong Express Merger & Acquisition Xianda International

With the rapid development of China’s economy,mergers and acquisitions(merger and acquisition)have become an important way for Chinese enterprises to seek rapid growth.The merger and acquisition can enable enterprises to expand in a short period of time and optimize the allocation of resources.Acquiring synergy through merger and acquisition is one of the main motives for enterprises to implement merger and acquisition,and whether the enterprise can obtain financial synergy determines whether the merger and acquisition could be successful.However,there are few Chinese studies focusing on the realization of the synergy generated by merger and acquisition and the financial synergy of express industry.Therefore,this thesis has certain practical significance for the studies about the synergy generated by the merger and acquisition of express enterprises in the future.From the perspective of financial synergy,this thesis analyses the financial situation of YTO Express’ s merging On Time Group,mainly using quantitative analysis,qualitative analysis,case study and literature research.This thesis compares the financial indicators of YTO Express in terms of financial capability,cash flow,share price changes and tax-saving effect before and after YTO Express’ s acquisition,so as to analyze whether the acquisition has brought financial synergies to YTO Express and what financial synergies it has brought.With regard to the financial ability,this thesis mainly analyses the operation ability,the profitability,the debt paying ability and the development ability.In the aspect of cash flow,it mainly analyses the cash flow of operation activities,investment activities and financing activities.Through the analysis,this thesis found that YTO Express’ s strategic acquisition of the On Time Group has not fully acquired the financial synergy.After the merger and acquisition,the development ability,the operation ability the debt paying ability and the profitability have been improved,but the stock value-added effect and tax-saving effect have not been achieved.After analyzing and sorting out the cases,this thesis found that on the one hand,YTO’s merger and acquisition has realized the scale effect,seized the initiatives in the foreign market,increased the market share,and enhanced the core competitiveness.However,due to the irrational payment method of this merger and acquisition,the lack of integration after the merger andthe limited time,the financial synergy of this merger is not ideal.When carrying out large-scale mergers and acquisitions,express delivery enterprises should fully consider whether the resource advantages of the merged enterprises are complementary to those of the merging enterprise,fully consider various factors,and not blindly pursue a single purpose of merging.Only by choosing the appropriate payment method and paying attention to the long-term financial integration after mergers and acquisitions can the financial effect of mergers and acquisitions be maximized...