Research On M&A Performance Of Listed Military Companies In China From The Perspective Of Military And Civilian Integration

The national defense military industry is the primary task and priority among priorities to guarantee national security and people's living stability.As an important part of the national defense industry,the development of listed military companies is also directly related to the perfection of national security and national defense work.M&a,as an important activity in the capital market,is often one of the main ways for listed companies to expand industrial chain,expand scale and improve profitability.Use for reference from the US,China,s military industry is ushered in the gold merger and reorganization period.Besides,With the proposal and implementation of the military-civilian integration development strategy in 2014,the assets reorganization activities of listed military companies have become increasingly active,especially the listed military companies which have joined the arny.With the help of the military-civilian integration policy,the listed military companies have gradually replaced the top ten military industrial groups to become the main force for China's military enterprises to participate in mergers and acquisitions.However,in China's historical stage,the development of military enterprises still lags far behind that of developed countries such as Europe and the United States,and previous scholars have done little research on the m&a performance of military enterprises,especially the m&a performance of listed military companies in China.The real impact of m&a and reorganization of military assets on the operational performance of military enterprises needs to be further studied.Based on this,this paper focuses on the m&a performance of listed military companies in China,and selects the financial data of 125 m&a cases of 92 listed companies,including the top 10 military industrial groups and listed civilian military companies,from 2010 to 2015 as the sample data,use factor analysis to obtain the comprehensive performance scores of sample enterprises in the two years before the merger,the year of the merger and the two years after the merger,respectively.By comparing the different situations before and after the implementation of the integration policy of military industry and the different scores of ten military industrial groups and listed companies joining the army,the following conclusions were drawn:1.The overall m&a performance score of listed military companies in China is not ideal,and most enterprises do not show obvious performance improvement after the implementation of m&a activities;2.The implementation of the military-civilian integration policy has activated the capital market of China,s military industry and aroused the enthusiasm of listed military companies,especially private enterprises,to participate in the m&a of military assets.However,due to the lack of in-depth implementation of the policy,its positive impact on the m&a performance needs to be strengthened.3.The overall performance of listed companies which joined in the army of our coumtry increased in the year of merger and acquisition,but generally declined in the two years after merger and acquisition,indicating that merger and acquisition activities of listed companies which joined in the army were superficial and lacked planning and consideration for long-term interests.Military industry mergers and acquisitions of listed companies in China were studied in this paper,from the perspective of military-civilian integration development strategy.This paper hopes to find out the problems in the m&a activities of China's military enterprises under the new situation,put forward corresponding improvement measures,and finally provide reference for the development strategies of China's military enterprises in the new environment.