Research On The Valuation And Pricing Of Internet Enterprise M&A In China

Over the past ten years,the Internet industry has developed rapidly.As the scale of the Internet economy has gradually grown,the number of M&A activities and the scale of funds of Internet companies in the M&A market also increased.In M&A activities,valuation and pricing are two important links in the entire process,while the Internet industry started late so that related valuation theory and practical research are not yet perfect.Therefore,this article takes Internet companies as the object to study the problems of corporate valuation and transaction pricing in mergers and acquisitions.Through the research in this article,it has enriched the theoretical system of corporate valuation to a certain extent,promoted the development of corporate valuation research,and provides a basis for the rational pricing of Internet enterprise mergers and acquisitions.On the other hand,the establishment of a new combined valuation pricing model helps Corporate Internet M&A decisions and practices promote the development of capital markets.This paper mainly studies the problem of valuation and pricing of Internet enterprises through the combination of theoretical analysis and practical analysis.First of all,through a lot of reading and studying,it is found that Internet companies account for a relatively high proportion of asset-light and high operating risks.Combining the characteristics of Internet,it is found that traditional valuation methods such as income method and market method are not suitable for evaluating the value of Internet companies directly.Then,we can know the value composition of Internet companies in M&A valuation,based on the previous theoretical analysis.The value of Internet companies can be divided into three parts: existing business value,potential business value,and M&A premium value.According to the value source of Internet enterprise mergers and acquisitions,different valuation models are used for different parts.And the existing business value is evaluated by the optimized DCF model,the potential business value is operated by the BS option model,and the M&A premium mainly evaluates the effects of synergies.The adjusted discounted cash flow model is used to evaluate the M&A premium,which is mainly affected by synergies.Finally,a case is used to verify the accuracy of the combined model.After comparing and evaluating the results of the organization and this article,and tracking the business status of the enterprise,themodel is proved to be effective.Through the research in this paper,it is believed that M&A valuation and transaction pricing are two concepts,and transaction price is the result of the game between the two parties on the basis of valuation.While The combination model constructed in this paper can reasonably evaluate the valuation and pricing of Internet enterprise mergers and acquisitions.The analysis shows that the optimized DCF model in the combined model is more realistic than the original model,and the value of the M&A value is close to the increase in the company's market value.Therefore,the proposed model has great present significance.Not only can it complement the existing valuation system and help reasonable pricing of M&A transactions,but also it can improve M&A efficiency and promote the healthy development of the capital market.