Case Studies On Continuous Mergers And Acquisitions Of Teng Bang International Business Services Group Corporation

The current capital market acquisitions is really frequent.Some enterprises continuously merger other companies in the industry or in the different business,which differs from other enterprise,the acquisition mode is called continuous merger and acquisition mode,especially refers to the same companies in five years for at least three to five times with inner link of mergers and acquisitions,this article selects the Teng Bang corporation as a typical case,Teng Bang corporation was originally an air ticket agency,to grow as the listed tourism group,is based on its core business continuous mergers and acquisitions.Through the systematic analysis of the continuous merger and acquisition of Teng Bang corporation,this paper hopes to have a deeper understanding of the continuous merger and acquisition mode and play a reference role for other companies' merger and acquisition.This paper focuses on the situation of the continuous merger and acquisition process of Teng Bang corporation.This paper analysis on the motivation of continuous mergers and acquisitions,which uses relevant financial indicators and F score model equation to identify the risk of continuous mergers and acquisitions,and evaluates the value creation effect of continuous mergers and acquisitions,using the event study method to evaluate the market performance of continuous mergers and acquisitions,using EVA method and Tobin Q value analysis method to evaluate the long-term performance of continuous mergers and acquisitions.Through the research,in the tourism business,Teng Bang corporation has gained the advantage of destination resources and achieved the development of online and offline tourism platform driven by two wheels;In the financial business,the company has successfully transformed from an airline ticket agent to a comprehensive tourism service provider.However,with the intensification of continuous mergers and acquisitions,the capital liquidity of enterprises is affected,facing the risks of depressed stock price,impairment of goodwill,pledge of equity,synergetic effect,etc.The market performance of continuous mergers and acquisitions is studied through the event study method,and the strategy of continuous mergers and acquisitions can bring positive returns to shareholders as a whole,but the short-term effect is not as significant as the long-term effect.The longterm performance of enterprises is studied through the economic value added(EVA)method and Tobin Q value method,and the results show that the long-term performance of enterprises is better.On this basis,it is suggested that in the early stage of continuous mergers and acquisitions,it is necessary to select resource-complementary mergers and acquisitions objects,select diversified financing methods,improve the risk identification and prevention mechanism.In the process of continuous merger and acquisition,the company should be good at using merger and acquisition skills,make reasonable choice of payment method;In the late stage of successive mergers and acquisitions,the capital is introduced as a strategic shareholder to strengthen the integration in the late stage of mergers and acquisitions,give play to the synergies after mergers and acquisitions,summarize merger experience timely,and avoid risks.