Research On The Reasons And Effects Of Premium For Listed Companies Acquiring Neeq Enterprises In China

In recent years,with the rapid development of the third board market in China,more and more high-tech enterprises have entered the new third board market.However,the liquidity of the NEEQ market does not match the growth rate of its number of listings.Many NEEQ companies are trying to leapfrog to a better development platform,and thus the "M & A wave" of NEEQ has emerged.And this part of the merger and acquisition cases have shown a common feature-high premium.What is the reason for the high premium in the process of the listed company's acquisition of the New Third Board? Is its existence reasonable? Will the prevailing premium levels have a serious adverse effect on the results of mergers and acquisitions? The purpose of this article is to study the causes and effects of the M & A premium to help listed companies and NEEQ companies determine the optimal M & A price and choose the best M & A plan.Therefore,it is of great practical significance to study the reasons and impacts of the excessive premiums of listed companies' mergers and acquisitions on the New Third Board.In this paper,using the case method and literature research,and combined with a large number of financial data of listed company merger and acquisition of the Neep enterprise cases.I chose the case which has representative merger acquisition premium in the OTC market in 2017,Kunming Yunnei Power Company ?835 million merger Shenzhen Mingte technology Company.I researched the market background of this case,and simply expounded the based information?mergers and acquisitions reasons and results of the two companies.from the target company industry profitability and growth ability of the target company Off-balance-sheet unconfirmed intangible assets,the three Angle to the specific analysis of the causes of the formation of high premium,then analyzed the premium generated after this merger integration synergy results and capital market reaction to theacquisition.Then provide some suggestions for the listed companies when they mergers and acquisitions the Neep enterprises.