Case Study Of Shandong Ruyi Co. Ltd. Merging Xinjiang Jintianyang Textile Co. Ltd

Enterprise merger and acquisition is one of the most important ways to optimize the allocation of stock resources in the capital market under the market economy.It is conducive to improving the utilization rate of resources and the efficiency of capital allocation,promoting the listed companies to achieve industrial upgrading and industrial chain extension,and promoting the transformation and upgrading of economic structure and economic development.Therefore,to continue to increase the support for merger and acquisition and restructuring of listed companies can effectively serve the national strategic layout,and promote listed companies to actively use the capital market to become better and stronger.Under the influence of macro market environment,policy adjustment and other factors,there are many factors that affect the success or failure of merger and acquisition,and the risk is large.The purpose of this paper is to study the case of Shandong Jining Ruyi Wool Textile Co.,Ltd.merging Xinjiang Jintianyang Textile Co.,Ltd.,analyze and find out the factors that affect the success or failure of the merger and acquisition,and take corresponding measures to help the merger and acquisition party to achieve the expected success of the merger and acquisition.This paper uses the literature research method to understand the basic situation of international and domestic research on enterprise merger and acquisition,combs the basic theories related to merger and acquisition;uses the empirical analysis method to make an empirical investigation on the merger and acquisition case of Shandong Jining Ruyi Wool Textile Co.,Ltd.to Xinjiang jintianyang Textile Co.,Ltd.,and combs out the basic theoretical knowledge in the literature research method Combined with the basic situation identified by empirical analysis,this paper analyzes the background,motivation and performance of merger and acquisition,aiming at the research purpose and problems raised in this paper,explores the factors affecting the success or failure of merger and acquisition and measures to reduce the failure of merger and acquisition.In order to explore the factors that affect the success or failure of merger and acquisition and reduce the risk of merger and acquisition,first of all,this study comprehensively investigated the production and operation of the enterprises of both sides of merger and acquisition at that time,and sorted out the details of the pre preparation stage,merger and acquisition scheme design stage,transaction stage and development stage after asset integration of merger and acquisition.Secondly,according to the international and domestic economic development situation when the merger and acquisition activities take place,this paper analyzes the causes of merger and acquisition from the macro factors such as economic environment,policy environment and micro perspective such as business operation.According to the production,operation and financial situation of the acquirer,this paper analyzes the capability of the acquirer.In view of the details of the subject matter of merger and acquisition,this paper studies and analyzes the characteristics and transaction mode of the subject matter of merger and acquisition.Thirdly,it analyzes and evaluates the economic and social benefits of M &A and the development of regional textile and garment industry.According to the investigation and analysis of the case,this paper draws the following conclusions.First,accurately grasp the opportunity of merger and acquisition,which can effectively reduce the system risk in the process of merger and acquisition.Second,choose a suitable way of merger and acquisition,which can effectively identify the risk points of merger and acquisition Third,select the target of merger and acquisition with clear rights and responsibilities,which can relatively accurately evaluate the risk of merger and acquisition.At the same time,we get two inspirations.The first revelation is that merger and acquisition should be in line with the direction of industrial development policy support;The second revelation is that in the stage of merger and acquisition plan design,we should evaluate the target of merger and acquisition comprehensively;The third is to adjust the development strategy of enterprises appropriately after M & A.