The Research On Merger And Acquisition Strategy Adjustment Of Jiangsu Leike Defense Polytron Technologies Inc

Jiangsu LeiKe defense Polytron Technologies Inc is a chinese company which main business for R & D and production of military products,listed on Small and medium enterprise board.The company expanded rapidly through mergers and acquisitions strategy in 2015 just after being transformed into a military listed company.But in 2018,when the company's business performance grew well,the Market value plummeted due to the failure of a new acquisition business,encounter market crisis.This article systematically analyzes the business and financial situation of the LeiKe defense company,analyzed the history of mergers and acquisitions business,the internal and external environment of the company's industry,the future development trend of military industry,comparison of operating performance between listed companies in the same industry and listed companies on the same board,combined with the classic M & a theory.Obtained the advantages and disadvantages of the M&A strategy originally adopted by Leike Defense,and the deep-seated reasons of the company's current market crisis.In view of the development problems that already emerged of LeiKe defense,combined with the specific situation of the company at this stage,put forward the correct M & A strategy and the better M & A tactic in the future.In view of the M & A problems encountered in the development of the company,put forward a systematic solution.The LeiKe defense company buys assets through the issue of shares,a large number of shares have been diluted,increased financial risk,thecompany's main business is dispersed,the synergistic effect between M & A assets is weak,the overall operation is in a weak position in the same industry listed companies and the same listed companies.China's surrounding environment is complex,neighboring countries are numerous,and international security variables are increasing.The state has spared no effort to support the military industry.The future development of the military industry has huge space and bright prospects.The promotion of the national strategy of "civil-military integration" provides a historic opportunity for the leap-forward development of the public military industry.In view of the existing problems in the development of LeiKe defense,this article first demonstrates the correctness of LeiKe defense company's M&A strategy in two aspects: qualitative and quantitative,and proposes to strive to solve them in the process of development.LeiKe defense should correct historical mistakes and adopt a new M&A strategy.In horizontal mergers and acquisitions,we gradually fuse the company's existing business and form industrial synergy.In vertical mergers and acquisitions,we will accumulate the company's advantages and highlight the main business.Expand international and civilian markets and expand sources of income;use diversified financing channels to reduce financial risks.By proposing a systematic solution to the company's M&A strategy ? M&A tactic and Enterprise integration measures,try to help Leike Defence to break through the bottleneck of development.With the help of the historical opportunity of the national strategy of "civil-military integration",rapidly achieve the strategic goal of the company's expansion and strengthening.