A Case Study Of Yanzhou Coal's Cross-border M&A Combined With Coal

In the macro context of China's ?One Belt One Road? initiative and Supply-side Structural Reforms,the pace of consolidation and integration of various industries in China is accelerating,and more and more companies are going abroad to find high-quality resources in the international market.In 2017,global mining investment mergers and acquisitions flourished,and corporate mining investment and asset restructuring events have continued,among which Chinese enterprises played an important role in it.In this context,this article selects a case of epic cross-border mergers and acquisitions in 2017,to study the advantages and disadvantages that mergers and acquisitions bring to enterprises,how much related benefits it brings to the company,and what hidden benefits have been generated.Based on the research literature of domestic and foreign scholars on mergers performance,and on the theories to M&A,this article introduces the basic situation of M&A,analyzes the motives of M&A and reviews the entire M&A event,and then based on qualitative and quantitative analysis,uses the event research method analyze short-term stock price changes,financial indicators method to analyze its long-term performance,and supplement from non-financial perspective.Finally,we draw conclusions and inspirations based on the current situation of China's mineral industry.The study found that Yanzhou Coal Mining Company Limited had a small market response after signing the M&A agreement and did not create a significant excess return for shareholders,but it had the effect of turning the cumulative excess return from negative to positive.From the perspective of long-term performance,Yanzhou Coal Mining Company Limited,especially its subsidiary Yan coal Australia Limited,has significantly improved various market indicators.Yan coal Australia Limited has completely shaken off the loss trend,and the company's debt repayment ability and profitability development ability have been significantly improved.At the same time,Yanzhou Coal Mining Company Limited effectively opened up overseas markets,and strengthened the voice in coal pricing.Cross-border mergers and acquisitions have improved the competitiveness and achieved strategic benefits of Yanzhou Coal Mining Company Limited.At present,"One Belt One Road" has entered the stage of full implementation,and state-owned enterprises should play their leading and demonstration role to promote the sound development of enterprises in various industries.In this paper,through the study of this case,while realizing the theory and practice of M&A performance,it enriches the research on the performance of state-owned enterprises' M&A under the ?One Belt One Road?.We hope to provide some useful lessons for overseas mergers and acquisitions of Chinese enterprises.