Strategic Motivation And Performance Of Listed Companies In Overseas M&A

The research purpose of this thesis is to analyze the M&A motivation,M&A integration and M&A results of Qumei Home Furnishing’s M&A of Ekornes,summarize the characteristics of this M&A case and experience worthy of reference,and put forward suggestions for overseas M&A in the furniture industry.This thesis uses literature analysis,case analysis and financial index analysis to carry out research.With the help of literature analysis method for theoretical analysis,the research of this thesis is based on the research and analysis of existing literature,and takes a more cautious and objective attitude towards the synergistic effect of overseas mergers and acquisitions.With the help of case analysis,the background,motivation and integration mechanism of Qumei’s acquisition of Ekornes are discussed.With the help of financial indicator analysis method,the financial indicators of a period before and after the merger and acquisition are analyzed,and the performance of the merger and acquisition is analyzed,and the results of the overseas merger and acquisition and its impact on the development strategy of Qumei Furniture are explained.Through the above research,it is found that:(1)This merger is a "snake swallowing elephant" merger.The scale of the target company is roughly the same as that of Qumei Home Furnishings.At the same time,Qumei Home Furnishings needs to pay a one-time transaction price of up to 4.063 billion yuan,the asset transaction price accounts for 255.45% of the net assets attributable to Qumei Home Furnishings,which shows that the strength of the two sides is very different.(2)Strategic motivations for Qumei Home Furnishing’s overseas acquisition of Ekornes: First,to enrich the company’s furniture brand portfolio and improve brand layout;second,to expand Qumei Home Furnishing’s international influence to achieve economies of scale;third,to integrate supply chains and strengthen resource sharing and utilization.(3)The integration mechanism of Qumei Home Furnishing’s overseas acquisition of Ekornes includes: promoting the strategic integration of Qumei Home Furnishing Group and giving full play to the synergy effect of brand strategy;promoting the integration of Qumei Home Furnishing Group ’ s cultural mechanism and giving full play to the synergy effect of production and research in the Chinese market;promoting Qumei Home Furnishing Group Resource mechanism integration,sharing the existing supply and shipping channels of both parties.(4)The merger and integration measures have had a positive impact on the brand,technology,profitability,growth and management capabilities of Qumei Home Furnishings.It is mainly reflected in the inclusion of stressless products with higher gross profit margins,the absorption of advanced technologies,and the help of enterprises to enter the mid-to-high-end market,which has improved the operating gross profit margin of Qumei Home Furnishings;the growth rate of operating income in 2019 is the highest in history,and the net profit The growth rate has also turned losses into profits;by building an international management team,the company’s management capabilities have been improved.However,there are also some deficiencies,such as the solvency is still lower than before the merger,the operating capacity is weak,and the total asset turnover ratio,accounts receivable turnover ratio,and inventory turnover ratio continue to decline.In general,in order to play the post-merger integration effect,Qumei Home Furnishing should strengthen the integration and development of post-merger corporate strategy,finance,culture,management,business,etc.,to help Qumei Furniture enter the mid-to-high-end market and improve Qumei Furniture profitability.