Evaluation And Analysis Of The Effectiveness Of Mergers And Acquisitions Of Listed Real Estate Companies

Merger and acquisition is an important means for listed enterprises to expand the market,integrate resources and improve the industry,as well as an important strategy for enterprises to operate capital and expand new business.In the process of marketization in our country,the competition among enterprises is more and more fierce.In order to improve the company’s strength and position in the industry,many companies hope to enhance their core competitiveness by means of mergers and acquisitions.Therefore,the effectiveness of m&a will directly affect the long-term development of enterprises,and even the sustainable management of enterprises.At the same time,the government has a tendency to encourage mergers and acquisitions in the real estate industry in terms of policies,which makes mergers and acquisitions in this industry more and more frequent.In 2009,the total number of mergers and acquisitions cases was only 20,but in 2019,the number increased to 470,and the total amount of mergers and acquisitions from 20.8 billion yuan in 2009 to 468.8 billion yuan in2019.However,during the 13 th Five-Year Plan period,the housing market policy was gradually tightened,the land cost rose,and real estate enterprises began to compete fiercely,which greatly increased the financing pressure of enterprises.As a result,many real estate enterprises hoped to obtain resources through mergers and acquisitions,seize the market,and maintain the survival and development of enterprises.Based on the case studies of mergers and acquisitions in the real estate industry at home and abroad,and the use of mergers and acquisitions related theories,such as the utility of mergers and acquisitions and the relevant theoretical basis of the utility of mergers and acquisitions,the development status of China’s real estate industry as well as the characteristics and motivations of mergers and acquisitions.Real estate enterprises mergers and acquisitions in 2016-2017,seventy cases,for example,inspected the company’s short-term and long-term benefits,respectively,using the event analysis,comprehensive analysis of the short-term effect of acquisitions,and carry out empirical research,combined with the sample excess yields and cumulative excess yields,and to explore the short-term merger and acquisition of the industry,and try to interpret specific reasons.Using the factor analysis method,this paper makes an empirical analysis on the long-term acquisition benefit of enterprises,and researches the acquisition motivation from several aspects such as solvency.Through the study on the long-term and short-term utility of mergers and acquisitions,it is concluded that mergers and acquisitions will not bring significant benefits in the short term,and have a negative impact on its long-term utility.Although mergers and acquisitions can slow the decline in wealth,they cannot arrest it.In the long run,merger and acquisition can effectively solve the company’s capital flow and debt problems,but it has caused a great impact on the company’s profit and development ability.Finally,suggestions are put forward from the government,real estate industry and listed real estate enterprises to improve the effectiveness of mergers and acquisitions.