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The Research of M&A Performance of Private Listing Corporation Based on Different M&A Incentives
International Journal of Economics, Finance and Management Sciences
Volume 4, Issue 5, October 2016, Pages: 241-249
Received: May 12, 2016; Accepted: May 27, 2016; Published: Aug. 17, 2016
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Authors
Cui Zhe, School of Business, Nantong University, Nantong, China
Xie Jia, School of Business, Nantong University, Nantong, China
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Abstract
The paper researches the influence on M&A performance from the perspective of the motive of enterprises mergers and acquisitions. The return on assets was selected to be the indicator to measure enterprises’ performance after mergers and acquisitions, and it functioned as the dependent variable. The paper choose the representative company's agent motivation and the motivation of the equity concentration, the ratio of stated-owned shares, the ratio of managerial ownership, the ratio of circulation shares, Tobin’s Q value and return on equity as independent variables to build the model, and analyzes its impact. The empirical results shows: the ownership concentration and the ratio of the top executives have a positive correlation with the performance of the enterprises, but not significant; The ratio of state-owned shares and the ratio of circulation shares have a negative correlation with the performance of M&A; Tobin’s Q value and return on equity have a significant positive correlation with the performance of the enterprises after M&A. The research indicates: the M&A behavior based on different motivations positively has impact on the performance of enterprises after M&A. The research and analysis of the M&A motive is beneficial to better regulate and supervise the M&A behavior and promote the development of enterprises.
Keywords
Private Listed Companies, Mergers and Acquisitions Incentive, Mergers and Acquisitions Performance
To cite this article
Cui Zhe, Xie Jia, The Research of M&A Performance of Private Listing Corporation Based on Different M&A Incentives, International Journal of Economics, Finance and Management Sciences. Vol. 4, No. 5, 2016, pp. 241-249. doi: 10.11648/j.ijefm.20160405.12
Copyright
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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