Financial Performance Analysis of State-Owned Enterprises' Reverse Mergers Based on Guangdong Hydroelectric Power Corporation's Case

Jingwen Ba; Jingcheng Miao; Yuxuan Wu

doi:10.54097/q5tq6158

Authors

Jingwen Ba
Jingcheng Miao
Yuxuan Wu

DOI:

https://doi.org/10.54097/q5tq6158

Keywords:

Mergers and acquisitions, Reverse acquisitions, State-owned firms.

Abstract

In order to improve the competitiveness of state-owned firms, it is crucial to utilize their existing assets effectively and promote efficiency. The state promotes the restructuring and development of pertinent state-owned firms through mergers and acquisitions. This paper assesses the debt-paying ability, profitability, and expansion capabilities of Guangdong Construction Group through financial performance analysis, using the reverse takeover by Guangdong Hydropower as a case study. Dealing with the financial risks and managerial issues in the reorganization of state-owned companies to improve progress and performance. This paper suggests enhancing capital flow, advancing integration strategies post-mergers and acquisitions, clarifying the objectives of mergers and acquisitions, accelerating the optimization of management systems post-mergers and acquisitions, and developing scientifically grounded merger and acquisition plans based on real circumstances. This paper offers advice for state-owned enterprises involved in similar reverse acquisitions or mergers and acquisitions.

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References

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