Financial Risk And Control Of CNOOC Merged NEXEN

Since the 1990 s,more and more enterprises in the world have joined the army of transnational mergers and acquisitions.China's economic developed rapidly.Many enterprises began to embarked on the road of cross-border mergers and acquisitions.Cross-border mergers and acquisitions can bring a lot of benefits,such as optimizing the allocation of resources,improving business competitiveness and so on.Cross-border mergers and acquisitions is accompanied by a high degree of risk,and these risks may directly lead to the failure of mergers and acquisitions.Cross-border mergers and acquisitions are accompanied by various stages of mergers and acquisitions financial risk.If you do not pay attention to control financial risks,you will meet the final M & A failure.February 26,2013,CNOOC completed the cross-border acquisition of Nixon at price of 15.1 billion US dollars.This is the case involving the largest amount of cross-border mergers and acquisitions in China,and the largest cross-border case after the financial crisis for Canada.CNOOC's acquisition of Nixon's motivation mainly includes acquiring scarce resources,acquiring advanced technology,expanding overseas markets to enhance competitiveness and gaining more oil market information to obtain a certain pricing power.This article is named after "corporate overseas financial risk and control of mergers and acquisitions".This paper reviews the process of multimodal acquisition of Nixon case in CNOOC,analyzes the financial risks of all aspects of M & A,and evaluates CNOOC's risk control measures.This article makes some suggestions for cross-border mergers and acquisitions to provide some experience to other companies.The text of the text consists of six parts,respectively,for the introduction,cross-border M & A financial risk and its control overview,CNOOC cross-border mergers and acquisitions Nixon case introduction,CNOOC cross-border acquisition of Nixon's financial risk analysis,CNOOC cross-border acquisition of Nixon's financial risk control Analysis,basic conclusions and implications.The introduction part introduces the research significance and research background of transnational mergers and acquisitions,and reviews the theoretical research of transnational mergers and acquisitions.The second part introduces the definition of financial risk and control of transnational M & A,analyzes the formation factors of risk,and finally expounds the information asymmetry theory,capital asset pricing theory and optimal order financing theory.The third part introduces the basic information of CNOOC and Nixon,as well as CNOOC's cross-border acquisition of Nixon's motivation and process.The fourth part analyzes the case of CNOOC's acquisition of Nixon,analyzes the pricing risk,financing risk and payment risk of M & A.The fifth part analyzes the corresponding control measures for CNOOC's acquisition of Nixon's various financial risks.Finally,through the above analysis of the financial risk of transnational mergers and acquisitions and the analysis of CNOOC case,the sixth part summarizes the inspiration of CNOOC's cross-border M & A success,and puts forward some suggestions on transnational M & A financial risk control in order to facilitate the transnational M & A can effectively control the financial risk,to maximize the value of enterprises.