Research On The Risk Analysis And Countermeasures Of Continuous Merger And Acquisition Of Listed Companies

With the further development of economic globalization,"M&A fever" has become a new trend in the development of enterprises today.In this context,the frequency of mergers and acquisitions and the number of mergers and acquisitions transactions of listed companies in China continue to increase,showing the characteristics of the continuity is more prominent.Because of this,many enterprises through the way of mergers and acquisitions have doubled the size of the business expansion.Therefore,continuous mergers and acquisitions(M&A)are an "unconventional" means for enterprises to achieve leapfrog development.BlueFocus is to take a continuous way of mergers and acquisitions,in just seven years the company's value can be significantly improved,the BlueFocus unique large-scale continuous M&A strategy has aroused the attention of all walks of life.However,if a company intends to increase its core competitiveness by expanding the scale of operation in a short period of time and realize its profit growth,it is often more risky than ordinary corporate mergers and acquisitions.Whether this kind of hyper-rapid growth of BlueFocus is sustainable or not,and how to deal with the unique risk analysis of continuous mergers and acquisitions(M&A),this article carries out a case study.This article mainly through the way of case analysis,taking the BlueFocus from the listing of 2010 to 2017 mergers and acquisitions events and mode of operation as an example,the system combs the continuous mergers and acquisitions since the listing of the BlueFocus,from the choice of continuous acquisition strategy and the public relations industry Features were analyzed,the classification described the BlueFocus mergers and acquisitions M&A continuous payment methods.Combining with the motivation for the continuous merger of BlueFocus,the author finds that the risks arising from the agreement on gambling are mainly overestimation of performance,over-excitation of risk and over-management of management through the risk analysis of gambling agreements,payment methods,synergies and goodwill.The main risks arising from the payment method are liquidity risk,debt repayment risk and equity dilution risk.The post-merger risk is mainly due to the synergy effect and the risk of impairment resulting from the excessive excess of goodwill.The risks inherent in these consecutive M&A not only affect the company's share price and profitability,but more importantly,weaken the brand value of the enterprise.For the future development of enterprises laid a deep hidden trouble.By analyzing the process and risk of continuous merger of BlueFocus,the enlightenment obtained in this paper is that the risk hidden dangers caused by the development of this ultra-high speed have been gradually erupted.Capital liquidity risk,debt repayment risk and equity dilution risk should not be underestimated.After three rounds of ups and downs,the share price has also entered a downturn period.Therefore,this article puts forward risk response measures and suggestions for the unique risks of continuous mergers and acquisitions.With the enhancement of overall strength,improvement of capital and institutional environment,and mission-driven transformation and upgrading,the space for continuous mergers and acquisitions by Chinese enterprises will be greatly expanded.In the future,we will see more cases of continuous mergers and acquisitions.It is hoped that the research on continuous mergers and acquisitions can bring inspiration to the future merger of BlueFocus companies and the same industry.