Research On Financial Risk In M & A

At present,China's social economy is in the stage of continuous development,combined with the deepening reform of state-owned enterprises,with the improvement of the market economic system,the M &A activities between enterprises are more and more frequent.However,the research of the theory and practice of enterprise merger in China compared with foreign countries there is still a big gap,especially in the financial and economic issues is particularly obvious,which seriously restricts the behavior of mergers and acquisitions of Chinese fast and healthy development of enterprises.This paper argues that M &a financial risk is mainly composed of four parts,namely,pricing risk,financing risk,payment risk and financial integration risk.Based on the previous theories and social practice concepts related to mergers and acquisitions,definite analysis of mergers and acquisitions may bring various forms of financial risk,and according to the process of mergers and acquisitions of financial risk classification,and then through the case of various financial risks are analyzed deeply,and then put forward the control measures and suggestions.In this paper,we use the method of combining theory with examples to expand the logical sequence of raising questions,analyzing problems and solving problems.This paper firstly put forward the definition of the financial risk,that the value of the target enterprise risk assessment,financing and payment risks and subsequent integration risk is the main financial risk types of mergers and acquisitions in the process of mutual.Then,one by one,the three stages of the financial risk of mergers and acquisitions performance,causes,and management measures.Aiming at shortcomings of the existing research results,this paper attempts to construct the evaluation method for the status quo of China's enterprise value,proposed evaluation model of mergers and acquisitions;combined with the new policy,innovative financing methods and means of payment,to encourage mergers and acquisitions loans and convertible merger and acquisition;pay attention to the subsequent integration,innovation of financial risk can be divided into two categories of coping.And each stage is combined with the actual case,to verify the applicability of management methods.According to the analysis of the financial risk in the process of M &A,it can guide the enterprise to effectively identify and control the financial risk in the practice of M &A,and achieve the goal of M &a more smoothly.So that China's enterprises face the challenges of economic change,to be invincible in the global financial situation.